November 2024

Today’s focus has evolved to include risks to the digital realm, specifically risks to information and data. Here, the risk of a cyber incident rendering a company financially inviable has created an opportunity for insurers to spread this risk by offering Cyber Risk Insurance. The cyber attack on Change Healthcare is an example of the huge cost that a cyber incident can inflict on a company. In February 2024, the company suffered a ransomware attack, despite paying an alleged US$22 million to the attacker. The company’s owner, UnitedHealth Group, reported the incident will cost the business nearly US$900 million initially, with a final estimate to be between US$1.3-1.6 billon.