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Understanding Ransomware

July 12th, 2020 by Ethos Technologies

3D rendering of a reddish-orange metallic safe with a padlock on it, representing how ransomware locks your data from you.

Thirty years on from the world’s first cyber ransomware attack, cyber criminals continue holding organizations hostage, maliciously encrypting their file and demanding hefty ransoms for the safe return of the data. Indeed, while headlines come and go, ransomware remains stronger than ever, with six- and seven-figure ransom demands now commonplace.

Ransomware Is a Very Real Threat for Organizations across the World

A recent independent survey of 3,100 IT managers in 12 countries commissioned by Sophos revealed that 21% of organizations were hit by ransomware in 2018. What’s more, three in 10 (30%) organizations that fell victim to a cyber attack experienced ransomware.

The financial impact of ransomware is huge per incident. When you add together the full costs of remediation, including downtime, people time, device cost, network cost, lost opportunities, and ransom paid the final sums per victim are eye-watering:

  • U.S.A – $852,886
  • Canada – $1,308,809
  • Mexico – $233,220
  • U.K. – $564,072
  • France – $595,203
  • Germany – $599,537
  • Australia – $803,875

Given the extent of ransomware’s reach and the high cost of an attack, the natural question is. . .why is it so persistent? Why, despite all our advances in technology, can’t we kill it off? Why is it able to have such a devastating impact?

The short answer is, ransomware attacks work and most businesses are not covered from a cyber defense and/or insurance aspect.

Posted in: Cyber Security