By Thomas P. Caldwell, InDepthNH.org
As cybersecurity attacks have become more widespread, towns, cities, and school districts are finding that the measures they were taking to prevent data breaches have fallen short of what is needed to prevent data theft, fraudulent money transfers, and wholesale takeovers of their computer systems.
A computer hack in Peterborough last year robbed the town of $2.3 million when criminals posing as officials with the ConVal School District and Franklin-based contractor Beck & Bellucci sent emails to the town seeking vendor payments. Unsuspecting municipal employees paid the invoices, which went into the accounts of the hackers.
Peterborough Town Administrator Nicole MacStay said that, upon discovering the error, the town immediately filed a claim with Primex — the Public Risk Management Exchange that provides pooled insurance coverage to municipalities, schools, and counties — as well as with Beazley InfoSec, which provides additional cybersecurity coverage.
“Both companies have been very responsive” as the town worked through the loss coverage process, MacStay said. The town collected $125,000, the policy limit…
