Originally published on CyberInquirer
Computer hacking is a constantly evolving and growing
threat. While recent high-profile network security breaches at
companies such as Epsilon and Sony (with crisis management and
other costs estimated to range from $1 billion to multiples thereof
in the case of Sony) have helped raise awareness about the need to
adequately protect personal identifiable information, the problem
has existed for decades.
Yet the situation has only recently begun to receive proper
attention from the media, government officials, businesses, and
certain segments of the insurance industry. Of course, the cost of
a security breach may have something to do with that. According to
a study from Marsh and the Ponemon Institute, the typical data
breach in FY 2010 resulted in companies and their insurers have to
pay an average of $7.2 million to deal with and remedy the
situation.
