Is an electronic signature legally binding?

Yes. Electronic signatures are legally binding under the federal ESIGN Act (15 U.S.C. ch. 96) and state UETA statutes where adopted; authenticity requires evidence of intent, consent, attribution, and record retention.

When is notarization required?

Most insurance proposals do not require notarization, but attachments such as sworn statements or powers of attorney may. Notarization rules depend on state law and the nature of the attached document.

Can remote online notarization (RON) be used?

Many states permit RON with identity proofing and recorded audio-video sessions; requirements vary by state and may require retention of the recording for a set period.

What authentication level should be used?

Use multi-factor authentication or KBA for higher-assurance signers, and at minimum confirm signer email plus identity verification for material coverage documents.

How should PHI or sensitive data be handled?

When proposals include protected health information, ensure a Business Associate Agreement is in place and that the e-sign platform supports HIPAA controls per 45 CFR §164.530(j).

Which signNow plans support large-volume programs?

signNow offers Business, Business Premium, Enterprise, and Site License tiers; Site License provides usage-based pricing at $1.50 per signature invite for high-volume implementations.

Electronic Signature
Templates
Insurance
Insurance Cyber Proposal

Insurance Cyber Proposal

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

Insurance Cyber Proposal

Applicant / Insured Information

Client Name: Business / DBA (if applicable): Address:

Primary Contact:

Email:

Telephone:

Tax ID / EIN:

Date of Formation / DOB:

Business Operations and Exposure

Primary industry / operations:

Number of employees: | Annual revenue:

Describe data collected, stored, or processed (including personal data, payment cards, health records):

Policy Details Requested

Policy type requested: Standalone Cyber Liability Package / Embedded Cyber Claims-made

Requested Retroactive Date:

Policy Period From:

Policy Period To:

Requested Limit of Liability:

Requested Sublimits (specify):

Requested Deductible / Retention:

Coverage Options (select all that apply):

Network Security Liability (third-party data breach)
Privacy Liability (regulatory fines and penalties where insurable)
First-Party Incident Response (forensics, notification, credit monitoring)
Media Liability (defamation, content infringement)
Regulatory Defense and Penalties (where insurable)
Cyber Extortion / Ransomware Response
Dependent Business Interruption and System Failure

Prior Acts, Claims, and Loss History

Has the applicant ever experienced a privacy or security breach, claim, regulatory notice, or ransomware event? Yes No

If Yes, provide details for each incident (date, description, notifications, remediation, loss amount):

Security Controls and Risk Management

Does the applicant maintain the following controls? (select all that apply)

Perimeter firewall and intrusion prevention
Encryption of sensitive data at rest and in transit
Multi-factor authentication for privileged access
Regular tested backups with offline copies
Documented incident response plan and tabletop exercises
Employee security awareness training program

Additional security controls or certifications:

Exclusions, Limits, and Endorsements

The proposed policy will typically exclude or limit coverage for the following unless expressly endorsed. Applicant must initial to acknowledge understanding of each item listed below.

War, hostilities, and state-sponsored acts (including state-sponsored cyber operations)
Intentional criminal acts committed by insured persons
Contractual liabilities or fines assumed under contract (unless covered by endorsement)
Known acts, events or circumstances reported prior to the inception date
Patent and certain intellectual property claims where specific exclusions apply

Requested endorsements or amendments:

Beneficiary Designation

Designate beneficiary(ies) to receive any payable first-party proceeds in the event of company insolvency or assignment where permitted by policy. Percentages must total 100%.

Beneficiary Name: Relationship to Insured: Percentage Allocation:

Declarations, Certification and Notices

The undersigned certifies, on behalf of the named applicant, that the information provided in this proposal is true, complete, and is material to the risk to be insured. The applicant understands that any material misrepresentation, omission, or concealment may give the insurer the right to rescind coverage or deny claims to the fullest extent permitted by applicable law.

The applicant agrees to provide contemporaneous cooperation in the event of a claim or regulatory inquiry, including but not limited to producing records, participating in investigations, and following reasonable instructions for containment and remediation. The applicant further authorizes the insurer to obtain and exchange loss history, underwriting, claims and security control information with third parties for underwriting and claim adjudication purposes.

