The global maritime industry faces potentially crippling cyber attacks unless it works on a defence strategy, according to Willis Group.

In one worst-case scenario, entire ports could be shut down, with huge repercussions for world trade, Willis Finex Global Head of Cyber Peter Armstrong says.

“It will be a lot of work, but an effective cyber-defence strategy is now intrinsically tied to the protection of profit and operational resilience,” he writes on the WillisWire blog.

A recent study estimates the US economy could lose $US1 billion ($1.43 billion) a day if hackers hit the Los Angeles area and disrupt 20% of the maritime transport system.

“It is not inconceivable entire container ports could be shut down,” Mr Armstrong says.

Another danger area is “smart” ships, as the industry, including port operators, relies increasingly on digital technology to run almost every facet of the business from navigation and cargo tracking to vessel identification.

Outdated systems that do not address 21st-century threats are to blame for the industry’s vulnerability.

“Like rogue icebergs, the scale of the threat remains unseen… but the vulnerability of some of the systems being adopted has been exposed,” Mr Armstrong says.

The threats from cyber attacks is not insurmountable.

The industry can improve its defences by requiring that all verification processes that attest to the integrity of industrial control systems include a cyber-resilience assessment.

“At present, most do not,” Mr Armstrong says.

International Union of Marine Insurance President Dieter Berg says marine insurers must adapt to clients’ changing environment.

“For marine insurers, an understanding of the threats and opportunities that these new technologies present is essential in the development of innovative and risk-adequate insurance solutions,” Mr Berg says in a monthly newsletter.

“Only then will our industry be equipped to support clients in this changing operating environment.”