Data Breach Increases 33% in 2010 and You’re Next
The latest identity theft statistics released by the Identity Theft Resource Center documented 662 data breaches* in the United States in 2010. The message couldn’t be more clear:
Corporations are not yet taking identity theft and data breach seriously enough to properly train their employees, executives, and board on the BOTTOM-LINE DESTRUCTION caused by data breach.
Sure, at this point, many organizations pay lip service to data crimes. They have a privacy policy and their marketing materials state that they do everything in their power to protect your private information. Everything, that is, unless it costs them money to do so. Many corporations tend to hide behind the excuse that in these lean times, they can’t afford to take any additional security steps. But they must understand the disproportionate costs of recovering from theft rather than preventing it. In the simplest of terms, the ROI on data theft prevention training can easily be a thousand-fold. Each record lost, according to the Ponemon Institute, costs, on average, $204 to recover. Lose 1000 records (considered a very small breach), and you are suddenly out $204,000! According to the same study, the average cost for a business to recover from a data breach is $6.75 Million. The average cost to implement identity theft, social engineering and data breach training? In most cases, less than $50,000.
