What Building Owners Don’t Know About Cybersecurity Insurance Can Hurt Them

June 27, 2017, was the day when cybersecurity and cybersecurity insurance changed forever. Ukrainian companies were among the first hit in a major global cyberattack that used a new variant of the encrypting malware called Petya, which would later be known as “NotPetya.” Soon after, NotPetya infections cropped up in France, Germany, Italy, the U.K., Poland, and the United States, but most infections targeted Ukraine, including the National Bank of Ukraine. Many believe the attack was all but certainly a politically motivated one against Ukraine from the Russian government, though it quickly spread worldwide.

NotPetya caused enormous damage, crippling dozens of corporations, government institutions, and critical infrastructure. Many estimates say the damage of the attacks was more than $10 billion globally, one of the most devastating cyber-attacks in history and, therefore, one of the most closely studied. In a close examination of the attack and malware, Wired magazine said in 2018 that “the release of NotPetya was an act of cyberwar by almost any definition.”

The NotPetya attack has had such a gigantic influence on cybersecurity insurance because the scale of damage led many carriers to introduce cyber exclusions across their commercial insurance policies. Perhaps the most noted of the exclusions centers on Mondelez International, a multinational food company headquartered in Chicago that makes snack foods (including Oreos). Mondelez was walloped by the NotPetya attack, so the company filed a claim for damages with its carrier, Zurich, which was promptly denied because Zurich claimed it didn’t cover damages caused by war.

The post What Building Owners Don’t Know About Cybersecurity Insurance Can Hurt Them appeared first on Propmodo.

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