data breach

As a business, you may experience unauthorized access to your network from time to time. Even though some may not do much damage, losing sensitive data can be a big concern. The data in your system include your internal ones, and those of your customers and business partners. Therefore, the security of this data is essential to your business’s reputation and operations.

Get Cybersecure

While you may not grasp the overall idea of cybersecurity, various managed service providers (MSPs) have service and educational tools that can enable you to protect your business from cyberattacks. Even though these service providers can give you support remotely, it’s advisable to find one within your location. Getting a local MSP ensures that you can get immediate physical support if the need arises.

When searching for available MSPs near you, you can use your geographical location to narrow down your search. For instance, for MSPs with cybersecurity plans in Australia, you can search ‘cyber security Australia.’ Then, from the options available, you can check the one closest to your business location.

Managed service providers can help your business improve its data security. However, you should establish cybersecurity policies and practices to reinforce their services. The below points can help you with the best practices that can prevent a data breach in your business.

Frequent Staff Training

Your team members can present one of the highest risks for data loss in your business. This is because the team is a link between your network system and the outside world. Therefore, it’s vital to ensure that your team understands and practices good cyber hygiene.

It’s important to note that cyber-criminals consistently devise new forms of cyberattack. As such, keeping your staff updated on emerging risks and cybersecurity practices can help keep your data secure. You can, for example, train your team members on how to recognize phishing emails and malicious websites. In addition, you should ensure they understand the importance of using strong passwords and a virtual private network (VPN). It’d also be best to educate your team on the need to separate personal devices from work accounts, and work devices from personal accounts.

As you carry out cybersecurity training, you can follow up with an assessment to gauge its impact. For example, you may send a phishing email that can help you identify the vulnerability of your team. From these tests, you can assess the success rate of the training and know where to improve.

Create Access Levels And Monitor User Activity

Sometimes, you may want your team to have unrestricted access to perform their duties. While it may good for daily operations, it can be a significant risk to your cybersecurity. A team member may knowingly or unknowingly expose sensitive data or provide a loophole for cybercriminals to access your network.

Therefore, to minimize the risk of exposure, you should create access levels according to the users’ roles. You limit the access risk to sensitive data from possible cyberattacks by so doing. As a general rule, the most sensitive data should only be accessible to a select few.

The access privileges should then be controlled by the system admin, who can monitor user activity. This monitoring can help detect compromised user accounts or weak passwords, which can create loopholes that lead to data breaches.

Regularly Update Your Software And Firmware

Given the frequent changes in the security threats on software, most software providers always release new security patches to counter any new threats. The safety measures you use today may not be as effective tomorrow. Therefore, you should constantly update your software and firmware to install the latest security patches and improve your cybersecurity.

You can set these updates to occur when the system is less in use. This allows the updates to finish without any interruption. It’s also essential to ensure your team understands the necessity of updating their workstations.

Establish And Practice A Data Backup And Recovery Process

In some cases, a cybersecurity breach can delete data from your system. Therefore, having a data backup plan enables you to restore your network close to the pre-data breach level. An effective backup plan should allow you to back up your data regularly and automatically. Additionally, it should involve a remote backup and an off-site backup.

Most managed service providers can provide you with a cloud-based backup package. On the other hand, an off-site backup means that the backup device is disconnected from your network after the backup process is complete. The backup frequency should allow the least loss in case a security breach occurs between backup schedules. Thus, it can be hourly, daily, or weekly, depending on your operations and data sensitivity.

Implement Multi-Factor Authentication

Using passwords alone can still pause a security risk if the login credentials fall into the wrong hands. Therefore, you should implement multi-factor authentication (MFA) or two-factor authentication before one can enter your network. Using MFA creates an extra layer of security that ensures the access request is from an authorized user. It’s important to note that using MFA shouldn’t eliminate the need to use strong passwords.

Conclusion

The frequently evolving cyber threats mean that protecting your data from breaches can be quite challenging. The loss from a data breach can be damaging and irreversible. However, you can minimize the risks and ensure your data are safe with the above best practices.

It seems like every time a person cuts the TV on today or opens a newspaper, they read about another major company suffering a data breach. Business owners understand the importance of data and protect this information from those who shouldn’t have access to it. They are very cautious when it comes to customer and payment information, but criminals continue to find ways to make it into systems and steal the data.

