Businesses face ‘sharpened scrutiny’ on cyber policies after fridge hacks

Businesses are facing increased scrutiny on their cyber policies following a series of recent cyberattacks on European supermarkets, which forced retailers in Sweden, Belgium, and Ireland to discard large amounts of food after refrigeration systems were hacked and set into defrost mode. The attacks also impacted British food suppliers, raising concerns that outdated technology is leaving the UK's food supply chain vulnerable.

The National Cyber Security Centre (NCSC) issued warnings that the exploitation of vulnerable refrigeration technology had occurred in a few incidents in Britain after hackers remotely manipulated fridge temperatures across several European countries.

Eddie Lamb, the global head of cyber at Hiscox, an insurance firm, anticipates that events like these will "sharpen underwriting scrutiny of operational technology" that businesses use. Lamb emphasized that while disconnecting everything from the internet might not always be feasible due to legitimate business purposes, it is crucial to ensure connected equipment is properly secured, updated, segmented from other systems, and has strong access controls and a clear understanding of authorized third-party connections.

Richard Horne, the chief executive of the NCSC, warned that the UK has "collectively got away with doing tech on the cheap" for decades, urging action to equip technology to tackle modern cyber threats. Cyber risk is now a top priority for the insurance market, according to Rob Kemp, the chief executive of commercial risk at Aon UK.

Kemp stated that the attacks serve as a stark reminder that cyber risk no longer remains confined to IT and can quickly turn into significant financial losses for firms. Aon is dedicating significant resources to assist clients in understanding the financial implications of cyber attacks, enabling them to make informed decisions about the appropriate insurance coverage to purchase.