California Db Report Cover Two recent reports paint a challenging picture on businesses ability to manage data breaches. The term “data breach” refers to any situation in which an individual or group steals sensitive, protected or confidential data. By compromising sensitive information, such as payment card data, Social Security numbers and health records, data breaches place the privacy, security, and economic wellbeing of businesses and consumers at risk. Increasingly, highly sophisticated criminal organizations and state-sponsored entities located as far away as Russia, China and Eastern Europe are responsible for breaches

The Attorney General of California, Kamala Harris, just released a report that illustrates how these attacks have taken their toll. In 2013 the personal information of nearly half of the residents of the state of California was “hacked, stolen or otherwise exposed.” The number of reported data breaches increased by 28% that year and the number of California records affected increased by over 600%. With the world’s eighth largest economy and more than 38 million consumers, California is uniquely impacted by data breaches.

Ernst & Young LLP has just released a new report stating that companies now see external cybersecurity risks (external hackers) as a bigger threat than those from insiders. In previous years, insider threats were seen as the biggest risk.

Both reports can be accessed by clicking on the links below:$FILE/ey-cyber-insurance-thought-leadership.pdf