LastPass releases new security incident disclosure and recommendations

Image:
Tada
Images/Adobe
Stock

LastPass
was
hacked
twice
last
year
by
the
same
actor;
one
incident
was
reported
in
late
August
2022
and
the
other
on
November
30,
2022.

LastPass releases new security incident disclosure and recommendations
LastPass mobile app icon is seen on an iPhone. LastPass is a freemium password manager that stores encrypted passwords online.
Image:
Tada
Images/Adobe
Stock

LastPass
was
hacked
twice
last
year
by
the
same
actor;
one
incident
was
reported
in
late
August
2022
and
the
other
on
November
30,
2022.
The
global
password
manager
company
released
a
report
on
Wednesday
with

new
findings
from
its
security
incident
investigation
,
along
with
recommended
actions
for
users
and
businesses
affected.

Jump
to:

How
the
LastPass
attacks
happened
and
what
was
compromised

As
reported
by
LastPass,
the
hacker
initially
breached
a
software
engineer’s
corporate
laptop
in
August.
The
first
attack
was
critical,
as
the
hacker
was
able
to
leverage
information
the
threat
actor
stole
during
the
initial
security
incident.
Exploiting
a
third-party
media
software
package
vulnerability,
the
bad
actor
then
launched
the
second
coordinated
attack.
The
second
attack
targeted
a
DevOps
engineer’s
home
computer.

“The
threat
actor
was
able
to
capture
the
employee’s
master
password
as
it
was
entered
after
the
employee
authenticated
with
MFA
and
gained
access
to
the
DevOps
engineer’s
LastPass
corporate
vault,”
detailed
the

company´s
recent

security
incident
report.

LastPass
has
confirmed
that
during
the
second
incident,
the
attacker
accessed
the
company´s
data
vault,
cloud-based
backup
storage

containing
configuration
data,
API
secrets,
third-party
integration
secrets,
customer
metadata

and
all
customer
vault
data
backups.
The
LastPass
vault
also
includes
access
to
the
shared
cloud-storage
environment
that
contains
the
encryption
keys
for
customer
vault
backups
stored
in
Amazon
S3
buckets
where
users
store
data
in
their
Amazon
Web
Services
cloud
environment.

The
second
attack
was
highly
focused
and
well-researched,
as
it
targeted
one
of
only
four
LastPass
employees
who
have
access
to
the
corporate
vault.
After
the
hacker
had
the
decrypted
vault,
the
cybercriminal
exported
the
entries,
including
the
decryption
keys
needed
to
access
the
AWS
S3
LastPass
production
backups,
other
cloud-based
storage
resources
and
related
critical
database
backups.

Security
recommendations
from
LastPass

LastPass
issued
recommendations
for
affected
users
and
businesses
in
two
security
bulletins.
Here
are
the
key
details
from
those
bulletins.

The

Security
Bulletin:
Recommended
actions
for
LastPass
free,
premium,
and
families

includes
best
practices
primarily
centered
on
master
passwords,
guides
to
creating
strong
passwords
and
enabling
extra
layers
of
security
such
as
multifactor
authentication.
The
company
also
urged
users
to
reset
their
passwords.

LastPass
master
passwords
should
be
ideally
16
to
20
characters
long,
contain
at
least
one
upper
case,
lower
case,
numeric,
symbols,
and
special
characters,
and
be
unique

that
is,
not
used
on
another
site.
To
reset
LastPass
master
passwords,
users
can
follow
the

official
LastPass
guide
.

LastPass
also
asked
users
to
use
the
Security
Dashboard
to
check
the
security
score
of
their
current
password
strength,
to
turn
on
and
check
the
dark
web
monitoring
feature,
and
to
enable
default
MFA.
Dark
web
monitoring
alerts
users
when
their
email
addresses
appear
in
dark
web
forums
and
sites.

The

Security
Bulletin:
Recommended
Actions
for
LastPass
Business
Administrators

was
prepared
exclusively
after
the
event
to
help
businesses
that
use
LastPass.
The
more
comprehensive
guide
includes
10
points:

  • Master
    password
    length
    and
    complexity.
  • The
    iteration
    counts
    for
    master
    passwords.
  • Super
    admin
    best
    practices.
  • MFA
    shared
    secrets.
  • SIEM
    Splunk
    integration.
  • Exposure
    due
    to
    unencrypted
    data.
  • Deprecation
    of
    Password
    apps
    (Push
    Sites
    to
    Users).
  • Reset
    SCIM,
    Enterprise
    API
    and
    SAML
    keys.
  • Federated
    customer
    considerations.
  • Additional
    considerations.

Super
admin
LastPass
users
have
additional
privileges
that
go
beyond
the
average
administrator.
Given
their
extensive
powers,
the
company
issued
special
recommendations
for
super
admin
users
after
the
attacks.
LastPass
super
admin
recommendations
include
the
following.


  • Follow
    master
    password
    and
    iterations
    best
    practices:

    Ensure
    that
    your
    super
    admin
    users
    have
    strong
    master
    passwords
    and
    strong
    iteration
    counts.

  • Review
    super
    admins
    with
    “Permit
    super
    admins
    to
    reset
    master
    passwords”
    policy
    rights:

    If
    the
    policy
    to
    permit
    super
    admins
    to
    reset
    master
    passwords
    is
    enabled,
    and
    users
    identify
    super
    admins
    with
    a
    weak
    master
    password
    and/or
    low
    iterations,
    their
    LastPass
    tenant
    may
    be
    at
    risk.
    These
    must
    be
    reviewed.

