UK e-businesses are afraid to insure their sites

Out-Law News | 26 Oct 2000 | 12:00 am |

According to a report on uk.internet.com, UK internet companies are reluctant to take out insurance cover against going down due by reason of accident or attack because they fear the negative publicity of disclosing security breaches.

There are already several insurance companies offering services tailored to dot.coms. These companies point out that some venture capitalists demand that an internet company has a suitable policy in place as a pre-condition to funding.

E-commerce insurance is a common condition of funding in the US but, according to uk.internet.com, has still to take off in the UK.