CommonSpirit Details Financial Fallout of $160M Cyberattack
Chicago-based hospital chain CommonSpirit is still waiting on its insurance claim for a ransomware attack that occurred in October 2022. The attack caused significant disruptions to the organization's facilities and billing activities, resulting in a $1.4 billion operating loss for the year. CommonSpirit operates 2,200 healthcare facilities across 24 states. While the organization reported a slight increase in revenues for fiscal year 2023, it estimated that the cyberattack has caused $160 million in financial damage so far. CommonSpirit has not yet received confirmation on what will be covered by insurance or when costs might be paid. The organization is also facing potential class action lawsuits related to the cyberattack. In addition to the cyberattack, CommonSpirit cited other factors affecting their financial performance, including labor shortages and inflation.