We use cookies to allow us and selected partners to improve your experience and our advertising. By continuing to browse you consent to our use of cookies. You can understand more and change your cookies preferences here.


When you click on a retailer link on our site, we may earn affiliate commission to help fund our not-for-profit mission.Find out more.

13 Sep 2018

Saga launches cyber-crime insurance: do you need protection from hackers?

Are you protected against cyber attacks?

Saga has launched personal cyber-crime cover to protect customers against cyber attacks, fraud and scams. But is this type of cover worth the cost?

Cyber insurance is designed to protect your personal data and digital assets should your device be compromised by hackers or cyber attacks.

Saga's cyber insurance cover is included within the legal expenses add-on to its home insurance policies.

Around seven in 10 (72%) of 11,300 Brits aged 50-plus feel at risk of falling victim to cyber-crime, according to research from Saga.

Find out what cyber-crime insurance covers and whether you should consider taking out protection.

Be more money savvy

Get a firmer grip on your finances with the expert tips in our Money newsletter – it's free weekly.

This newsletter delivers free money-related content, along with other information about Which? Group products and services. Unsubscribe whenever you want. Your data will be processed in accordance with our Privacy policy

What does Saga's personal cyber-crime insurance cover?

Saga's personal cyber-crime insurance covers the cost of getting help and assistance to identify any damage to your devices caused by a cyber attack.

This includes any financial losses, the cost of notifying the authorities of a cyber attack and responding to ransomware threats - which involves a malicious piece of software that essentially holds your computer hostage until a ransom fee is paid.

Your affected devices will be restored to their state before they were compromised by a cyber attack and you'll also be able to claim a 12-month subscription to a credit-monitoring facility following a cyber attack.

Cover only applies to cyber attacks that occur when both you and your affected devices are within the UK or Gibraltar.

Saga's cyber-crime insurance will not cover you if you were found to be partaking in illegal activity which may have caused the attack, including illegally downloading movies and music.

It's important to note that cyber-crime cover is included as part of the legal cover add-on to Saga home insurance policies. This means that it is not a standalone product that you can purchase.

You can find out more about legal cover, and whether it's worth buying, in our guide to legal expenses insurance.

Should you buy personal cyber-crime insurance?

Our devices hold an increasing amount of personal and valuable data about us, from digital assets such as treasured photo albums and music collections to our banking details.

If you have already decided that you need legal expenses insurance, gaining cyber-crime protection may be appealing. There are also a limited number of standalone cyber insurance providers including Hiscox and Blackfriars' Personal Cyber Crime Insurance.

However, before you take outspecialist cyber insurance, it's important to considerwhether using an alternative way of protecting yourself from a potential cyber attack is more cost effective.

Alternatives to cyber-crime insurance

The following could serve as alternatives to cyber-crime insurance:

Home insurance

A limited number of home insurance policies offer protection for your digital assets if your devices are affected by a cyber attack.

Recent analysis from Comparethemarket.com revealed that nine out of 26 home insurance providers investigated cover damage caused by computer viruses or malicious software.

Where insurers did offer protection, it only extended to restoring the devices in question rather than covering financial loss or legal action that could arise from a cyber attack.

If you do have a home insurance policy, it's worth checking whether your digital assets are protected.

Overall, however, the findings in the report suggested that the majority of home insurance policies are leaving your digital assets at risk.

  • Find out more: best and worst home insurance

Compensation from your bank

If you've been a victim of fraud, your card provider should refund you immediately unless it has evidence that you:

  • authorised the transactions yourself - and the bank can prove this
  • acted fraudulently or negligently - this must be proven by your bank
  • left it too late - you must inform your provider of unauthorised payments within 13 months.

While this may allow you to reclaim financial loss, it does not cover the cost of restoring your devices if they also suffer damage from the cyber attack.

Improving your cyber security

An alternative to taking out a a cyber insurance policy is to take extra security precautions when using electronic devices.

Making sure you regularly ensure that thesoftware on your devices is updated , youuse a strong password and back up your data can help prevent or at least limit damage from cyber threats to your digital assets.

Keep your data safe. Never give out details to a cold-caller, even if they claim to be from your bank or HMRC, and be alert to scam text messages or emails. Avoid opening links unless you know where they came from, especially if the email was unsolicited.

If your details are stolen in an attack, you can purchase identity-monitoring protection from Cifas for £20 for two years. This will add an additional layer of security to your accounts, so that anyone trying to open a new product will have to jump through more hurdles.

You can find out more in our guide to identity theft.