Chubb Insurance said wealthy policy holders who buy its personal insurance will be covered for up to £50,000, which could be used to pay for counselling, lost income if they are off work for a week or more, and help from online experts for victims of cyber-bullying and their families.

While the policy is targeted at worried parents, adults who suffer harassment online will also be covered, for example if an internet bullying campaign leads to the victim losing their job or their wrongful arrest.

They may also be able to hire a reputation management team to clean up any online smears, or pay for a digital forensic specialist to trace the abuse.

“We see insurance as helping our clients get back to how they were before the incident occurred – whether it’s an incident that affects their home or as a person,” said Tara Parchment, UK and Ireland private clients manager.

“So we still help to restore homes, cars and belongings that have suffered physical harm or damage, but increasingly it’s about the person and how they cope.”

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