Insurance, Regulatory Ripples Likely After Colonial Pipeline Hack

The ransomware hit against Colonial Pipeline Co. is likely to increase costs for cyber insurance and may prompt legislators to push tougher standards for critical infrastructure such as pipelines, energy grids, and water systems, attorneys and security professionals say.

The impact of the attack is likely going to ripple and drive up the cost of cyber liability insurance across the board, said Melissa Krasnow, a privacy and cybersecurity attorney at VLP Law Group LLP in Minneapolis.

“The cost of insurance is going up, and the coverage is less,” Krasnow said. “That trend is likely going to continue after a large-scale ...