By signing below, the applicant acknowledges review of policy terms, conditions, limitations, and exclusions and requests the insurer to quote based on the information supplied in this proposal. This proposal does not bind coverage until a written policy is issued by the insurer and the required premium is paid.

Applicant Additional Remarks (optional):

Applicant Name:

Signature:

Date:

What an Insurance Cyber Proposal Is and When It’s Used

An Insurance Cyber Proposal is a formal underwriting document submitted by a broker or prospective insured to request cyber insurance coverage. It summarizes the applicant’s business profile, historical cyber loss data, technical and administrative security controls, proposed limits and deductibles, and any requested endorsements or exclusions. Carriers use the proposal to assess risk, calculate premium, and set policy terms; brokers use it to compare carrier responses. The document is often exchanged electronically and may be executed by authorized signatories under U.S. e-signature law.

Why a Clear Proposal Matters for Risk and Coverage

A complete, well-organized proposal speeds underwriting, reduces follow-up questions, and lowers the chance of coverage disputes by documenting controls, prior losses, and stated exclusions in one place.

Who Prepares and Reviews an Insurance Cyber Proposal

Each party relies on accurate, dated responses and verifiable supporting documents to finalize coverage and policy conditions.

Insurance brokers and agents preparing submissions on behalf of clients and consolidating carrier responses.
Corporate risk managers or IT/security leaders compiling loss history and control evidence for the insured.
Underwriters and carrier cyber teams evaluating exposures, pricing, and conditional requirements.

Essential Sections to Include in a Professional Proposal

A standard Insurance Cyber Proposal contains summary, exposure, and evidence sections to allow consistent comparison across carriers and clear underwriting decisions.

Executive Summary

One- to two-paragraph overview of business operations, revenue, industry sector, and primary cyber exposure to orient underwriters quickly.

Coverage Summary

Requested limits, sublimits, deductibles, retroactive date, and extensions such as forensic, business interruption, contingent business interruption, and cyber extortion coverage.

Risk Assessment

Concise description of network architecture, third-party dependencies, cloud usage, vendor security, and recent security testing results such as pen tests or vulnerability scans.

Loss History

Detailed prior cyber incidents, dates, root causes, loss amounts paid, remediation steps taken, and proof of notification to affected parties where applicable.

Controls & Evidence

Documented controls (MFA, EDR, backup strategy, patch cadence) and attachments such as SOC 2 reports, security policy excerpts, and incident response plans.

Terms & Conditions

Any proposed policy amendments, required security conditions for binding, timelines for remediation, and signature blocks for authorized parties.

Security and Compliance Elements to Note

Encryption: TLS 1.2/1.3; AES-256 at rest

Audit Trail: Timestamped signing and activity log

Access Control: Role-based permissions required

HIPAA BAA: BAA required when PHI included

Authentication: MFA or strong signer verification

Record Retention: Tamper-evident retention policy

Step-by-Step: From Draft to Signed Proposal

A clear sequence reduces rework; follow these four stages to prepare and finalize the proposal.

01

Prepare Draft: Assemble loss history, controls, and attachments before populating fields.
02

Validate Details: Confirm names, dates, and evidence with internal stakeholders.
03

Share for Review: Send to broker or carrier for pre-underwriting questions.
04

Execute Signatures: Obtain authorized signatures and retain the executed copy with audit trail.

How to Configure an Online Proposal Workflow

Typical online workflows map fields, required attachments, authentication, and recipient routing to ensure complete submissions.

Field	Configuration
Required Attachments	Make SOC 2, pen test, and loss run uploads mandatory
Signer Order	Set broker then insured then carrier sequence
Authentication Method	Choose email plus SMS or KBA for higher assurance
Reminders & Expiry	Configure automatic reminders and link expiration

Submitting an Electronic Proposal: Core Steps

Electronic submission follows a linear flow from upload to signed delivery; each step is recorded for audit and compliance.

Upload Document: Add the proposal and attach supporting files.
Place Fields: Insert signature, date, and confirmation fields.
Assign Signers: Enter signer emails and set authentication.
Send & Track: Distribute and monitor completion with an audit trail.

Technical Requirements and Integration Options

Choosing tools that export signed PDFs with audit trails and support secure attachments reduces underwriting friction and evidentiary gaps.

