If their insurer gets their way, the beleaguered Schnuck Markets will find itself without help from its insurance carrier in paying litigation costs and other data breach-related costs.
Liberty Mutual Insurance Company has informed Schnuck Markets that it is not responsible to cover costs of the eight lawsuits that were filed in the wake of a breach that impacted 2.4 million payment cards. Nor, it claims, is it responsible for other costs Schnuck incurred from banks and a payment services company.
This is not the first time we’ve seen an insurer claim that a general liability policy does not cover data breaches, and it can serve as a useful reminder of understanding your insurance coverage.
MainJustice.com has the details on this dispute.