Data security represents both a new global market opportunity to improve insurance coverage and a new risk, especially for independent insurance agencies that may fail to comply with data security laws to protect their own businesses from data breaches.
Data Breach has probably been one of the most popular “white collar criminals” in the past four years. A lot of legislation has been passed and data security breaches have become a common problem, so customers are a little more aware that a breach can happen compared to before. With the increase in business over the internet and the presence of Wi-Fi (wireless internet access), it is virtually impossible to secure all that information. In other words, while electronic evidence can be dynamite, the casual nature of email can expose crucial evidence.
Encryption is perhaps one of the most commonly used methods to protect the data on file servers, Virtual Private Networks (VPN), and databases. Encryption helps reduce the chance of business data loss or data breach incidents. Often the data security breaches are due to the lack of proper procedures to prevent employee mischief. The company found that IT people in their company who do the work have no background checks, but are allowed access to the systems. So we see that many security breaches are committed by insiders that should have been prevented.
Part of the renowned data breach protection company, it provides data breach solutions, risk assessment, forensics, and fully managed victim identity recovery to businesses, financial institutions, and government agencies. They have protected millions of individuals from identity theft and created the Identity Crime Victim Bill of Rights.
Any organization that fails to achieve full compliance and has a data breach could face significant imputed and unnecessary costs, class action lawsuits, and enforcement action by state or federal authorities. Businesses that take proactive measures by leveraging resources with extensive expertise in privacy, compliance and breach response help minimize the risk of a security incident and associated costs. Regulations aside, a data breach can damage an organization’s credibility and pose enormous medical and financial risks to the people whose data has been lost.
The Breach Prevention Program can assist organizations in assessing all aspects of PHI security and data breach readiness, including without limitation the below:
o Self-Risk Self-Assessment – a powerful analytical tool that helps identify existing data risk hotspots and determine how well exposures are protected at current security levels.
o Privacy Awareness Training Courseware helps organizations meet the requirement of continuing education for their employees who must and must handle sensitive personal information.
o Incident Response Plan is designed for facility decision makers in identifying roles/responsibilities and organizing policies/procedures for responding to a data breach.
o Legal updates ensure that customers stay informed about data breach notifications and related privacy regulations.
At times, forensic accountants can be at risk of unknowingly violating privacy and confidentiality laws as they investigate issues ranging from fraud to insolvency that require access to company information. Forensic accountants looking at personal information stored electronically could be breaking data protection rules, according to some ID breach experts. That is why it is important in the first place to be careful with a legal adviser. Before starting a financial crime investigation, check with the company’s legal counsel and a local attorney about state and federal laws.
All of these are necessary when certain investigative measures need to be taken that may violate workers’ workplace rights or people’s constitutional rights. There are also special procedures for collecting and processing evidence of financial crimes. This is a very complex area of crime fighting where an investigation can easily backfire and you may be exposing yourself and the organization to potentially more harm than before you started the investigation. Therefore, a forensic accountant must avoid breaking the rules while investigating crime cases that have been found to break certain rules.