It appears no one is immune to cyber data breaches – even the government and the nation’s “most beautiful”. A recent slew of breaches underscore the importance of cyber coverage for clients, as sensitive information can easily be stolen or mistakenly shared.
Among the victims is dating website Beautifulpeople.com, which was targeted this week by a malicious data theft. Hackers leaked members’ private information to the black market including names, contact information, sexual preference, relationship status and private messages.
The site’s controversial premise may have painted it as a prime target (members are only admitted if deemed aesthetically pleasing), but it’s not just sensational businesses that are at risk. A number of Kirkland Lake, Ontario residents were in for a surprise when they were mistakenly mailed the social insurance numbers, names and contact information of others from the Canada Revenue Agency – not once, but twice. The mistake was flagged by local NDP MP Charlie Angus, who called on federal privacy commissioner Daniel Therrien to investigate after constituents received the packages on April 6 and 12. And it’s not the first security offense for the CRA; the Crown Corporation was audited by the privacy commission in 2013 regarding its access to sensitive personal and financial data, with 13 recommendations made for better safeguards to protect citizen information.
Small businesses are among the most vulnerable to cyber attacks, falling victim in 31% of all cases. Insurance companies are also among the most targeted, according to Verizon’s 2015 Data Breach Investigations Report. Financial institutions, brokers, banks and credit unions are also named as highly vulnerable.
According to the Ponemon Institute, companies affected by cyber breaches experience an average loss of $250 per capita, for an average organizational total of $5.32 million. The uptick in loss prompted Lloyd’s of London to note the cyber insurance market has seen a 50% year-over-year increase within the first three months of 2015.
