Ransomware Insurance

Ransomware Insurance

Data is sometimes called “the currency of the ‘net”, and as with hard currencies like pounds sterling or US dollars, a business’s data is at risk of being stolen or held to ransom by hackers.

One way hackers can do this is through a ransomware attack, where the business is locked out of their IT systems and/or databases unless they agree to pay a ransom.

Given that data is vital to the operation of most modern businesses, this type of ransomware attack can cripple a business. Which is where ransomware insurance comes in.

What is ransomware insurance?

Ransomware insurance is a type of cyber insurance that can protect a business against the financial impact of a ransomware attack. This type of policy can help to cover the cost of patching IT systems that have been compromised, and may even cover the cost of the ransom payment to recover the lost data.

How much does ransomware insurance cost?

That will depend on a wide range of risk factors, including the type of business you’re insuring, the size of that business, and the types of customer data and commercial data the business uses.

For example, financial services businesses have a higher risk of suffering a ransomware attack than businesses in other sectors, which means ransomware insurance is likely to cost more for these businesses.

What types of datasets are most at risk of ransomware attacks?

While hackers will often target a wide range of different datasets, from login credentials to medical data to payment data, the type of data that are most likely to be held to ransomware is data that will cripple the business’s operation if they are unable to regain access to it, such as credentials for the business’s own systems, internal datasets that affect how the business’s systems operates, and historical payment data that enables financial reconciliation.