What is DownStream Data Insurance Coverage?

What is DownStream Data Insurance Coverage?

Allshred Services is one of only a handful of NAID Certified document destruction companies that offer DownStream Data Coverage.   So, before your eyes glaze over with industry terminology and jargon, let us answer the question: why is this important to you?

New regulations and mandatory fines, as well as increasing enforcement, have dramatically increased the potential of damages resulting from inadvertent or negligent mistakes by the paper shredding companies – US! – you trust to meet your data protection requirements.

By having the proper Professional Liability Insurance in place, your paper shredding provider (Allshred Services!) is able to take responsibility for any financial damages they might cause.

Like all insurance, there is little likelihood it will be used.  It is still prudent to require that vendors have such coverage as a precaution from a due diligence perspective.

How Downstream Data Coverage Offers Better Protection to You – Our Customers

Most professional liability insurance products were developed for general applications.

Even in the few cases where a policy was created for data protection exposures, they were almost universally created for exposures of primary data custodians, such as hospitals or banks.

Downstream Data Coverage was developed because other professional liability insurance products failed to address the unique liabilities of data-related services providers and the customer such insurance was meant to protect.

Here are a few key differences of our industry specific Downstream Data Coverage:

  • Clients’ data breach notification are covered to the full limit of the policy – IN WRITING.
  • DDC applies to professional liabilities for all media, including electronic, sent to the paper shredding company – IN WRITING
  • DDC is only available to document destruction companies who are also AAA NAID Certified

So, when you are shopping around for the best document destruction company, that little extra premium may come in to play if the company you choose doesn’t have the proper procedures and policies in place.  Don’t play the pennies and cents game with the fate of your company’s sensitive information – choose the best paper shredding company you can.  Contact one of our passionate accounts representatives and choose Allshred Services today!

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