What’s a cyber attack going to cost me?

31
Jul
2016
Payments System Hacking. Online Credit Cards Payment Security Concept. Hacker in Black Gloves Hacking the System, Cyber Attack, Data Breach, Hacker, Data Management, Data Center, Cloud Storage, Tallahassee, Valdosta, Tifton, Albany, Thomasville, Bainbridge, Moultrie, Jacksonville, Dothan, Atlanta
392 Views

Payments System Hacking. Online Credit Cards Payment Security Concept. Hacker in Black Gloves Hacking the System, Cyber Attack, Data Breach, Hacker, Data Management, Data Center, Cloud Storage, Tallahassee, Valdosta, Tifton, Albany, Thomasville, Bainbridge, Moultrie, Jacksonville, Dothan, Atlanta

We read about a high profile cyber attack in national media outlets on a weekly basis, but data breaches on the scale of Target and The Democratic National Committee are hard to relate to when you run an organization with less than 100 people.

According to the annual data breach report by IBM and the Ponemon Institute, the average cost of a cyber attack has risen to $4,000,000 per incident. That’s a 30% increase since 2013. As a result, organizations are increasing their spending on data breach prevention. Deloitte, a leader in cyber risk consulting, has issued a new report that points out the hidden costs of responding once a breach has occurred.

According to the Journal of Accountacy, the report lists 14 impact factors of a cyber attack, including 7 “beneath the surface” costs that are hard to quantify. Among these are:

  1. Insurance Premium Increases – your organization may be denied coverage, or you could see increases as high as 200% for the same coverage you had!
  2. Increased Cost of Debt – organizations often receive credit downgrades as a result of a breach. Target’s debt was downgraded in the wake of their cyber attack.
  3. Operational Disruption or Destruction – you’ll be focusing on things that don’t make you money.
  4. Lost Contract Revenue – Contracts are terminated and contract negotiations are harder in the wake of a breach.
  5. Lost or Tarnished Customer Relationships – customer attrition increases 30% in the wake of a cyber attack.
  6. Devaluation of Trade Name – brand loyalty declines in light of perceived weakness.
  7. Loss of Intellectual Property – this impact can last decades.

What are you doing to manage your risk?

LEAVE A COMMENT

Our Latest Consulting Insights

Why are Rural Healthcare Providers Under Such Tremendous Pressure?

Despite challenging environment, rural hospitals remain the lifeblood of many communities A love letter to rural hospitals  Rural hospitals provide more than just healthcare to their patients, they provide jobs, economic boosters, recruiting panache for local companies, and an overall sense of belonging in the […]

Read More

Learn which shredding container best suits your business

Do you have the right shredding container for your business? How many times have you walked through an office and inadvertently seen some sensitive information laying on a desk or noticed an associate piling papers in an unsecured cardboard box under their desk? We get […]

Read More

Video: Should my business scan all its records?

Answers with Anna: Should my business scan all its records? Welcome to our new video series, Answers with Anna! Featuring SRS Solutions Creator Anna Ligon, Answers with Anna answers some of the most frequently asked questions we receive. In our first installment, we tackle the question, […]

Read More

Consider Purge and Regular Shred Services for your New Year

Have you made your company’s New Year’s Resolution?  If you’re still thinking about a New Year’s Resolutions for your company, we’ve got a suggestion. Get rid of months’ – or even years’ – worth of old paper by utilizing our one-time shred purge services. Purge […]

Read More

Happy Holidays from Secure Records Solutions

The holiday season is in full swing; it is a time to celebrate and enjoy with family and friends. Before the hustle and bustle of the season gets into full swing, I always like to reflect upon the previous year. It’s been a year full […]

Read More

What’s next in the rural healthcare crisis

Imagine having to drive hours to the nearest hospital to deliver a baby or while experiencing chest pains. For those in rural areas across the country (which, according to the American Hospital Association, is nearly 20 percent of the population), this is a reality. In our […]

Read More

Tifton CEO: Secure Records Solutions Merges with ShredEZ

Tifton CEO recently shared a media release regarding Secure Records Solutions’ merger with ShredEZ out of Adel, Georgia: Tifton CEO reports that Secure Records Solutions (SRS) is a family owned and operated document management company headquartered in Thomasville, Georgia. The merger with ShredEZ, the first […]

Read More

Does your business violate the FACTA disposal rule?

The FACTA Disposal Rule is designed to prevent the unauthorized access to – or use of – information in a consumer report. Is your business compliant? When people think of business regulation, the Securities and Exchange Commission or HIPAA may come to mind first. But […]

Read More

EMR, Electronic Medical Record, EHR, Electronic Health Record, HIPAA, Scanning Medical Records, Thomasville, Tallahassee, Albany, Valdosta, Tifton, Dothan, Jacksonville, Atlanta, AHIMA, GHIMA, FHIMA

HomeTown Health 2019 Executive Leadership Program

Christopher P. Jones, Secure Records Solutions Partner, among 12 HomeTown Health Graduates of 2019 Executive Leadership Program Twelve individuals from Georgia rural hospitals and supporting organizations graduated from the HomeTown Health 2019 Executive Leadership Program. This group of individuals was recognized at the graduation and […]

Read More

How To Solve Your Office’s Space Issue

Does your office have a space issue? Hint: It’s actually a management issue! Recently, a potential client called me up and said they needed SRS to help them immediately. It was urgent – the practice’s office was literally running out of room. We, of course, […]

Read More