What is a common financial impact of cyber extortion losses?

The correct answer focuses on ransom payments, which are a direct financial consequence of cyber extortion losses. In cases of cyber extortion, attackers often demand payment, typically in cryptocurrency, to release control of compromised systems or data. This payment represents a significant financial impact for the organization, as it not only involves the cost of the ransom itself but may also include additional expenses related to addressing the breach, such as hiring cybersecurity experts or mitigating damage.

While other options may involve costs associated with a cyber incident, they do not specifically encapsulate the essence of cyber extortion. Property damage costs and equipment replacement costs pertain more to physical damages rather than the digital manipulation involved in cyber extortion. Additionally, while insurance claims may provide some financial relief, they are a subsequent action taken after an initial loss has occurred rather than a direct financial impact of the extortion incident. Hence, ransom payments clearly illustrate the immediate financial burden organizations face during cyber extortion scenarios.