Sedgwick has confirmed that hackers have breached a file transfer system within its subsidiary that caters to government agencies. This compromise raises serious concerns about the security of sensitive data handled by the subsidiary, as it primarily deals with information from various government entities. The incident highlights ongoing vulnerabilities in systems that support critical infrastructure and public services. As investigations continue, the extent of data accessed or stolen remains unclear. This attack serves as a reminder for organizations, especially those dealing with government contracts, to bolster their cybersecurity measures to protect against similar threats.