A global tech outage on Friday, triggered by a faulty update from cybersecurity firm CrowdStrike, has led to significant disruptions across industries, including travel and finance. Insurers are bracing for a flood of business interruption claims, with potential losses reaching billions.
The outage, which grounded flights and disrupted services like healthcare and banking, may not be covered by standard business interruption policies. Many cyber insurance policies also exclude such events or require additional coverage, according to experts.
Legal challenges could arise for CrowdStrike and Microsoft, who are linked to the outage, though neither company has yet commented. Travel insurer InsureMyTrip expects a rise in claims related to travel delays and missed connections, affecting over 1,600 customers.
Specialists noted that force majeure clauses, which cover unforeseeable events, likely won’t apply here. Cyber insurance remains the primary recourse for businesses affected by such incidents.
