With ransomware attacks surging to record highs in 2024, government officials and cybersecurity experts are pushing for changes in the way businesses handle ransom demands. As attacks grow more sophisticated, companies face difficult decisions that have lasting implications for security and business continuity.
Cyber Insurance and SEC Scrutiny
Ann Neuberger, U.S. Deputy National Security Adviser, recently raised concerns that cyber insurance policies covering ransomware payments may inadvertently support criminal networks. Coupled with new SEC disclosure requirements on ransomware, businesses are under pressure to reconsider payment strategies, balancing recovery speed with reputational risks and shareholder transparency.
Data Exfiltration-Only Attacks and Legal Implications
A recent trend shows hackers increasingly opting for data exfiltration-only attacks — where they steal but don’t encrypt data. This approach bypasses the need for file decryption, leaving businesses vulnerable to data leaks. For instance, high-profile cases like National Public Data demonstrate how ransom demands, and delayed disclosures can lead to severe legal and financial consequences, from class-action lawsuits to company bankruptcy.
The Role of Preventative Measures
When it comes to ransomware, prevention is the most effective defense. Experts recommend that organizations invest 1–3% of their revenue in cybersecurity, especially in industries where sensitive data is at high risk, such as healthcare and finance. Meeting the demands of today’s cybersecurity landscape requires a proactive approach and the right set of tools:
- Endpoint Detection & Response: Tools like GLIMPS provide advanced, AI-driven threat detection in real time. These solutions help your security teams (SOC) detect threats within minutes, enabling them to respond quickly and prevent data compromise before it occurs.
- Data Protection: With solutions like Data & More, you can gain continuous visibility into potential data risks. These tools help you stay ahead by identifying sensitive data at risk and offering actionable insights to mitigate those risks—keeping you always on the offensive against potential threats.
- Continuous Compliance: Security and privacy regulations, along with cyber insurance requirements, aren’t just checkboxes for audits—they’re ongoing responsibilities. Compliance-as-a-Service solutions like J-SAS Inc. ensure that your organization is continuously prepared, not just during an audit but all year round, so you’re ready if an incident occurs or a regulation changes.
- Specialized Security Solutions: Leverage advanced cybersecurity expertise to deliver customized solutions that secure both your internal and customer-facing solutions and applications. With partners like Apriorit, your business can build resilience and navigate complex cyber challenges, supporting your development teams in delivering secure solutions for your organization and end users.
These tools and services help businesses not only strengthen their defenses but also align with compliance mandates and demonstrate a steadfast commitment to cybersecurity to stakeholders.
Shifting the Focus to Long-Term Cyber Resilience
While some argue that refusing to pay ransoms would ultimately reduce the frequency of attacks, others believe hackers would pivot to new strategies, such as data theft for resale. In any case, prevention, backed by a well-developed response plan, remains the best option for reducing ransomware risks.
Actionable Next Steps
To reduce vulnerability to ransomware, businesses need to take proactive steps in evaluating and enhancing their cybersecurity posture. Here are key actions to consider:
- Review and Update Security Measures: Regularly audit your cybersecurity infrastructure to identify and close any gaps. Staying vigilant helps to prevent vulnerabilities from slipping through.
- Invest in Advanced Tools & Expertise: Strengthen your defenses with a layered approach by integrating solutions like Data & More, Glimps, and J-SAS alongside expert support from partners like Apriorit to enhance your own solutions’ cyber resilience. Together, these tools and experts provide comprehensive protection against evolving threats.
- Prepare for Incident Response: Practice makes perfect. Regularly conduct incident response drills and continually refine your response strategies to ensure you’re prepared to act quickly—without needing to pay a ransom.
As ransomware and cyber threats continue to evolve, it’s natural to feel the weight of making the right decisions under pressure. But you don’t have to face these challenges alone. By prioritizing prevention and adopting a proactive approach, your organization can stay ahead of emerging threats and minimize financial and reputational risks.
Our team is here to help. Reach out for a detailed risk assessment or a demo to see how our solutions can support and strengthen your cybersecurity framework—because protecting your business is our priority, too.