WTF is Wire Tranfer Fraud!
What happens in a WTF attack?
Hackers manipulate senior executive officers, employees, or clients with the intention of tricking the business or their client into wiring money into the hacker's bank account. Common hack attacks that result in wire fraud consist of stealing login credentials via phishing or key-logging malware, financial data manipulation, and corporate identity theft.
Claims Example: Midsized Trucking Company
In 2017, a trucking company's CEO had his email address compromised. An email was sent to wire money to an existing client, but with new bank account details. The CFO merely thought the client opened up a new bank account and trusted the email from the CEO, which was actually written by the hacker. One payment of $73,000 was wired out without being caught. On the 2nd wire request, they figured out that the figured out the money hadn't been received. Unfortunately, that first payment of $73,000 was unrecoverable.
How Can I Make Sure My Cyber Policy Covers Me?
Check the policy wording to determine if there is coverage for: social engineering, funds transfer fraud, cyber deception, electronic crime, or eCrime. Note the limit provided. Make sure there are no dual factor authentication warranties in the policy wording. If you are looking to ensure that you have quality cyber crime options, please contact Jon Jepsen at SentryWest Insurance.
Jonny Jepsen, CIC