19.7.17

A major cyberattack could cost the global economy $53 billion


By Editor

Lloyd’s of London has reported that a serious cyberattack could cost the global economy as much as a devastating natural disaster.
According to the Guardian, average losses from a crippling cyberattack are estimated to be around $53 billion.
However, insurers are unable to give a specific estimate, due to the complexity of cyberattacks and the lack of historical data available. A worst case scenario could see the figure reaching up to $121 billion.
The report looked at the potential damage that could be triggered by an attack on a cloud service provider, which is believed to be the most likely target for an attack.
The paper judged the second-most likely threat to be to worldwide computer operating systems.
Lloyd’s published the report two months after WannaCryptor went global, at an estimated global cost of $8 billion.
The industry found to be most at risk is the financial sector, followed by software and technology and then hospitality.
Inga Beale, chief executive of Lloyd’s, said: “Because cyber is virtual, it is such a difficult task to understand how it will accumulate in a big event.”
She added: “Cyber events can cause a severe impact on businesses and economies, trigger multiple claims and dramatically increase insurers’ claims costs.”
Cybersecurity experts at ESET have recently identified Industroyer as a major threat, especially to Industrial Control Systems.
It is hoped that analysis of such threats will serve as a wakeup call for all those responsible for the security of critical infrastructure (systems) worldwide.
Such repeated warnings should not be falling on deaf ears.
Many governments and businesses run a huge financial risk by not being insured; but more crucially, risk falling victim to an attack by failing to ensure that employees and consumers heed expert advice.