Refrigeration hack sparks policy clashes
Claims are reaching property insurers following a cyberattack that targeted internet-connected refrigeration controllers at up to 700 French supermarkets on the night of 11 to 12 October. Attackers triggered prolonged defrost cycles that spoiled stock, with some stores also reporting fires. The incident has brought questions of causation to the fore, as property policies covering refrigeration spoilage often contain cyber exclusions that deny coverage if the loss results from malicious software or sabotage.
Potential gaps in protection
Standalone cyber policies do not necessarily fill the gap, as they typically cover incident response and restoration while excluding physical loss. Claims professionals handling the losses note that establishing the exact cause of loss will determine whether property policies respond. Lockton reported that refrigeration failures caused €270,000 of stock losses at just two affected stores, highlighting the significant financial exposures tied to remote building management systems.