diff --git a/handler.go b/handler.go
index 787bfe0..ed702f3 100644
--- a/handler.go
+++ b/handler.go
@@ -323,6 +323,14 @@ func (ca *Cagent) RunHeartbeat(interrupt chan struct{}) {
 				// for error code 429, wait 10 seconds and try again
 				retryIn = 10 * time.Second
 				log.Infof("RunHeartbeat: HTTP 429, too many requests, retrying in %v", retryIn)
+			} else if err == ErrHubUnauthorized {
+				// increase sleep time by 30 seconds until it is 1 hour
+				if ca.Config.Sleep < 60*60 {
+					ca.Config.Sleep += 30
+				}
+				retries = 0
+				retryIn = time.Duration(ca.Config.Sleep) * time.Second
+				log.Infof("Run: failed to send heartbeat to hub. unable to authorize with provided Hub credentials (HTTP 401). waiting %v seconds until next attempt", ca.Config.Sleep)
 			} else if err == ErrHubServerError {
 				// for error codes 5xx, wait for configured amount of time and try again
 				retryIn = time.Duration(ca.Config.OnHTTP5xxRetryInterval) * time.Second
@@ -379,6 +387,9 @@ func (ca *Cagent) sendHeartbeat() error {
 		if resp.StatusCode == http.StatusTooManyRequests {
 			return ErrHubTooManyRequests
 		}
+		if resp.StatusCode == http.StatusUnauthorized {
+			return ErrHubUnauthorized
+		}
 		if resp.StatusCode >= 500 && resp.StatusCode <= 599 {
 			return ErrHubServerError
 		}