Recent ransomware attacks on Danish transport company highlight prevalent cyber risks within the marine industry.

The shipping industry is a prime target for cyber criminals, insurers have warned. June 2017 saw a division of Danish transport company A.P. Moller-Maersk hit by the Petya ransomware attack, which began in the Ukraine and impacted companies in dozens of countries.

The cyber attack affected several of A.P. Moller-Maersk’s port terminals in the United States, India, Spain and the Netherlands, as well as causing computer outages for the business across the world.

Over 90% of the world’s goods are carried at sea, representing a valuable bounty for cyber criminals. An attack on a shipping or transportation company can have far-reaching effects, impacting supply chains the world over.

Assumed the shipping industry doesn’t have enough of a cyber exposure to be a risk? Think again. “The modern-day pirate is no longer going to walk onto a ship with a gun,” said Luis Gazitua, a partner at JAG Insurance Group. “Now there are two guys behind a computer who can shut down a grid and shut down shipping routes. “The truth is everybody has cyber exposure. Everybody’s connected to the internet.”

International shipping association BIMCO has recently updated its guidelines on cyber security onboard ships, reflecting contingency planning and response advice aimed specifically at ships, and adding a subchapter on dedicated cyber insurance.

“What ransomware has the ability to do is to impair the operational functionality of every industry — shipping and logistics being no exception to that,” said Stefan Toi, senior broker with Aon’s professional risk solutions group in New York. If you are worried about the cyber risks your business might face, call Lockyers on 01924 278222 to talk through cyber liability insurance.