The US General Accountability Office (GAO) recently concluded a study of the cyber insurance industry and found that insurers are limiting coverage limits for the healthcare sector. Healthcare continues to incur attacks that increase the insurers liabilities.
Healthcare has been a focus of ransomware since 2016, but hospitals and clinics continue to be successfully targeted and the costs are mounting. Cyber security firm Emisoft asserts the average ransomware attack results in 16 days of downtime, and Gartner Research estimates downtime costs $5600 per minute. According to the Washington Post, Insurers are going to demand organizations have adequate measures in place for attack prevention and recovery before providing coverage.
Raxco’s InstantRecovery reduces system recovery time from days to minutes. InstantRecovery is a software solution that restores the operating system and applications on any Windows platform in the time it takes to reboot. InstantRecovery can restore a single system, or a thousand systems, back to pre-attack condition in minutes. RBI Corporation in Virginia was hit with a Ryuk ransomware attack, and InstantRecovery restored normal operations immediately instead of taking days.
Ransomware victims routinely spend weeks restoring servers and endpoints. This results in lost revenues, a disrupted workplace, and negative patient experiences. InstantRecovery reduces system recovery time by 90+% and eliminates the chaos.
The GAO report also noted that while 26% of businesses had cyber protection in 2016, that number has grown to 47% in 2020. The increase in attack frequency and severity of ransomware attacks have led to premium increases of 30% of more in 2020.
Cyber insurance costs are going to continuing rising for the foreseeable future. Insurers are going to demand companies do more to prevent and recover from attacks or risk loss of coverage. For critical sectors like healthcare, additional government mandates might also be on the way.