Categories
Computers

SJ Computers Loses Bid for Insurer to Cover Entire Fraud Scheme – Bloomberg Law

Aug. 15, 2022, 6:42 PM

CEO tricked into wiring $600,000 to fraudsterIncident falls under policy that only covers $100,000

An insurance company won’t have to cover SJ Computers LLC’s losses arising out of a fraud scheme that cost the Minnesota-based store $600,000, after a federal judge ruled that the claims fall under a policy that only covers up to $100,000.

SJ Computers sued Tr…….

Aug. 15, 2022, 6:42 PM

  • CEO tricked into wiring $600,000 to fraudster
  • Incident falls under policy that only covers $100,000

An insurance company won’t have to cover SJ Computers LLC’s losses arising out of a fraud scheme that cost the Minnesota-based store $600,000, after a federal judge ruled that the claims fall under a policy that only covers up to $100,000.

SJ Computers sued Travelers Casualty and Surety Co. of America, claiming that it breached its insurance contract by refusing to cover nearly $600,000 that the company’s CEO wias tricked into wiring to a still unidentified fraudster.

SJ Computers submitted its claims under a policy that covers social-engineering fraud claims, and then backtracked when it learned that the policy only …

Samantha Hawkins

Legal Reporter

© 2022 The Bureau of National Affairs, Inc.

All Rights Reserved

Source: https://news.bloomberglaw.com/tech-and-telecom-law/sj-computers-loses-bid-for-insurer-to-cover-entire-fraud-scheme