CrowdStrike Windows Event Cyber Insurance Implications

This document is a briefing that outlines the implications of a recent CrowdStrike Falcon sensor update that caused system crashes on Microsoft Windows systems globally. The briefing details the impact on various industries, including airlines, finance, and healthcare, and discusses the potential claims that may arise for cyber insurance portfolios containing system failure coverage. It emphasizes the interconnected nature of software ecosystems and presents an opportunity for the insurance industry to reassess approaches to portfolio accumulation risk. The document further explains the specifics of the incident, including the timeline of the update and the resulting operational disruptions. It highlights the expected focus on system failure coverage and business interruption waiting periods in cyber insurance policies, as well as the need for greater transparency in coverage grants and loss estimations. The briefing concludes with recommendations for insureds to follow guidelines from CrowdStrike and Microsoft to remediate the issues caused by the outage.