Australian companies are pioneering breakthrough research and delivering indispensable healthcare services in the rapidly evolving life sciences landscape. However, innovation comes with a downside: the risk of a cyberattack rises. Unanticipated threats can often compromise patient data, disrupt clinical trials, and expose sensitive research. As the digital battlefield intensifies, cyber insurance emerges as a vital safeguard, offering robust protection against these multifaceted risks.

A Stark Reality: Recent Breaches in Australia

A recent cyberattack on Genea, a leading IVF and fertility services provider, starkly highlighted the vulnerability of Australia’s life sciences sector. In February 2025, the Termite ransomware group attacked Genea, stealing approximately 940 GB of sensitive patient data, including government-issued ID cards and private medical records. 

This cyberattack is not isolated. In 2022, Medibank, a major Australian health insurer, experienced a significant data breach. Hackers accessed the personal and medical information of 9.7 million customers, some of which was exposed on the dark web. These breaches underscore the pressing need for fortified cybersecurity measures within the life sciences domain.

Major Cyber Threats in Life Sciences

The life sciences sector faces a spectrum of cyber threats, including:

• Data Breaches: Unauthorised access to patient and trial participant medical records and sensitive clinical trial data can lead to identity theft, financial fraud, and severe reputational harm.
• Ransomware Attacks: These occur when hackers access and encrypt critical company, customer, or patient data and demand ransom payments to restore access. Such attacks can impair or interrupt operations, delay research, and incur substantial financial losses.
• Social Engineering: Increasingly sophisticated impersonation tactics, including phishing attacks, can trick employees into sharing confidential data and access to secure systems, creating significant vulnerabilities for the company.
• Operational Disruptions: Cyber incidents can disrupt clinical trials, research activities, and supply chains, creating setbacks in product development and slowdowns in the delivery of essential healthcare services.
• Device Corruption: The growth and integration of connected medical devices and wearables have created new potential access points for cybercriminals, risking patient safety and data integrity.

How Cyber Insurance Helps

Cyber insurance can be a critical component in a comprehensive risk management strategy for life sciences companies. Key coverages include:

• Incident Response Costs: Coverage for expenses related to immediate response efforts, including IT forensics, legal counsel, and public relations to manage reputational impact.
• Business Interruption Coverage: Compensation for income loss and additional expenses due to system outages following a cyber incident.
• Data Recovery and System Restoration: Financial support for restoring compromised data and repairing affected systems to swiftly resume normal operations[1] .
• Regulatory Support: Assistance with legal costs and potential fines arising from regulatory investigations and compliance breaches and provides guidance on meeting regulatory requirements
• Public Relations Support: Covers PR efforts following an incident, helping fund the cost of notifications, executive communications, and efforts to restore public trust.

Knightcorp: Pioneering Innovative Solutions

At Knightcorp, we understand the challenges confronting the life sciences sector in the digital age. Our team of experienced brokers is dedicated to crafting tailored cyber insurance solutions that address current threats and anticipate new ones. By combining robust coverage with proactive risk management strategies, we help safeguard your operations, protect your data, and empower you to focus on innovation and patient care with confidence.

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DISCLAIMER: This information is provided to assist you in understanding the risks, implications, and common considerations for your industry.  It does not constitute advice and is not complete. Please contact Knightcorp Insurance Brokers for further information.