Australia's New Ransomware Reporting Rules: What Every Business Leader Needs to Know

The cybersecurity landscape in Australia has just taken a significant turn. As of 30 May 2025, Australia became the first country in the world to require mandatory reporting of ransomware payments—and if your business turns over more than $3 million annually, this affects you directly.

Let's cut through the noise and explore what these new Cyber Security (Ransomware Payment Reporting) Rules 2025 mean for your organisation, and more importantly, how you can turn compliance into a competitive advantage.

The New Reality: Transparency is No Longer Optional

Here's the bottom line: if cybercriminals successfully extort payment from your business, you now have 72 hours to report it to the Australian Signals Directorate (ASD). No exceptions, no extensions—and failure to comply can cost you up to $19,800 in penalties.

This isn't just another piece of red tape. It's a fundamental shift in how Australia approaches cyber resilience, and smart business leaders are already recognising the strategic opportunities this creates.

Who's Caught in the Net?

The rules are refreshingly straightforward. You're required to report if you're:

• A business operating in Australia with annual turnover exceeding AU$3 million, or
• A critical infrastructure operator under the Security of Critical Infrastructure Act

That covers a large chunk of Australian businesses. If you're wondering whether this applies to you, chances are it does.

The good news? Public sector bodies are exempt—this is squarely focused on private enterprise where the government believes transparency can make the biggest difference.

What You Actually Need to Report

The reporting requirements are comprehensive, but they're designed with a clear purpose: giving authorities the intelligence they need to protect the broader business community. When you make a report, you'll need to provide:

The Technical Details

• How the attack unfolded and what vulnerabilities were exploited
• Which ransomware variant was used
• The impact on your business operations

The Financial Reality

• What the criminals demanded versus what you actually paid
• How the payment was made (cryptocurrency, bank transfer, etc.)

The Human Element

• Details of negotiations with the extorting entity
• Timeline of communications

Remember, you're only required to share information you "know or are able, by reasonable search or enquiry to find out." The government isn't expecting you to become digital forensics experts overnight.

The Strategic Opportunity Hidden in Plain Sight

While some are viewing these rules as an additional compliance burden, forward-thinking leaders are recognising the strategic advantages they create.

Enhanced Threat Intelligence

The data you provide doesn't disappear into a government black hole. It feeds into Australia's national cyber threat picture, which means better warnings and more targeted support when new threats emerge. Your compliance today becomes your protection tomorrow.

Competitive Differentiation

Organisations that embrace transparency and demonstrate robust cyber governance will increasingly stand out in the marketplace. When clients and partners are choosing between providers, a track record of proactive cyber resilience becomes a genuine business advantage.

Insurance and Risk Management Benefits

Many cyber insurance policies are already factoring these reporting requirements into their terms. Organisations with strong compliance frameworks may find themselves in a better position when negotiating coverage and premiums.

The Deterrent Effect: Changing the Economics of Cybercrime

Here's something that doesn't get enough attention: mandatory reporting fundamentally changes the cost-benefit calculation for paying ransoms.

When payments were private, the calculation was simpler—pay up, get your data back, move on quietly. Now, every payment becomes a matter of public record, which means reputational considerations carry more weight in the decision-making process.

This isn't necessarily a bad thing. It forces organisations to invest more heavily in prevention and preparation, which benefits everyone. The businesses that get ahead of this curve will be the ones that view cyber resilience as a strategic imperative, not just a technical necessity.

Practical Steps for Implementation

The rules took effect on 30 May, but the government has indicated a six-month grace period focusing on "egregious non-compliance" rather than technical breaches. That gives you breathing room to get your processes right, but don't mistake grace for indefinite flexibility.

Immediate Actions

• Review your incident response plans to incorporate the 72-hour reporting timeline
• Establish clear escalation procedures for identifying when payments are made
• Ensure your legal and IT teams understand the new reporting requirements
• Update your cyber insurance policies to reflect the new obligations

Strategic Considerations

• Factor transparency requirements into your broader cyber risk assessment
• Consider how mandatory disclosure might influence your approach to ransom negotiations
• Evaluate whether this changes your appetite for cyber insurance coverage
• Review your crisis communications planning to account for potential public disclosure

Looking Ahead: Australia as a Global Cyber Leader

Australia's decision to lead on ransomware transparency isn't happening in isolation. The United States is developing similar rules under the Cyber Incident Reporting for Critical Infrastructure Act, and the UK is considering even more stringent measures, including potential bans on public sector ransom payments.

We're witnessing the emergence of a new international framework for cyber governance, and Australia is positioning itself at the forefront. For businesses operating here, that creates both challenges and opportunities.

The organisations that thrive will be those that see beyond compliance to the broader strategic implications. They'll use these requirements as a catalyst for building more robust cyber resilience, stronger governance frameworks, and clearer communication with stakeholders about cyber risk management.

The Bottom Line

Australia's new ransomware reporting rules represent more than regulatory change—they're a signal that cyber resilience is moving from the IT department to the boardroom, where it belongs.

The question isn't whether you can afford to comply; it's whether you can afford not to see this as an opportunity to strengthen your cyber posture and demonstrate leadership in an increasingly complex threat environment.

The businesses that get this right won't just be compliant—they'll be competitive. And in today's threat landscape, that's exactly where you want to be.

Need help navigating Australia's new cyber security requirements? Insicon specialises in helping Australian businesses turn regulatory compliance into competitive advantage. Contact us to discuss how these changes affect your organisation and what you can do to stay ahead of the curve.