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Zurich American Denies Insurance Payout, Says Sony Data Breach not Covered

Zurich American Insurance, one of Sony’s insurers, has filed a lawsuit in New York, asking the courts to declare that it is not liable to help Sony with the losses incurred by the cyber attack on its PSN services.

The company believes that it was not supposed to help Sony against claims ‘asserted in the class-action lawsuits, miscellaneous claims, or potential future actions instituted by any state attorney general’.

Sony’s general liability insurance does not cover cyber attacks, the company claimed in the papers filed with a New York state court. The documents also revealed that Sony is facing 55 class action lawsuits so far.

Sony’s PlayStation Network platform was targeted with a massive cyber attack, in which personal information belonging to 77 million users was stolen. The company was forced to shut the service down for more than a month. PSN in Japan was the last to come back online. As of now, Sony is facing approximately 55 lawsuits over the PlayStation Network hack.

Zurich American Insurance has also filed lawsuits against insurance companies Mitsui Sumitomo Insurance, AIG and ACE Ltd, asking the court to clarify their responsibilities under various insurance policies they had written for Sony, Reuters (opens in new tab) reported.

Ravi Mandalia

Ravi Mandalla was ITProPortal's Sub Editor (and a contributing writer) for two years from 2011. Based in Ahmedabad, India, Ravi is now the owner and founder of Parity Media Pvt. Ltd., a news and media company, which specializes in online publishing, technology news and analysis, reviews, web site traffic growth, web site UI. Ravi lists his specialist subjects as: Enterprise, IT, Technology, Gadgets, Business, High Net Worth Individuals, Online Publishing, Advertising, Marketing, Social Media, News, Reviews, Audio, Video, and Multi-Media. He has also previously worked as Dy. Manager - IT Security at (n)Code Solutions.