Integrations: Salesforce, NetSuite, Microsoft 365 supported
File Formats: PDF, DOCX, and Excel accepted
Authentication: Email, SMS, KBA, and SSO options

eSignature Vendor Pricing Snapshot for Insurance Cyber Proposals

Common vendor features and starting price points for platforms that can be used to execute and manage Insurance Cyber Proposals.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	Varies by vendor	Varies by vendor	Varies by vendor	Varies by vendor
Bulk Send	Yes	Yes	Yes	Yes	Varies
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No
Envelope Cap	No cap	100 envelopes/user/year	Varies	Varies	Varies

Key Risks If the Proposal Is Inaccurate or Incomplete

Coverage Denial: Claims may be denied for material misrepresentation

Regulatory Fines: Privacy violations can trigger HIPAA or state penalties

Contractual Disputes: Undisclosed exposures may lead to litigation

Premium Adjustment: Underwriting corrections can change premium or terms

Tax Penalties: Incorrect filings can trigger IRC §6721 penalties

Reputational Harm: Data breaches tied to inaccuracies damage trust

Common Mistakes That Slow Underwriting

Submitting incomplete control evidence or vague descriptions of security controls, which forces carriers to request clarifying documentation and delays quotation.
Failing to provide complete and dated loss runs or summarizing incidents without attaching remediation reports and notification records required by underwriters.
Using inconsistent names or entity identifiers between corporate records and the proposal, leading to validation friction and potential binding delays.
Omitting authentication or authority proof for signers, which can invalidate signatures or require re-execution under stricter authentication.

Practical Tips for Accurate and Efficient Proposals

Apply disciplined document control and standardized responses to reduce repetitive requests and accelerate binding.

Standardize Templates

Use a versioned template with labeled attachments and a checklist for required items. Consistency reduces carrier questions and improves turnaround; include a summary index so underwriters can find evidence quickly.

Verify Signatory Authority

Confirm the signer’s title and delegation in advance. Keep a record of corporate resolutions or delegated authority to avoid disputes about execution validity during claims or audits.

Attach Verifiable Evidence

Include SOC 2, vulnerability scan reports, backup test logs, and incident response summaries. Where possible, provide dated screenshots or auditor reports rather than descriptive summaries.

Preserve an Audit Trail

Capture timestamps, IP addresses, authentication method, and consent language for electronic signatures to support enforceability under ESIGN and state statutes.

Real-World Examples of Electronic Proposal Use

Organizations across sectors use digital signing and auditable workflows to shorten submission and binding cycles while preserving compliance evidence.

Optica Ventures (COO Brian Fitzgibbons)

A small investment firm digitized proposal routing to reduce turnaround time and administrative errors.

Faster customer completion enabled consistent submission formats.
"The interface is simple and easy-to-use for our team; more importantly, it is just as easy for our customers."

BIS (CEO Dan Rotelli)

An enterprise with strict audit requirements selected a platform with SOC 2 controls to centralize signing and retention.

Improved internal compliance and evidence retention.
"We felt most comfortable with airSlate SignNow given their SOC 2 certification and strict focus on ESIGN and UETA act compliance."

Frequently Asked Questions About Insurance Cyber Proposals

Answers to common legal, technical, and procedural questions encountered when preparing and signing Insurance Cyber Proposals.

Need help? Contact support

Is an electronic signature legally binding?
Yes. Electronic signatures are legally binding under the federal ESIGN Act (15 U.S.C. ch. 96) and state UETA statutes where adopted; authenticity requires evidence of intent, consent, attribution, and record retention.
When is notarization required?
Most insurance proposals do not require notarization, but attachments such as sworn statements or powers of attorney may. Notarization rules depend on state law and the nature of the attached document.
Can remote online notarization (RON) be used?
Many states permit RON with identity proofing and recorded audio-video sessions; requirements vary by state and may require retention of the recording for a set period.
What authentication level should be used?
Use multi-factor authentication or KBA for higher-assurance signers, and at minimum confirm signer email plus identity verification for material coverage documents.
How should PHI or sensitive data be handled?
When proposals include protected health information, ensure a Business Associate Agreement is in place and that the e-sign platform supports HIPAA controls per 45 CFR §164.530(j).
Which signNow plans support large-volume programs?
signNow offers Business, Business Premium, Enterprise, and Site License tiers; Site License provides usage-based pricing at $1.50 per signature invite for high-volume implementations.

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