CrowdStrike outage cost economy ‘tens of billions of dollars’, and firms want to recoup losses

Friday’s massive CrowdStrike outage grounded businesses and services worldwide to a screeching halt. Now, some of those affected are looking to recoup their losses.

Damages to businesses included grounded flights, which left thousands of passengers stranded at airports, delivery delays, and closed stores and amusement parks.

“Economic damages could reach tens of billions of dollars,” said Nir Perry, CEO of cyber insurance risk platform Cyberwrite.

CrowdStrike just owes customers a refund of its subscription fees – it doesn’t have to cover the money businesses lost from the interruption. A representative for CrowdStrike didn’t respond to a request for comment on Friday about how the company will enforce its terms and conditions.

Some companies affected by the outage are turning to their insurance providers to cover losses. Bloomberg reported on Friday, that an executive with Marsh, the world’s largest insurance brokerage, that more than 75 clients have prepared to file claims in the wake of the cybersecurity meltdown.

It’s still too soon to tally the full impact from Friday’s disruption, a spokesperson for major cyber insurance provider AXA said on Monday.

For companies that file claims, the money won’t come immediately, and businesses might not get back anywhere close to what they lost from the outages. Certain cyber insurance policies include coverage for non-malicious incidents, and affected businesses have to consider certain variables such as deductibles and waiting periods before making claims, Perry said.

CrowdStrike’s unexpected outage hit some businesses that might not have been insured against such disruptions, which can cost more than standard cyber insurance policies, said Marcos Alvarez, the head of insurance at