Kathmandu. Nearly 700 supermarkets and other food stores in France have fallen victim to cyberattacks. Thousands of tons of food have been damaged due to the attack, as refrigerator temperatures rise. However, there is uncertainty about whether insurance compensation will be available for this damage. <\/p>\n
Between the night of October 11 and the morning of October 12, the cyberattackers gained access to the temperature control systems of refrigerators and freezers through the internet. They then stopped running the defrosting system for a long time. As a result, the temperature in some refrigerators reached 50 degrees Celsius. Fires have also been reported in some places. <\/p>\n
According to French media outlet BFMTV, the damage caused by the breakdown of goods at two supermarkets in the country’s Alsace region is estimated at around 270,000 euros. <\/p>\n
According to Thierry Coutier, president of Le Musketeer Group, which runs the Intermarch supermarket chain in France, the attacks could cause millions of euros in damage across the country. On Monday (November 9), French authorities blamed a cyber unit linked to Iran’s Islamic Revolutionary Guard Corps (IRGC) for the attack. However, Iran has denied the allegations. <\/p>\n
On October 15, four insurance brokers told Reuters that standard cyber insurance can cover some financial expenses (such as the cost of investigating an attack). It generally does not cover losses caused by damage to food or other goods. <\/p>\n
According to Intermarch, its insurance does not cover such losses. It was not immediately clear how much the other affected companies have received in insurance claims. <\/p>\n
Insurance broker Lockton mentions that general property insurance may have an exclusion clause to cover losses caused by cyber attacks. In addition, general cyber insurance can also exclude damage to goods. Therefore, the compensation that the affected entities receive will depend on the terms of their insurance agreement. <\/p>\n
According to insurance consultancy WTW, special cyber insurance can cover the cost of damaged goods, lost business profits, and additional costs incurred to mitigate the damage. However, the terms of the insurance agreement will still apply. <\/p>\n
Another complication in indemnification is that these attacks are described as ‘state-sponsored’. According to the Lloyds Guidelines in London, some government-sponsored cyberattacks are excluded from insurance coverage. However, mere allegation does not invalidate all insurance claims. <\/p>\n
There have been reports of similar attacks in many other European countries, including France. According to insurance industry experts, these incidents could lead to higher costs for cyber insurance in the future. Also, the demand for specialized insurance that covers property damage may increase. \u2013 Agency<\/p>\n","protected":false},"excerpt":{"rendered":"
Kathmandu. Nearly 700 supermarkets and other food stores in France have fallen victim to cyberattacks. Thousands of tons of food have been damaged due to the attack, as refrigerator temperatures rise. However, there is uncertainty about whether insurance compensation will be available for this damage. Between the night of October 11 and the morning of […]<\/p>\n","protected":false},"author":16,"featured_media":322888,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[45031,45044,45159],"tags":[],"class_list":["post-322890","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-banner-news-en","category-international-news-en","category-news-en"],"acf":[],"_links":{"self":[{"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/322890","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/users\/16"}],"replies":[{"embeddable":true,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/comments?post=322890"}],"version-history":[{"count":1,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/322890\/revisions"}],"predecessor-version":[{"id":322891,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/322890\/revisions\/322891"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/media\/322888"}],"wp:attachment":[{"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/media?parent=322890"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/categories?post=322890"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/tags?post=322890"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}