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Courts Rule in Favor of Merck in Major Cyber Insurance Claim Case

Courts Rule in Favor of Merck in Major Cyber Insurance Claim Case

Created: Thursday, May 4, 2023 - 13:54
Categories:
Cybersecurity

Security Week has written an article covering the Superior Court of New Jersey Appellate Division’s ruling in favor of Merck in the company’s $1.4 billion claim against insurers for the fallout of the NotPetya attack it suffered in 2017. Insurers argued that the property insurance offered to Merck had a war exclusion clause that was “clear and unambiguous, and it plainly applies to the NotPetya attack.”

However, the judges declined to support this interpretation. Merck’s activities as a “non-military company providing commercial services to non-military customers” were determined not to fall under the war clause. This ruling is an interesting development for policyholders during a period where many companies are questioning whether they can trust their cyber insurance policies to apply to the future attacks their networks suffer. Read more at Security Week.