What’s the Difference Between Cyber Extortion and Ransomware Coverage?

“Cyber extortion coverage” is the broader policy term, and ransomware payments are typically the most common thing it covers. Cyber extortion coverage generally applies any time someone threatens to disrupt your business or release your data unless you pay, which includes ransomware but can also include other extortion threats, like a threat to publish stolen data without encrypting anything.

In practice, when people ask “does my policy cover ransomware,” they’re really asking about their cyber extortion coverage, including any sublimits, the pre-authorization process, and OFAC sanctions screening requirements. See the full breakdown in Does Cyber Insurance Cover Ransomware Payments?