Medibank share price remains suspended amid worsening cyber incident

The Medibank Private Ltd (ASX: MPL) share price remains suspended from trade on Tuesday.

But that hasn’t stopped the embattled private health insurer from releasing another cyber-attack update to the market this morning.

Unfortunately, things continue to go from bad to worse for the company.

What’s the latest?

Incredibly, it seems that every few days the Medibank cyber-attack incident escalates further.

Originally, the company believed that it had foiled a ransomware attack and advised that there was no evidence that data was taken from its systems. However, it was soon contacted by hackers informing it that data was taken and demanding a ransom.

At that point, the company believed that only its AHM and international student businesses had been impacted by the cyber-attack.

But that no longer remains the case. This morning the company advised that the hackers have “taken data that now includes Medibank customer data, in addition to that of ahm and international student customers.”

Worryingly, once again, Medibank was unable to see that its data had been stolen and the hacker had to produce a sample file to show that this was the case.

In light of this, the company advised that it is unable to say just how much data has been taken that could ultimately be leaked to the world. It commented:

Given the complexity of what we have received, it is too soon to determine the full extent of the customer data that has been stolen. We will continue to analyse what we have received to understand the total number of customers impacted, and specifically which information has been stolen. We have taken the step of making this announcement as we believe it is important to notify our customers of this development. As we continue to investigate the scale of this cybercrime, we expect the number of affected customers to grow as this unfolds.

Premium increases on hold

Perhaps in an effort to stop customers churning to another provider, the company has decided to postpone its premium increases for Medibank and AHM customers until 16 January 2023.

In addition, Medibank’s CEO, David Koczkar, once again apologised for the incident. He said:

I unreservedly apologise to our customers who have been the victims of this serious crime. As we continue to uncover the breadth and gravity of this crime, we recognise that these developments will be distressing for our customers, our people and the community – as it is to me. This is a malicious attack that has been committed by criminals with a view of causing maximum fear and damage, especially to the most vulnerable members of our community. We continue to work closely with the agencies of the Federal Government, including the ongoing criminal investigation into this matter. We thank them for their ongoing support and assistance.

When will the Medibank share price return to trade?

As things stand, the Medibank share price is scheduled to return to trade on Wednesday.

However, given the state of things, it seems quite likely that the company will push back its return date until things are resolved.

The post Medibank share price remains suspended amid worsening cyber incident appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Why have Medibank shares just been suspended from trading on the ASX?
• 5 big ASX announcements making news this week
• 3 ASX shares that are the top buys right now: expert
• Medibank shares remain in limbo after customer data hack confirmed
• Medibank share price halted after hackers claim to have taken customer data

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/5WkuMJQ