Hunton Insurance Recovery Blog

On February 6, 2026, the Federal Trade Commission announced its second report to Congress on its efforts to combat ransomware and other cyber attacks.

On October 15, 2025, the UK Information Commissioner’s Office announced a £14 million fine against Capita plc and Capita Pension Solutions Limited following a significant data breach.

In today’s digital world, data breaches due to vendor failures are becoming increasingly common, often resulting in costly fallout. While insurance can provide a safety net, the interaction between cyber insurance and vendor contracts is crucial for effective recovery and risk management. Vendor contracts should not be treated as mere formalities but as vital frameworks that contain specific, detailed provisions regarding data security obligations to ensure accountability and minimize vulnerabilities.

In today’s digital world, data breaches due to vendor failures are becoming increasingly common, often resulting in costly fallout. While insurance can provide a safety net, the interaction between cyber insurance and vendor contracts is crucial for effective recovery and risk management. Vendor contracts should not be treated as mere formalities but as vital frameworks that contain specific, detailed provisions regarding data security obligations to ensure accountability and minimize vulnerabilities.