Wednesday, May 7, 2014

Data Breach Costs Rise 9% in 2013

data breach, data security, corporate security
So just how much money did companies lose last year to data breaches? Which industries are most at risk? Let’s break down the facts for 2013:
  • Average cost of a data breach to US companies: $5.4 million
  • Average cost per lost record: $201
  • Industries with highest breach costs (in this order):
    • Healthcare
    • Transportation
    • Energy 
    • Financial services 
    • Communications 
    • Pharmaceuticals
    • Manufacturing

While 2013 did not reach 2011’s high ($214 per lost record), this information still represents a 9% rise in data breach costs from last year’s $188 loss per lost record—and they think this may be due to loss of customers. A 15% “churn rate” (or tendency for customers to abandon a company) based on a data breach represented a steep increase from prior years. Folks are getting wise to companies that don't make securing their sensitive information a priority.

Will this rising cost trend cause companies to sharpen their security behaviors and stay on top of the dangers? We hope so. After all, security is our business. 

Maybe your company in that high-rilibrary of security courses, security awareness campaigns, or even social engineering consulting and penetration testing. These first steps can go a long way towards ratcheting those costs down and keeping customers feeling safe and satisfied. 
sk list. Maybe you are a small company with limited resources that still feels the pressure of social engineering and identity theft. Or maybe you just need more ideas about how to secure your own company’s assets. Consider Sight Training’s