Ransomware attacks and their associated costs have skyrocketed dramatically in 2024, posing a growing threat to businesses. This rise is driven by vulnerabilities associated with the increase in remote work, where employees often operate on unsecured networks and personal devices without adequate IT support.
The threat of a ransomware attack is a critical concern for businesses today. Even with some protective measures in place, many companies are unprepared for the reality of a ransomware breach. So, firstly what is Ransomware, and what steps should you take if your system becomes infected?
- 59% of organisations were hit by ransomware in the past year.
- Average recovery costs have soared to $2.73 million, up from $1.82 million in 2023.
- 56% of organizations paid the ransom when their data was encrypted, with average payments rising from $400,000 to $2 million in 2024.
(Source: Sophos News, “The State of Ransomware in 2024”)
What is Ransomware?
Ransomware is a type of malicious software (malware) designed to block access to your computer system or data until a ransom is paid to the attacker. This form of cyber extortion often involves encrypting your files, making them inaccessible until a decryption key is provided—typically in exchange for payment in cryptocurrency, which is difficult to trace.
Ransomware attacks come in various forms, including:
- Encrypting Ransomware: The most common type, which encrypts your data and demands a ransom for the decryption key.
- Locker Ransomware: This type locks you out of your device entirely, preventing any access to your system without payment.
- Scareware: Fake software that pretends to find issues on your device and demands money to fix them.
- Doxware/Leakware: Threatens to release sensitive data unless a ransom is paid, often targeting businesses with confidential or sensitive information.
Attackers commonly distribute ransomware through phishing emails, malicious websites, or exploiting system vulnerabilities. Once inside your system, ransomware can spread rapidly, encrypting data and causing operational chaos. The impact of a ransomware attack can be devastating, leading to significant financial loss, operational downtime, and long-term damage to your reputation.
Should I Pay the Ransom?
It might be tempting for companies without a disaster recovery plan to pay the ransom, but should you? The answer is no—you shouldn’t have to.
Paying the ransom offers no guarantee that the attacker will release your data. You are funding criminal activity and could be targeted again in the future. Although some attackers do provide a decryption key, most take the money and disappear, knowing there are other targets. Alarmingly, in 2024, 92% of companies targeted by ransomware did not fully recover their data, even after paying the ransom.
In many cases, attackers don’t release the encryption keys and instead sell your data, leading to significant fines for data breaches.
Why Time Matters
When a ransomware attack occurs, time is critical. Ensure you have access to a security expert to guide you.
- Contain the Breach: Isolate the infected devices from other computers and disconnect them from the internet to prevent the spread of ransomware.
- Investigate: Determine the nature of the breach by analyzing system logs and identifying accessed accounts and the attack’s origin. This step often requires a deep forensic investigation.
- Eradicate: Reset passwords, remove malware, and close vulnerable ports to eliminate the ransomware.
- Restore: Once you’ve eradicated the ransomware, restore the network. Administrators will need to reset login credentials, wipe infected devices, and reinstall operating systems.
Restoring Your System to Health
If you have regular backups, start by restoring your system, but be cautious—reverting to a pre-attack state isn’t always enough. Ensure that your backups are thoroughly scanned and free from any lingering malware to prevent reinfection.
Equally important is transparent communication with all stakeholders, including your bank, insurers, employees, clients, and suppliers. While the instinct may be to keep the breach quiet to avoid reputational damage, withholding information can severely damage trust and could put you at risk of violating notification laws. A well-executed communication strategy ensures that the right people receive timely, accurate information, helping to maintain trust and comply with legal obligations.
After recovery, monitor your networks closely for at least two weeks to ensure no traces of malware remain. Continuous vigilance is key to maintaining the security and integrity of your systems and data.
Recovery from a Ransomware Attack
If your company survives a ransomware attack, it’s crucial to implement a disaster recovery plan to ensure regular data backups. This proactive step means you won’t have to pay a ransom if your data is encrypted in the future.
Investing in disaster recovery is an investment in control. Only businesses that invest in robust security measures with a validated disaster recovery programme can protect themselves. Regularly test data restoration processes; many companies find their backups fail when it’s time to restore.
Additionally, educate employees on identifying threats, as ransomware is often delivered through deceptive emails and communications. Implementing trusted cybersecurity frameworks like Cyber Essentials or ISO 27001 ensures that your security and data protection systems are externally audited.
How We Can Help
Ransomware is a persistent threat that won’t disappear on its own. Safeguard your data with the right protection and recovery strategies. Don’t wait until it’s too late—get ahead of the risk. For expert guidance on ransomware recovery, contact Northstar today and secure your business against future attacks.
