Ransomware Reinfections Are on the Rise: Are MSPs Prepared?
When it comes to ransomware, many managed service providers (MSPs) assume that if they can recover quickly, they’ve won the battle. But what if the initial recovery is only the beginning of a deeper, more persistent threat?
Recent high-profile ransomware incidents have exposed a troubling pattern: reinfection weeks or even months after an initial compromise. While many MSPs pride themselves on fast recovery times, few are adequately addressing the long-tail risks of threat actors maintaining a foothold in the network — often undetected.
This blog explores why the traditional “recover and move on” approach to ransomware is no longer sufficient and what MSPs and MSSPs need to do to prevent a full-blown cycle of reinfection and reputational damage.
Ransomware Isn’t Just a One-Time Event
In recent cases, organizations that believed they had eradicated a ransomware threat discovered the attacker had left behind persistence mechanisms. These included:
- Hidden RMM agents and dormant malware
- Stolen credentials enabling repeated access
- Scheduled tasks or scripts designed to reinitiate the attack
Threat actors now commonly treat ransomware attacks as campaigns, not single events. They often wait for the environment to stabilize, then strike again — this time with more knowledge about the network and its vulnerabilities. This tactic isn’t just devious; it’s effective.
Why Reinfection Hurts More Than the First Hit
The second ransomware attack is often more devastating than the first. Why?
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Erosion of Trust: Clients lose faith in the MSP’s ability to protect their environment.
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Compromised Backups: If backups weren’t properly isolated, they might already be infected.
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Accelerated Timelines: The attacker already has credentials and knowledge of the network, allowing faster lateral movement and damage.
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Diminished Insurance Coverage: Cyber insurers may view a reinfection as negligence, limiting payouts.
Recovery ≠ Remediation
MSPs need to distinguish between recovery and remediation.
- Recovery is about restoring data and systems.
- Remediation is about removing the root cause and closing the doors that allowed the attack.
In a recent attack scenario, the MSP involved restored systems from backup within hours. However, the attacker still had valid credentials and access through unmanaged RMM tools that were never fully removed. Four weeks later, ransomware hit again — harder.
The takeaway? If the threat actor’s initial vector or access is not addressed, recovery becomes meaningless. Reinfection is inevitable.
Are You Really Kicking Out the Threat Actor?
Here’s a post-ransomware checklist MSPs must embrace:
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Audit All RMM and Remote Tools
Attackers often deploy their own tools (e.g., AnyDesk, ScreenConnect). These need to be identified and removed across all systems.
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Reset All Credentials
Including Active Directory accounts, VPN credentials, cloud logins, and administrator accounts. Assume all credentials have been compromised.
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Change All Shared Secrets and API Keys
This is especially critical if the attacker had access to PSA or RMM systems.
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Check for Scheduled Tasks and Malicious Scripts
These often hide in plain sight and execute long after recovery, reintroducing malware.
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Review Backup Configurations
Backups should be immutable and isolated from the production network. Verify that they weren’t compromised or altered before the initial attack.
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Implement Threat Hunting and Continuous Monitoring
Use EDR/XDR tools or MDR partners to actively look for persistence and lateral movement.
The Cyber Insurance Angle
Cyber insurers are increasingly skeptical. If your client suffers a second ransomware attack due to incomplete remediation, insurers may:
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Deny coverage
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Reduce payout amounts
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Drop future coverage altogether
Worse, repeated claims make it harder (and more expensive) to secure new policies.
MSPs must therefore shift focus from just recovery metrics to a validated remediation strategy. Documentation, proof of work, and detection logs are now critical components of insurability.
Reinfection Isn’t an IT Problem — It’s a Business Problem
Imagine this scenario:
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Your client experiences ransomware.
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You restore backups and get them operational.
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A month later, the same client is reinfected.
Now, your brand is tied to failure, not success. Clients will question your process. Partners will distance themselves. Insurance providers will reevaluate your security posture.
Avoiding reinfection is now a core part of business continuity and MSP credibility.
Moving From Reactive to Proactive: The New MSP Mandate
MSPs must move beyond a reactive mindset and embrace proactive threat elimination. This involves:
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MFA Everywhere: No exceptions — especially for admin tools and critical infrastructure.
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Privileged Access Management: Use just-in-time access, limit admin accounts, and segment duties.
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Endpoint Visibility: If you’re not running EDR or XDR on every device, you’re running blind.
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Threat Emulation and Testing: Regularly simulate attacks and test detection and response capabilities.
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Log Retention and Review: Keep logs longer and monitor for trends that indicate a lingering threat.
When Should You Bring in Outside Help?
One critical error MSPs make: assuming they can handle a post-ransomware environment alone.
In reality, most don’t have the tools, time, or threat intelligence to track a persistent threat actor. This is when engaging with an incident response (IR) partner or MDR vendor becomes essential.
Outside experts bring:
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Access to deeper detection and forensics tools
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Threat intel and TTP correlation
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Objective review of compromised systems
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Support with documentation and insurance processes
Operationalizing Recovery and Remediation
To avoid a reinfection crisis, MSPs need operational processes that turn lessons into muscle memory. Here are some key action items to embed:
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Standardize a Post-Breach Playbook: Include everything from credential resets to network segmentation and client communication protocols.
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Train Teams on Reinfection Risks: Reinforce that ransomware recovery is only half the battle.
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Simulate Reinfection Scenarios: Run tabletop exercises for reinfection paths, rogue RMM usage, and privilege escalation.
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Secure Internal Tools: Your own PSA, RMM, and file shares are common attacker targets. Lock them down.
Conclusion: The Second Attack Is a Failure of Strategy
In cybersecurity, surviving a ransomware event isn’t the metric of success. Preventing a second one is.
MSPs that don’t go deep on remediation are setting themselves — and their clients — up for failure. With ransomware operators becoming more sophisticated and reinfections more common, it’s time to stop measuring success by how fast systems come back online, and start measuring by how thoroughly the attacker has been eliminated.
- Recovery is table stakes. Remediation is the real test.