Target has said that of the $61 million in expenses related to the breach during the quarter, $44 million were offset by an insurance payment, bringing the impact to $17 million, according toInsurance Journal.
According to Mark Rasch, a former cyber crimes prosecutor who worked on some of the biggest US payment card breach cases, it was too early to estimate how big the bill would be, but it would certainly be in the hundreds of millions of dollars and could top $1 billion.
Target has declined to discuss exactly what sorts of costs its cyber insurance will cover or identify its insurers. Target said breach-related expenses may include costs for reissuing cards, lawsuits, government probes and enforcement proceedings, legal expenses, investigative and consulting fees, and capital investments.
