Ransomware attacks have made the news both nationally and locally in recent weeks. Hospitals in California and Kentucky have been compromised, as well as a local restaurant (see link to article below).
Ransomware is malware that restricts access to a company’s computer system, essentially holding the system hostage until such time that a ransom is paid to the malware operator. McAfee Labs reported recently that researchers saw over four million samples of ransomware in the second quarter of 2015, and those figures are only expected to grow as software and hackers become more sophisticated.
A financial loss suffered due to ransomware (lost income due to down time, computer system & software damage and the ransom payment itself) is usually not covered by typical insurance policies. A Cyber policy that includes Cyber Extortion coverage is the best way to insure against these events. More importantly, companies should make themselves and all employees aware of this risk and take immediate steps to prevent a ransomware loss. Below is the link to an article that provides a list of preventive measures for companies to consider in the face of today’s cyber criminals.
Please feel free to contact Mike Quirk at 240-864-9176 or firstname.lastname@example.org with any questions regarding the information contained herein.