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Norsk Hydro reveals initial cyber insurance payout

Norsk Hydro reveals initial cyber insurance payout | Insurance Business

Norsk Hydro reveals initial cyber insurance payout

Norsk Hydro, the aluminium and renewable energy firm that suffered an extensive cyberattack in March, has been compensated and here we’ll tell you the initial payout.

In its third quarter results release, the Oslo-headquartered group outlined not only the operational and financial repercussions of the breach but also how much in compensation it has received so far. Earlier this year Norsk Hydro described its AIG-led cyber insurance policy as solid.

Yesterday (October 23) the aluminium supplier reported: “The cyberattack on Hydro on March 19 affected the entire global organisation, with extruded solutions having suffered the most significant operational challenges and financial losses.

“The financial impact of the cyberattack is estimated to around NOK550-650 million (£47-55 million) in the first half year with limited financial effects for the third quarter.”

Norsk Hydro reiterated the robustness of the cyber insurance it has in place with major providers.

“Hydro has recognised NOK33 million (£2.8 million) insurance compensation in the third quarter,” it noted. “Further compensation will be recognised when deemed virtually certain.”

Present in around 40 countries, Norsk Hydro employs 35,000 people and specialises in bauxite & alumina, primary metal, rolled products, extruded solutions, and energy.