The criminals recognize that the data collected by companies has value to them as well. Any business that accepts debit and credit card payments could find they are a victim of this crime. No business is immune, and the cost of a data breach is enormous.

In 2018 Ponemon Institute conducted the Cost of a Data Breach Study. This project found that the average cost of each lost or stolen record was $148 in 2018. Imagine how much that has gone up in three years. At that time, the average cost for a business when its data was breached came in at $3.86 million globally. This represented a 6.4 percent increase over the prior year. Sadly, this figure has likely gone up in the past three years as well.

Companies often obtain insurance to protect them in the event of a data breach, and business owners need to ask about this type of policy when shopping for insurance. Many people fail to do so, which is a mistake. Every business owner, regardless of the company’s size, must understand the consequences they face if the wrong person gets their hands on customer data and payment information. With this information, the business owner can determine their level of risk.

A business owner should never assume criminals won’t target their enterprise because it is too small. Criminals count on them thinking this way, as they know it means the business owner hasn’t fortified their system. It remains vulnerable to attacks, and criminals like easy jobs. They take less time and still pay out big rewards in many cases.

Small business owners must know how to understand risk, anticipate potential actions, and take measures to protect against these actions. To do so, they must clearly understand the consequences they face if they fall victim to a data breach. What are these consequences?

Short-Term Consequences

Every business that accepts debit and credit cards is knowledgeable when it comes to chargebacks, as they have probably encountered one or more customers who have disputed a transaction. Some chargebacks are legitimate, but fraudulent claims remain commonplace. Sadly, business owners know how costly these claims are.

While the consequences of a data breach aren’t immediately known, they damage the company’s bottom line. The business will find it faces direct financial consequences as a result of the breach. This includes fines, investigations, and increased security costs.

When a company suffers a data breach, the Payment Card Industry Security Standards Council has the power to fine or penalize the business. In addition, other card network brands and regulatory agencies may impose fines on the business. These fees quickly add up.

The victim of the data breach is required to conduct a forensic investigation to learn how the breach occurred. While the investigation is of great help in identifying any problems within the company’s computer system, it eats up valuable time and money. This could be disastrous for some businesses.

Furthermore, the business might find it is required to provide credit monitoring for customers impacted by the breach. The business becomes responsible for the cost of this monitoring. It also becomes responsible for costs associated with any remediation efforts. These efforts could include identity theft repair, replacement of any cards impacted by the breach, and more. The Payment Card Industry retains the right to impose additional compliance requirements on a business that has suffered a data breach.

Long-Term Consequences

However, the short-term consequences of a data breach shouldn’t be the company’s biggest concern. It needs to focus on rebuilding the trust of its customers. Consumers share their sensitive information with those they trust. They do so with the belief the business has taken the necessary steps to safeguard this information from others.

In fact, a study conducted in 2017 by PwC found that 92 percent of consumers believe every company must remain proactive when it comes to protecting customer data. A failure to do so can have devastating effects. It may even lead to the loss of customers or the closing of the business permanently.

In order to be successful, a business must maintain a good reputation. It serves as the organization’s most valuable asset, and every company must protect the brand at all costs. The PwC study looked at consumer response to a data breach and found that even one breach can harm a beloved company. Eighty-five percent of consumers taking part in the study stated they would avoid a business if they didn’t trust the company’s security practices.

A business owner shouldn’t despair if their company falls victim to a data breach. With time and effort on their part, they will find they can recover from this breach. Sadly, their bottom line will suffer as they work to regain the trust of consumers and rebuild their reputation. Furthermore, some customers will never return. The loss of even one customer is damaging to a business, as it costs more to gain a new customer than it does to retain an existing one.

Verizon conducted a study in 2018 looking at consumer attitudes toward data security and privacy. This study found 69 percent of those taking part would not work with a company that had its data breached. Imagine losing 69 percent of your customers. Very few businesses could survive this.

Every business owner must recognize the consequences of a data breach and use this information to protect their organization. This involves creating an action plan that outlines specific steps for safeguarding customer data and payment information. If help is needed in this area, don’t hesitate to seek it out. It’s better to pay a third party to protect customer data than to lose the trust of the public. Make this a priority in your budget, as you can’t afford to do without the added level of protection.

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How To Prevent A Data Breach: 5 Best Practices