Travelex Attack Highlights Need For Cyber Cover & Expert Advice

Updated 13.01.2020:

Here’s the latest from Reuters, as Travelex gets back on track, but will its customers be so keen to trust them with their money and their data in future?

Foreign exchange firm Travelex said it was restoring tools that process customer orders electronically almost two weeks after the company said cyber hackers were holding its systems to ransom, leading to a global blackout on its online services.

“We continue to make good progress with our recovery and have already completed a considerable amount in the background,” Travelex, owned by Finablr Plc, said in an email. We are now at the point where we are able to start restoring functionality in our partner and customer service.”

The currency trader said it had restored some of its internal and order processing systems and was providing refunds to customers “where appropriate”.

Travelex also provides forex services for customers of HSBC , Barclays, Virgin Money and the banking arms of British retailers Tesco and Sainsbury .

The Travelex ransomware attack highlights the business need for cyber insurance, but more importantly, the absolutely essential nature of updating defence systems and being aware of the latest trends in cyber attacks on companies.

THE STORY SO FAR

In short, the Travelex site has been hacked for some months now, and from NYE onwards, suffered ransom demands from those who claim to have downloaded millions of customer records, which of course involve bank account details, addresses and amounts of cash transferred into varying currencies.

Travelex has suspended its operations whilst it deals with the problem, and that means they are losing a significant amount of revenue. Then there’s the reputational damage to consider. Your brand can be severely harmed, long term, by a major data breach, why? Consumers simply don’t trust you with their financial data anymore. This stuff is serious.

Mactavish posted some very useful advice recently, stating;

“If you have determined that you need to assess or review your cyber risk profile or are contemplating  the need for a standalone cyber policy, all of that uncertainty can be a major additional hurdle – meaning that it’s more important than ever to find the right partner to help you through this ever-changing landscape.

Whoever you work with, we would recommend that you ask them to start at the very beginning – by working forward from your unique risk profile through to the insurance solution. Interrogate the wordings you are presented with and test them diligently against the real-world loss scenarios that you have identified.”

Read more from Mactavish here by the way.

cyber risk aware CII security training

Policy wording is crucial, as is getting the correct advice on emerging threats as they bounce around the dark web. In the case of cyber attacks, prevention is most definitely better than cure, so IE magazine’s advice is talk to expert brokers and underwriters in this field who have a track record in fighting hackers and blackmailers. In the end, the survival of your business or brand is at stake and it only takes a week of chaos to undo a decade of good customer service and best practice on data handling.

Companies like CFC Underwriting, BAE systems, Hiscox, Markel, PIB Insurance, Ecclesiastical, QOMPLX and many more, can offer very useful insights and specialise in cyber protection for businesses, both large and small.

COMMENT FROM WHICH?

Adam French, Which? Consumer Rights Expert, said:

“As the scale of the Travelex cyber attack continues to unfold, consumers have been left in limbo, with some having paid out large sums of money for upcoming holidays.

“Travelex and all banks involved must urgently provide clarity to those impacted and act to ensure no one is left out of pocket.

“Anyone with a receipt can visit a branch to collect the money they have ordered. Those without a receipt or unable to get to a Travelex store can try to get a refund by contacting the card issuer they used to make the purchase to see if a chargeback or section 75 claim is possible.”

About alastair walker (3082 Articles)
20 years experience as a journalist and magazine editor. I'm your contact for press releases, events, news and commercial opportunities at Insurance-Edge.Net

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