Billions in Damages From CrowdStrike Outage to Go Uninsured
- Insured losses estimated between $300 million and $1.5 billion
- The days-long outage took a $5.4 billion toll on Fortune 500
The Microsoft Corp. Windows Recovery screen displayed at John F. Kennedy International Airport in New York on July 19.
Photographer: Michael Nagle/BloombergThe vast majority of damages from last month’s CrowdStrike Holdings Inc.’s global IT outage will go uninsured, according to new estimates from Guy Carpenter and CyberCube Analytics Inc.
The days-long cyberincident — which grounded planes, shuttered businesses and stopped markets — cost Fortune 500 companies about $5.4 billion in damages, according to insurance company Parametrix. But insured losses are expected to be far less than that. Reinsurance broker Guy Carpenter estimated this week that insured losses will range from $300 million to $1 billion, while the risk analytics firm CyberCube puts that figure between $400 million and $1.5 billion.