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Medibank says data of 4 million customers accessed by hackers



(Reuters) — Medibank Private Ltd., Australia’s largest health insurer, said on Wednesday that a cyber hack had compromised the data of all its nearly 4 million customers, as it warned of a A$25 million to A$35 million ($16 million to $22.3 million ) to results for the first half of the year.

It said all personal and significant amounts of health claims data from all its customers were compromised in the breach reported this month, a day after it warned the number of affected customers was growing.

Shares in the company fell more than 14%, its biggest one-day slide since listing in 2014.

Medibank, which covers a sixth of Australians, said the estimated cost does not include additional potential clean-up or regulatory costs.

Medibank CEO David Koczkar said in a statement. “I apologize unreservedly to our customers. This is a horrific crime – this is a crime designed to cause maximum harm to the most vulnerable members of our society.”

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The company reiterated that its IT systems had so far not been encrypted with ransomware and that it would continue to monitor for further suspicious activity.


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