June 28, 2021

Ransomware Effects on Insurance Programs

As ransomware is becoming all too commonplace insurance companies are trying to find ways to assist businesses in managing their susceptibility to system penetration resulting in a ransomware attack. It has been determined that most of the penetration is through open ports and a lack of utilizing Multi-Factor Authentication (MFA) protocols.

Moving forward most insurance companies are requiring the implementation of MFA and closing of any open ports (primarily ports associated with the Remote Desktop Protocol (RDP) &/or port 445, associated with the Server Message Block protocol (SMB)). If your business has a cyber insurance policy there is the potential that any existing cyber coverage will be non-renewed if MFA is not actively in place and there are open ports. Additionally, replacement coverage may not be available. However, if available pricing will be higher than the expiring policy and terms and conditions potentially restricted.

We urge you to check with your IT provider or internal person responsible for your computer system to see if you currently have these important safeguards in place. If not, work with them for implementation to protect your business and, if applicable, the insurance policy.

Contact us today if you’d like to discuss further.

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