Types of cyber attacks every company should know about

Why cyber attacks are a serious risk for companies today

Cyber attacks are no longer just an IT issue. They are now widely recognized as one of the biggest business risks in the world. A large survey of nearly 900 Chief Internal Auditors across the UK and Europe, conducted by the Chartered Institute of Internal Auditors, found that cyber security and data security rank as the number one risk facing organizations today (Source). More than eight in ten senior audit leaders identified cyber risk as a top threat, and it is also the area where internal audit teams are spending the most time and effort.

Over the past year, a wave of high-profile cyber attacks has shown just how real and how damaging these incidents can be. A cyber breach disrupted systems at Heathrow Airport. Major brands such as M&S, Co-op, Harrods, The North Face, and Jaguar Land Rover were hit. In one case, an automotive manufacturer was forced to shut down factories for weeks, affecting not only its own operations but also hundreds of suppliers across its supply chain. Some companies have even publicly estimated hundreds of millions in losses from a single incident. India’s situation is even more serious.

With rapid digitization, India has become one of the most targeted countries globally. In 2025 alone, over 265 million cyberattack attempts were recorded, and estimated financial losses crossed ₹20,000 crore. The scale of digital adoption and uneven cyber readiness across businesses has significantly expanded the country’s attack surface (Source).

Today’s cyber attacks are highly targeted, multi-stage, and increasingly powered by AI and automation. At the same time, geopolitical tensions have raised the risk of state-sponsored attacks on critical infrastructure and large organizations. In simple terms, cyber attacks are no longer rare events. They are a normal business risk that every company must assume will happen, and prepare for.

To know more about cyber attacks in India, you can also read this blog.

Cyber attack meaning: A simple explanation

A cyber attack is a deliberate and malicious attempt to breach, disrupt, steal, or damage computer systems, networks, or digital devices. You can think of it as a digital break-in or digital sabotage. Instead of breaking a physical lock, attackers exploit software weaknesses, human mistakes, or security gaps to gain unauthorized access to systems. The purpose of a cyber attack usually falls into one or more of these goals:

• Steal information such as customer data, passwords, or financial records.
• Extort money by locking systems or threatening to leak data (as in ransomware).
• Disrupt business operations by shutting down websites, apps, or internal systems.
• Damage or manipulate data to cause financial, legal, or reputational harm.

Who carries out cyber attacks?

• Individual cybercriminals
• Organized cybercrime groups
• State-sponsored hacking groups
• Or even insiders who already have access to company systems

How cyber attacks are carried out

• Malware such as ransomware, spyware, or viruses
• Phishing emails or messages that trick employees into clicking malicious links or sharing passwords.
• SQL injection and other attacks that target insecure websites and databases.
• Denial-of-Service (DoS and DDoS) attacks that overload systems and shut them down.
• Exploiting software vulnerabilities in outdated or poorly configured systems.

The impact of cyber attacks on businesses

The impact of cyber attacks on businesses

• Financial loss
• Operational downtime
• Legal & compliance risks
• Reputational damage
• Impact on customers and employees

1. Financial losses

Cyber attacks create both direct and indirect costs that often continue long after the incident is contained, including incident response and forensics, system recovery, legal and regulatory expenses, business interruption, and customer compensation or lawsuits.

2. Operational downtime

Many attacks don’t just steal data, they stop the business from running. Internal systems can go offline, customer websites or apps may stop working, production and logistics can freeze, and teams can lose access to email, files, and critical tools.

3. Legal and compliance risk

Modern data protection laws make companies responsible for how they store, protect, and manage data. A breach can trigger regulatory investigations, mandatory disclosures, fines or penalties, and long legal processes.

4. Reputational damage

Trust is one of a company’s most valuable assets and one of the easiest to lose. When customers hear their data may be exposed, services were disrupted, or their identity or payments could be at risk, confidence drops quickly.

5. Supply chain and partner impact

Businesses don’t operate in isolation. They rely on SaaS tools, vendors, cloud platforms, logistics partners, and outsourced teams, so one attack can easily disrupt many connected organizations.

Important: A cyber attack on just one company can quickly spread disruption across dozens or even hundreds of connected businesses. This is why supply chain attacks and third-party risk have become such a serious concern for growing companies.

What are the types of cyber attacks?

Phishing attacks

What it is: Phishing is when attackers send fake emails, messages, or links that pretend to come from trusted sources like HR, IT, banks, or company leadership.

How employees are targeted: Employees are tricked into clicking malicious links, downloading infected files, or entering their passwords on fake login pages.

Example in a workplace context: An employee receives a fake “HR policy update” email, logs in on a fake portal, and unknowingly gives attackers access to company systems.