  • Conduct
    security
    review:

    Businesses
    should
    conduct
    comprehensive
    security
    reviews
    to
    determine
    further
    actions
    to
    a
    LastPass
    Business
    account.

  • Post-review
    actions:

    Identify
    at-risk
    super
    admin
    accounts
    and
    determine
    super
    admins
    that
    have
    a
    weak
    master
    password
    or
    iteration
    count
    should
    take
    the
    following
    actions:


    • Federated
      login
      customers
      :
      Consider
      de-federating
      and
      re-federating
      all
      users
      and
      request
      users
      to
      rotate
      all
      vault
      credentials.

    • Non-federated
      login
      customers
      :
      Consider
      resetting
      user
      master
      passwords
      and
      request
      users
      to
      rotate
      all
      vault
      credentials.

  • Rotation
    of
    credentials:

    LastPass
    suggests
    using
    a
    risk-based
    approach
    to
    prioritize
    the
    rotation
    of
    critical
    credentials
    in
    end-user
    vaults.

  • Review
    super
    admins
    with
    “Permit
    super
    admins
    to
    access
    shared
    folders”
    rights:

    Reset
    the
    master
    password
    if
    the
    super
    admin
    password
    is
    determined
    to
    be
    weak.
    Rotate
    credentials
    in
    shared
    folders.

  • Investigate
    MFA:

    Generate
    the
    enabled
    multifactor
    authentication
    report
    to
    show
    users
    who
    have
    enabled
    an
    MFA
    option,
    including
    the
    MFA
    solutions
    they
    are
    using.

  • Reset
    MFA
    secrets:

    For
    LastPass
    Authenticator,
    Google
    Authenticator,
    Microsoft
    Authenticator
    or
    Grid,
    reset
    all
    MFA
    secrets.

  • Send
    email
    to
    users:

    Resetting
    MFA
    shared
    secrets
    destroys
    all
    LastPass
    sessions
    and
    trusted
    devices.
    Users
    must
    log
    back
    in,
    go
    through
    location
    verification
    and
    re-enable
    their
    respective
    MFA
    apps
    to
    continue
    using
    the
    service.
    LastPass
    recommends
    sending
    an
    email
    providing
    information
    on
    the
    re-enrollment
    process.

  • Communicate:

    Communicate
    security
    incident
    reports
    and
    actions
    to
    take.
    Alert
    users
    on
    phishing
    and
    social
    engineering
    techniques.

LastPass
alternatives
and
impact
of
the
hacks

LastPass
has
expressed
confidence
that
it
has
taken
the
necessary
actions
to
contain
and
eradicate
future
access
to
the
service;
however,
according
to

Wired
,
the
last
disclosure
of
LastPass
was
so
concerning
that
security
professionals
rapidly
“started
calling
for
users
to
switch
to
other
services.”

Top
competitors
to
LastPass

include
1Password
and
Dashlane.


SEE:

Bitwarden
vs
1Password

|

Keeper
vs
LastPass

(TechRepublic)

Experts
have
also
questioned
the
transparency
of
LastPass,
which
fails
to
date
security
incident
statements
and
has
still
not
set
the
record
straight
on
exactly
when
the
second
attack
happened,
nor
how
much
time
the
hacker
was
inside
the
system;
the
time
a
hacker
has
inside
a
system
significantly
impacts
the
amount
of
data
and
systems
that
can
be
exploited.
(I
contacted
LastPass
for
a
comment,
but
I
did
not
receive
a
reply
by
the
time
of
publication.)

For
LastPass
users,
the
consequences
of
these
recent
security
incidents
are
evident.
While
the
company
assures
that
there
is
no
indication
that
the
data
compromised
is
being
sold
or
marketed
on
the
dark
web,
business
administrators
are
left
to
deal
with
the
extensive
recommendations
issued
by
LastPass.

A
passwordless
future

Unfortunately,
the
trend
of
hacking
password
managers
is
not
new.
LastPass
has
experienced
security
incidents
every
year
since
2016,
and
other
top
password
managers
like
Norton
LifeLock,
Passwordstate,
Dashlane,
Keeper,
1Password
and
RoboForm
have
been
either
targeted,
breached
or
proved
to
be
vulnerable,
as
reported
by

Best
Reviews
.

Cybercriminals
are
increasingly
targeting
password
manager
companies
because
they
hold
the
sensitive
data
that
can
be
used
to
access
millions
of
accounts,
including
cloud
accounts
where
business-critical
systems
and
digital
assets
are
hosted.
In
this
highly
competitive
landscape,
cybersecurity
practices,
transparency,
breaches
and
data
exfiltration
can
influence
the
future
of
these
password
manager
companies.

Despite
the
fact
that
the
password
manager
market
is
expected
to
reach
$7.09
billion
by
2028,
according
to

SkyQuest

reports,
it’s
not
a
surprise
that
a
passwordless
future
continues
to
gain
momentum,
driven
by

Apple,
Microsoft,
and
Google
under
the
FIDO
alliance
.
Read
TechRepublic’s
recent
interview
with

1Password
about
its
plans
for
a
password-free
future
.

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