Microsoft cyber attack could trigger thousands of insurance claims

One potential good thing to come out of the recent Exchange hacking activities is that insurance companies may take risk scoring more seriously…:

[…] Cyber analytics specialist, CyberCube, believes companies in North America to be at greater risk than those in Europe, but large to medium sized businesses globally are all vulnerable. It says that the insurance and reinsurance industries are “likely to see a long-tail of attritional claims resulting from this attack”.

William Altman, cyber security consultant at the firm, said: “The insurance industry is only just beginning to understand the scope of possible damage. It is too early to calculate potential losses from the theft of a corporation’s intellectual property. These kinds of data breaches could have delayed – but long-lasting – impacts on commercial competitiveness.

“An accumulation of loss could result in multiple – theoretically, tens of thousands – of companies making insurance claims to cover investigation, legal, business interruption and possible regulatory fines. There is still the ongoing possibility that even more attackers will launch ransomware or other types of destructive cyber attacks.” […]

Original article