Form: Cost-of-Breach DisclosureSource: IBM 2025Filed: 28 Apr 2026
DataBreachCost.comOpen calc
Schedule 06 / Ransomware Cost RegisterIBM 2025 + Sophos State of Ransomware

Vector-specific figure

Ransomware breach: $5.08M average.

14% above the all-breach average. Most of the cost is not the ransom payment, it is downtime, forensics, recovery, regulatory response, and customer churn. The pay-vs-don't-pay decision matters less than the controls that stop initial access.

Avg ransomware breach

$5.08M

vs $4.44M all-breach

Median demand

$1.32M

Sophos 2025

Refuse to pay

64%

Up from 59% in 2024

Recovery (excl. ransom)

$1.53M

Mean cost to restore ops

Section 06.1 / Anatomy of ransomware cost

The ransom is rarely the largest line item

Across the full incident-cost ledger, business interruption is the dominant component. Even when an organization pays the ransom and receives a working decryption key, the recovery operation costs $1-$2M and takes weeks. Forensics, legal, and regulatory work add $300K-$1.5M before any customer notification.

Business interruption / downtime / $1M - $5M40%
Forensic investigation / $100K - $500K12%
Data recovery & restoration / $100K - $2M15%
Legal & regulatory response / $200K - $1M13%
Customer notification / $50K - $500K8%
Ransom payment (if paid) / $115K - $75M12%

Primary source:Cost-component shares aggregated from Sophos State of Ransomware 2025, Coveware quarterly reports, and IBM 2025 ransomware-vector data.

Section 06.2 / Pay vs don't pay

The economics of refusing

Refusal rates have climbed steadily as recovery tooling has improved and law-enforcement decryption assistance (No More Ransom, FBI advisories) has expanded. Paying does not guarantee data recovery: roughly 30% of paying victims still report partial or no data return.

Don't pay path

64% of organizations refuse

  • Mean recovery cost (excluding ransom): $1.53M.
  • Recovery from immutable backups eliminates the data-return uncertainty inherent in paying.
  • Avoids OFAC sanctions risk where the threat actor is on the US Treasury sanctions list.
  • Insurance coverage is typically more straightforward when no ransom is paid.
  • No incentive provided to threat actor for repeat targeting.

Pay path

36% choose to pay

  • Median payment: $115K-$1M (varies sharply by source and victim size).
  • Roughly 30% of paying victims report partial / no data return after payment.
  • OFAC sanctions risk: paying a sanctioned entity may trigger US Treasury enforcement.
  • Even with payment, full recovery still requires forensic investigation and infrastructure rebuild.
  • Paying signals to other actors that the organization is willing to negotiate.

Section 06.3 / Largest known ransom payments

The publicly disclosed register

Each entry below references a public disclosure: a regulatory filing, a press statement, a DOJ release, or a credible chat-transcript leak. Many ransom payments are never disclosed. The figures below are therefore a floor on the market, not a representative sample.

YearVictimAmountOutcome
2024Dark Angels victim (Fortune 50)$75MLargest known single ransom payment ever
2021CNA Financial$40MPaid Phoenix CryptoLocker group. Full systems restored.
2024Change Healthcare$22MPaid ALPHV/BlackCat. Data still leaked by affiliate.
2021JBS Foods$11MPaid REvil. Operations restored within days.
2021Colonial Pipeline$4.4MPaid DarkSide. FBI recovered $2.3M. 6-day shutdown.
2023Caesars Entertainment$15MPaid Scattered Spider. Avoided extended outage.
2020CWT Global$4.5MNegotiated down from $10M. Ragnar Locker group.

Primary source:Last verified April 2026.

Index / Companion schedules

Schedule F / Reference Q&A

Frequently Asked Questions