Why the healthcare sector pays the highest price in cyber attacks

Healthcare’s reliance on sensitive data, outdated IT systems, and digital transformation makes it a prime target for cybercriminals.

Cyber-attacks are wreaking havoc across industries, but healthcare is suffering the most, with the average cost of a data breach reaching $10.93 million. As digital transformation accelerates, experts warn that the sector's vulnerabilities are increasing, making it an irresistible target for cybercriminals.

Seonji Lee, Consulting Associate at Frost & Sullivan, explained, “Healthcare remains one of the most attractive targets for cybercriminals due to the enormous amount of data that it manages and its reliance on uninterrupted access to digital infrastructure.” The industry’s dependence on electronic health records, connected medical devices, and financial systems exposes it to a higher risk of attack.

“Telehealth platforms, remote patient monitoring, and AI-powered diagnostics have reshaped the healthcare industry, but they also open new vulnerabilities, allowing attackers to tear apart operations or shut them down, putting lives in danger,” she emphasised.

Many healthcare organisations continue to operate with outdated IT infrastructure and legacy systems, as they are already strained by rising costs and staffing shortages.

To combat these rising threats, Lee recommends that healthcare organisations adopt a “defense in depth” cybersecurity strategy tailored to their unique needs. Regular risk assessments are vital to identifying vulnerabilities before they can be exploited. Additionally, AI-powered detection tools can help speed up breach response times and identify anomalies more quickly.

“Employee training is also key to minimising human error, which remains a major cybersecurity risk,” Lee emphasised. Many employees in healthcare organisations may be unaware of the latest cybersecurity best practices, making them potential entry points for cybercriminals.

“The true cost of cybersecurity isn’t just financial. Healthcare organisations also need to consider the non-financial impact, such as operational disruption, injuries, and even loss of life,” she said. Cyber-attacks can severely disrupt healthcare services, affecting patient care and damaging the institution’s reputation.