Court-appointed receivers, chief restructuring officers, distressed asset investors, and lenders should realize that cybersecurity is now a fiduciary duty and should be incorporated into every engagement alongside protection of cash, collateral, and physical assets, warns the experts at J.S. Held, a global consulting firm providing specialized technical, scientific, financial, and advisory services.
Insurance carriers and cyber claims professionals, too, should understand that cyber business interruption is frequently one of the largest components of cyber-related financial losses and insurance claims.
Ransomware has become a persistent business risk that fiduciaries, receivers, and restructuring professionals must address in every engagement.
According to Cybersecurity Ventures, ransomware damages are expected to reach $74 billion USD in 2026 and surpass $275 USD billion globally by 2031.
In many cases, the largest losses are driven by operational disruption rather than the ransom itself. Cyberattacks can halt production, disrupt supply chains, disable critical systems, and cause substantial business interruption and additional expense losses.
The costs of a cybersecurity attack include lost revenue from customers and new leads, as well as from being offline.
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