Over the past few years there has been a significant increase in the use of malware embedded in online advertising banners for malicious and other purposes which is not only causing damage to consumers but also significant risks to the advertising industry and websites that host or use advertising banners.

Concerns about malvertising were raised at a Senate Homeland Committee meeting in May of this year who also published a report entitled "Online Advertising and Hidden Hazards to Consumer Security and Data Privacy".

There are calls on the advertising industry to address the risks from malvertising to consumers as well as their own industry and the Interactive Adverting Bureau  (IAB) has announced that it is addressing the issue as part of its recently published five year plan.

Whilst malvertising in the past has been used to take over consumer devices and turn them into "zombie computers" used to generate revenue by producing false advertising impressions and clips online, more recently malvertising has been used to steal user data allowing cyber criminals to surreptitiously attack unsuspecting consumers.

Advertisers and website owners need to ensure that they address malvertising risks and liabilities in the contracts and insurance policies.

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