The Change Healthcare ransomware attack that was first disclosed in February 2024 continues to cause problems and make headlines. HIPAA Journal reports on the financial impact:
The cost of the Change Healthcare ransomware attack has risen to $2.457 billion, according to UnitedHealth Group’s Q3, 2024 earnings report. Revenues in the third quarter increased by 9% year-over-year to $100.8 billion.
UnitedHealth Group’s Q1, 2024 earnings report estimated total losses due to the cyberattack would be $1.6 billion in 2024. By the end of Q2, 2024, the estimate had increased to between $2.3 billion and $2.45 billion, almost 1 billion more than expected at the end of Q1. In the 9 months to September 30, 2024, UnitedHealth Group reported $1.521 billion in direct response costs and $2.457 billion in total cyberattack impacts, and the total anticipated cost of the Change Healthcare ransomware attack has been revised to $2.87 billion in 2024.
The ransomware attack has made a serious dent in UnitedHealth Group’s revenues and profits, although revenues have increased $8.5 billion year-over-year and the number of consumers served by its commercial domestic offerings has increased by 2.4 million for the year to date. UnitedHealth Group has emerged from Q3, 2024 with earnings of $7.15 per share, up from $6.56 per share a year ago. The adjusted earnings of $7.15 per share include $0.12 in business disruption impacts and exclude $0.28 in direct response costs.
Read more at HIPAA Journal.
