Three Recent Cyber-Attacks and How Insurance Saved the Day
Cyber-attacks pose an ongoing threat to modern businesses, no matter the size or industry. Recent cyber-attacks making headlines demonstrate that just one data breach or cyber threat is all it takes for a business to suffer serious, sometimes dire, financial losses. That’s why a comprehensive cyber insurance policy is essential for businesses.
Learn more about recent cyber-attacks and how a cyber liability policy by Gilsbar can provide you with peace of mind.
Recent Cyber-Attacks on Businesses and How Cyber Insurance Helped
According to statistics on cyber security, over 2,365 cyberattacks occurred in 2023, leaving over 343 million victims. As many as 94% of organizations experienced email security incidents, which account for over $2 billion in losses annually.
Even the largest businesses with the most robust cybersecurity protocols fall victim to cyber-attacks. Cyber insurance is a type of coverage that mitigates the financial risks of data breaches and other cyber threats against businesses. It covers the expenses of recovering data, meeting ransom demands, notifying customers, and moving forward after a data breach.
These recent cyber-attacks show examples of the types of threats your business is vulnerable to in this digital age — and how cyber insurance did or could have saved the day.
Ransomware Attack on a UK E-Commerce Business
One e-commerce business based in the UK experienced a disastrous ransomware attack that left its customer database vulnerable to hackers. The attackers locked the organization out of its systems with sophisticated encryption and demanded a steep ransom in return for the company’s data.
The company faced significant financial losses not only from the ransom demand but also from the costs of data recovery, legal support, business interruptions, and other related expenses. Cyber insurance provided the financial support the business needed to mitigate these effects while maintaining customer trust throughout the breach.
AT&T Data Breach
Telecommunications giant AT&T represents another victim of recent cyber-attacks. The company announced in early 2024 that one of its customer datasets from 2019 was found on the dark web. This dataset included records from over seven million current and 65 million former customers.
While it’s unclear whether AT&T had cyber insurance at the time of the attack, maintaining a cyber liability policy would have protected the company against the immense expenses resulting from this breach. AT&T quickly launched an investigation to stop the spread of malware, but it currently faces multiple class action lawsuits for the breach.
A comprehensive cyber liability policy would cover these costs and more.
Ticketmaster Cyber-Attack and Data Leak
In May 2024, Ticketmaster experienced a cyber-attack in which hackers accessed over 560 million customer records in one fell swoop.
While the company emailed its customers about the attack, this communication did little to mitigate the damage, leading countless customers to lose trust in Ticketmaster and take their business elsewhere.
Ticketmaster has not disclosed whether it has cyber liability insurance in place. If it does, this insurance could help cover legal costs, support customers whose data was stolen, and account for the lost revenue due to the breach. Cyber insurance could have even helped Ticketmaster mitigate the damage before alerting customers, helping to maintain customer trust through the breach.
Turn to Gilsbar for Cyber Insurance and Gain Peace of Mind
These recent cyber-attacks show that digital security breaches will always be a threat to businesses. But with the right cyber insurance policy in place, your company doesn’t need to worry about the financial implications of a data breach. This will also ensure that your customers continue to believe in your ongoing dedication to their satisfaction and well-being.
Gilsbar is your go-to provider of comprehensive cyber insurance policies customized to your business’s needs, budget, and vulnerabilities. We can also help you understand potential cyber security resolutions to reduce data exposure and prevent expensive cyber losses.
Click here to request a cyber liability insurance quote today!