Change Healthcare, a technology company that processes transactions among pharmacies, care providers, and insurers, experienced a ransomware attack that disrupted its entire network. As a result, thousands of healthcare providers were left without the ability to process claims.

A medical equipment supplier was among the impacted businesses. Its connection to an electronic medical records and billing vendor was severed, preventing the supplier from electronically submitting claims and receiving payments. Without the cashflow, the supplier was unable to purchase new inventory.

After the supplier reported the disruption, Coalition initiated contact with a forensic accountant to determine the losses incurred from the breach. Within one month, Coalition issued the first of five payments to cover the ongoing business interruption losses and provided complimentary breach counsel to walk the supplier through the potential impact of the third-party breach.

Over the span of eight months, the supplier’s Business Interruption coverage responded to $297,000 in losses, including $9,000 in extra expenses.

The claim scenarios described here are intended to show the types of situations that may result in claims. These scenarios should not be compared to any other claim. Whether or to what extent a particular loss is covered depends on the facts and circumstances of the loss, the terms and conditions of the policy as issued and applicable law. Facts may have been changed to protect the privacy of the parties involved.

Insurance products are offered in the U.S. by Coalition Insurance Solutions Inc. (“CIS”), a licensed insurance producer and surplus lines broker, (Cal. license # 0L76155) acting on behalf of a number of unaffiliated insurance companies, and on an admitted basis through Coalition Insurance Company (“CIC”) a licensed insurance underwriter (NAIC # 29530). See licenses and disclaimers. Copyright © 2025. All rights reserved. Coalition and the Coalition logo are trademarks of Coalition, Inc