We all
remember what happened to Target last year when hackers broke into their
computer systems and stole valuable information from millions of customers.
This information included credit and debit card information as well as names,
mailing information and passwords. The company has lost hundreds of millions of
dollars, with a $148 million loss in the last quarter alone. Target has, and
continues, to take steps to help those affected and to eliminate the risk of
this occurring in the future. Sadly, this is but one breach in an ongoing and
worsening trend.
Recently Hold
Security, a security firm in Milwaukee uncovered a data breach that puts the
Target hackers to shame. A group of Russian hackers have collected 1.2 billion
user names and password combinations from 420,000 different websites (Perloth).
This ongoing problem with security breaches stems from the widespread use of a
system of usernames and passwords by companies and websites that store customer
information. Most people will use the same, or a slight variation of a name and
password combination of every website that they use. This makes it very easy
for hackers to steal information. Once they get a name and a password, they can
find your information on many different websites. Any company with a customer database could be
affected by a data breach. Even restaurants are vulnerable. Recently the
restaurant chain P.F. Chang’s had consumer information stolen in 33 separate locations
all across the country.
Any business
with a customer database is susceptible to a breach. Even with the best
firewalls and protection software, these things can still occur. As breaches
continue to get worse (the average cost of a data breach has increased 15%,
from $3.1 to $3.5 million in the last year (Perloth)), businesses are searching
for new ways to protect and cope with them and unfortunately, the losses they
create. There are a few ways to protect yourself from a data breach, but even
the best guards can fail. Sometimes, despite the best efforts, the only way to
manage a data breach is to insure against it. This is why Cyber Liability
Insurance is a great choice and there is no better place to start than filling
out our online application at http://www.apogeeinsgroup.com/quote.html
today.
Perlroth,
Nicole, and David Gelles. "Russian Gang Amasses Over a Billion Internet
Passwords." The New York Times.
The New York Times, 05 Aug. 2014. Web. 06 Aug. 2014.