Malware attacks

Viruses, worms, spyware: Malware is malicious software designed to steal data, monitor activity, or damage systems.

How malware enters company systems: It usually enters through unsafe downloads, infected email attachments, pirated software, or compromised websites.

Ransomware attacks

How ransomware works: Ransomware encrypts company data and systems and demands payment to restore access.

Why Indian businesses are frequent targets: Rapid digitization and uneven security maturity make many organizations easier to attack.

Impact on business continuity: Operations can stop completely, causing downtime, revenue loss, and long recovery periods, even if no ransom is paid.

Denial-of-Service (DoS & DDoS) attacks

How websites and servers are taken down: Attackers flood systems with massive traffic until websites or servers crash or become unusable.

Industries most affected: SaaS, fintech, e-commerce, and online services, where even a few hours of downtime can mean major losses.

Man-in-the-Middle (MITM) attacks

Attacks on unsecured Wi-Fi and remote work setups: Attackers secretly intercept communication between users and company systems, often on public or unsecured networks.

Risk for hybrid workplaces: Remote and hybrid work has increased exposure to these attacks, especially without proper VPNs and security controls.

SQL injection attacks

Targeting websites and databases: Attackers insert malicious code into website forms or URLs to access or manipulate databases.

Common in poorly secured applications: This is especially common in older or poorly built websites and internal tools.

Insider threats

Malicious vs negligent insiders: Some insiders intentionally misuse access, while others cause damage accidentally through weak passwords or falling for phishing.

Why employee awareness matters: Most insider incidents happen because of mistakes, not bad intentions, training makes a huge difference.

Password attacks

Credential stuffing: Attackers use leaked passwords from other sites to try logging into company systems.

Weak password risks: If employees reuse or choose weak passwords, one leaked login can expose multiple systems.

Supply chain attacks

Attacks via vendors and third-party software: Instead of attacking you directly, criminals break into your software vendor or service provider first.

Why growing companies are vulnerable: As companies rely on more SaaS tools and integrations, one weak vendor can become an entry point into the entire business.

Warning signs your company may be under a cyber attack

1. Unusual system performance degradation: Sudden slowness in computers, servers, or network performance may indicate malware execution, crypto-mining activity, or ransomware encryption processes running in the background.
   
   
2. Unauthorized account activity or access failures: Employees being locked out of accounts, password reset attempts they did not initiate, or login attempts from unfamiliar locations can indicate credential compromise.
   
   
3. Ransom notes or file encryption alerts: The appearance of messages demanding payment or the sudden inability to open files is a strong indicator of a ransomware attack.
   
   
4. Suspicious outbound emails from company accounts: If customers or partners report phishing emails coming from your domain, it often means one or more internal mailboxes have been compromised.
   
   
5. Unexpected changes in files or system configurations: Modified, deleted, or encrypted files, or changes to security settings without authorization, can indicate malicious activity.
   
   
6. Abnormal network traffic patterns: Sudden spikes in data transfer, connections to unknown external servers, or unusual data uploads may signal data exfiltration or command-and-control communication.
   
   
7. Multiple failed login attempts or brute-force activity: Repeated login failures across multiple accounts often indicate credential stuffing or password attack attempts.
   
   
8. Browser or search redirections: If users are being redirected to unknown websites, it may indicate malware infection or DNS compromise.
   
   
9. Disabled security tools or alerts being suppressed: Attackers often try to turn off antivirus, endpoint protection, or logging systems to avoid detection.
   
   
10. Sudden increase in security alerts or incident reports: A spike in phishing reports, malware detections, or access violations usually indicates an active attack campaign.

How companies can prevent cyber attacks

Invest in employee awareness: Conduct phishing simulations and security workshops regularly.

Adopt strong cyber hygiene: Enforce complex passwords, multi-factor authentication, and access controls.

Keep systems updated: Regular software patching prevents known vulnerabilities from being exploited.

Protect endpoints and data: Deploy antivirus, EDR solutions, and maintain isolated backups.

Plan for financial resilience: Consider cyber insurance to cover costs from ransomware, breaches, and business interruptions.

Monitor proactively: Watch for warning signs like unusual network traffic, unexpected file changes, or sudden account lockouts.

Key Takeaways: How businesses should approach cyber attacks

Cyber attacks are a top business risk that can disrupt operations, revenue, and trust. Companies must combine prevention, detection, and response: train employees, enforce strong passwords and access controls, keep systems updated, secure endpoints, maintain backups, and consider cyber insurance to mitigate financial impact. 

Prepare today with Pazcare’s cyber insurance and employee training solutions to protect your business from evolving digital threats. Book a quick demo today with Pazcare.