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Ransomware attacks are rapidly increasing and can disrupt operations, steal sensitive data, and create costly downtime. Recent data shows 58% of organizations hit by ransomware had to temporarily shut down operations, and the average U.S. ransomware breach cost exceeded $10.22 million, including recovery and operational disruption.
What is Ransomware?
Ransomware is a type of malicious software that encrypts files or systems, preventing access until a ransom payment is demanded. In many cases, attackers also threaten to release sensitive data if payment is not made.
How Ransomware Happens
- Phishing emails trick users into downloading malicious attachments
- Stolen login credentials allow attackers to access systems directly
- Unpatched software vulnerabilities are exploited to install ransomware
Once inside a network, ransomware can spread quickly and target critical systems and sensitive data.
Protective Measures
- Maintain secure, offline backups of essential data
- Keep software and systems fully updated
- Train employees to recognize phishing and social engineering attempts
- Use strong access controls including multifactor authentication
- Develop and regularly test an incident response plan
Did You Know?
Only 37% of ransomware victims paid a ransom in 2023, down from 70% in 2020. Proactive prevention and strong security measures make a real difference.
Cyber Awareness Tips
Several governmental agencies including CISA (Cybersecurity & Infrastructure Security Agency) and NIST (National Institute of Standards and Technology) provide guides and resources for ransomware preparation. Contact your cyber insurance company regarding tools they can provide for preparedness.
Sources: IBM, CISA, FBI, Infosecurity Magazine, Forbes Finance Council
The above referenced sources are provided as a courtesy. Signature Bank does not endorse or control the content of this source or website.