Cyber Insurance and Legal Accountability: A Study in Canada and the United Kingdom

Abstract

Background: With the rise of cyberattacks, cyber insurance has become an essential risk management tool. However, legal accountability for data breaches remains a contentious issue, with significant differences between jurisdictions like Canada and the United Kingdom.
Objective: This article investigates the legal aspects of cyber insurance in Canada and the UK, focusing on policy coverage, liability issues, and regulatory responses to data breaches.
Methodology: The study uses a mixed-method approach, combining doctrinal analysis of laws and regulations with case studies of major cyber incidents. Interviews with cybersecurity experts and insurance providers offer additional perspectives.
Findings: Canada’s privacy laws, such as PIPEDA, impose strict accountability on organizations, encouraging robust cyber insurance coverage. The UK, under GDPR, emphasizes consumer rights, placing greater financial responsibility on insurers. Aligning global standards for cyber insurance could enhance protection and accountability across borders.