Aflac Insurance confirms customers private info and social security numbers lost to hack

Aflac, one of America’s largest insurance providers, confirmed on Friday that it had been the victim of a cyberattack that stole the personal information of its customers, including Social Security numbers. According to the company, the June 12 exploit was carried out by a “sophisticated cybercrime group” using advanced social engineering tactics.

Per a Friday press statement, the company asserted that it initiated its cybersecurity response protocols after detecting suspicious activity within its US network. Though ransomware was not deployed, Aflac admitted that an unauthorized actor had entered its systems through deceptive social manipulation.

“We regret that this incident occurred. We will be working to keep our stakeholders informed as we learn more and continue investigating the incident,” Aflac stated.

Insurance company suffers in ‘month of hacks’

The breach adds to a list of cyber intrusions on insurance firms this month. Earlier in June, Erie Insurance and Philadelphia Insurance Companies also disclosed cyberattacks on their networks. In its statement, Aflac claimed the incident “was part of a cybercrime campaign against the insurance industry.”  

The company insists that once the breach was detected, the intrusion was halted within hours, and core operations were unaffected. 

“We continue to serve our customers as we respond to this incident and can underwrite policies, review claims, and otherwise service our customers as usual,” Aflac wrote on Friday

The insurance company did not name the attackers, but cybersecurity analysts believe the breach may be linked to Scattered Spider, a notorious group of hackers known for targeting US corporations. The group gained authorities’ attention in 2023 after taking part in high-profile attacks on MGM Resorts and Caesars Entertainment in Las Vegas.

Scattered Spider, believed to include young hackers based in the United States and the United Kingdom, reportedly uses rapid, aggressive tactics and advanced deception. 

According to a forthcoming report from cybersecurity firm Halcyon, the group often registers domain names that resemble legitimate IT support sites. They use the webpages to impersonate internal help desks and trick employees into granting them access.

“They can execute their full attacks in hours. Most other ransomware groups take days,” explained former FBI Deputy Assistant Director Cynthia Kaiser, who oversaw investigations into the group. She now works at Halcyon and continues to track the group’s activities.

John Hultquist, chief analyst at Google’s Threat Intelligence Group, supports Kaiser’s sentiment. “While people focus on state actors like Iran, the threat I lose sleep over is Scattered Spider,” he said. “They are already taking food off shelves and freezing businesses.”

The 60 Minutes program on CBS News recently showed how hackers have broadened their targets to include municipalities, hospitals, hotels, and major corporations. In one example, last year’s cyberattack on UnitedHealth Group, reportedly executed by a group called ALPHV, cost providers an estimated $100 million per day in damages.

Aflac moves on to customer support and recovery

After discovering there was a breach, Aflac said it engaged top-tier third-party cybersecurity operators to lead the investigation. The company said it is currently reviewing files that may have been affected and is reaching out to impacted customers.

“The potentially affected files contain claims information, health information, social security numbers, and/or other personal information, related to customers, beneficiaries, employees, agents, and other individuals in our US business,” the statement read.

Aflac is also offering free credit monitoring, identity theft protection, and Medical Shield coverage for the next 24 months.

The company promised its clients that the findings will be transparent and that it will continue to share updates as the investigation progresses.

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