New danger: ransomware hits the financial industry hard
Financial services organizations affected by ransomware face more than $ 2 million in recovery costs. According to the new investigative report from IT security firm Sophos, titled “The State of Ransomware in Financial Services 2021,” that figure exceeds the global average of $ 1.85 million, although the results also show that the financial sector is among the most resilient to ransomware.
Almost two-thirds (62%) of victims surveyed in this industry were able to restore their encrypted data from backups. The survey studied the extent and impact of ransomware attacks in 2020. The survey interviewed 5,400 IT decision makers, including 550 in financial services organizations, in 30 countries in Europe, the Americas, the ‘Asia-Pacific and Central Asia, Middle East and Africa. .
Financial services are among the most regulated industries in the world. Organizations must adhere to a myriad of regulations, including SOX, GDPR, and PCI DSS, which include costly penalties for non-compliance and data breaches. “Strict guidelines in the financial services industry encourage strong defenses,” said John Shier, senior security advisor at Sophos. “Unfortunately, this also means that a direct hit with ransomware is likely to be very costly for the targeted organizations.
If you add up the cost of regulatory fines, rebuilding IT systems, and stabilizing brand reputation, especially if customer data is lost, you can see why the investigation found that recovery costs for them. Mid-sized financial services companies affected by ransomware in 2020 were excessive. of $ 2 million.