Survey Says…Cybersecurity Remains A Critical Challenge For Business

On March 14, 2018, IBM Security announced the results of a new global study on organizational cybersecurity readiness and resiliency entitled “The 2018 Cyber Resilient Organization.” The new survey includes insights from more than 2,800 sec…

On March 14, 2018, IBM Security announced the results of a new global study on organizational cybersecurity readiness and resiliency entitled “The 2018 Cyber Resilient Organization.” The new survey includes insights from more than 2,800 security and IT professionals, and makes clear that cybersecurity readiness and resilience remain a critical challenge for businesses worldwide:

  • 77% of respondents admit they do not have a formal cybersecurity incident response plan applied consistently across their organization;
  • 77% of respondents report having difficulty retaining and hiring quality IT security professionals;
  • 50% of respondents believe their incident response plan is either informal, ad hoc, or non-existent;
  • 60% of respondents consider lack of investment in artificial intelligence and machine learning as the biggest barrier to achieving cyber resilience;
  • 31% of respondents believe they have an adequate cybersecurity budget in place;
  • 29% of respondents report having ideal staffing to achieve cyber resilience; and
  • 23% of respondents say they do not currently have a CISO or security leader.

Cyber resiliency and preparedness remain a challenge for businesses worldwide.

Despite these results, 72% of respondents report feeling more cyber resilient than they were last year. Is this confidence misplaced?

The new results largely track the results of PricewaterhouseCoopers’ Global State of Information Security Survey (GSISS) 2018, which found that of the more than 9,500 senior executives surveyed in 122 countries:

  • 67% have an internet of things (IoT) security strategy in place or are currently implementing one;
  • 36% have uniform cybersecurity standards and policies for IoT devices and systems;
  • 34% have new data collection, retention and destruction policies; and
  • 34% assess device and system interconnectivity and vulnerability across the business ecosystem.

These low results for cyber preparedness and resiliency present a significant risk for business. In its Global Risk Report 2017, the World Economic Forum found that “large-scale cyber-attacks or malware causing large economic damages” or “widspread loss of trust in the internet” remain the primary business risks in North America.

Organizations must be better prepared for cybersecurity incidents, which can result from unintentional events or deliberate attacks by insiders or third parties, such as cyber criminals, competitors, nation-states, and “hacktivists.” A prior IBM Study on the cost of data breaches found, using a sample of 419 companies in 13 countries and regions, that 47% of data breach incidents in 2016 involved a malicious or criminal attack, 25% were due to negligent employees or contractors (i.e., a human factor), and 28% involved system glitches, including IT and business process failures.  Organizations that fall victim to successful cyber attacks or experience cyber incidents may incur substantial costs and suffer significant consequences, including remediation costs, increased cybersecurity protection costs, lost revenue, litigation and legal risk, reputational damage, increased insurance premiums, and damage to the organization’s competitiveness and shareholder value.

Making things more complicated, there are number of new regulatory regimes requiring covered enterprises to develop robust cybersecurity policies, safeguards, and incident response plans, including the New York Department of Financial Service Cybersecurity Rules and the US Security and Exchange Commission’s recent guidance on cybersecurity risk and incident disclosures.

If you or your enterprise are looking to assess your current cybersecurity practices, risk profile, or incident response preparedness, including legal compliance, or create new systems, policies, and processes, the Dentons cybersecurity team is prepared to help.

Dentons is the world’s largest law firm, a leader on the Acritas Global Elite Brand Index, a BTI Client Service 30 Award winner, and recognized by prominent business and legal publications for its innovations in client service, including founding Nextlaw Labs and the Nextlaw Global Referral NetworkThe Dentons Privacy and Cybersecurity Group operates at the intersection of technology and law, and has been singled out as one of the law firms best at cybersecurity by corporate counsel, according to BTI Consulting Group.  

 

Survey Says…Cybersecurity Remains A Critical Challenge For Business

On March 14, 2018, IBM Security announced the results of a new global study on organizational cybersecurity readiness and resiliency entitled “The 2018 Cyber Resilient Organization.” The new survey includes insights from more than 2,800 sec…

On March 14, 2018, IBM Security announced the results of a new global study on organizational cybersecurity readiness and resiliency entitled “The 2018 Cyber Resilient Organization.” The new survey includes insights from more than 2,800 security and IT professionals, and makes clear that cybersecurity readiness and resilience remain a critical challenge for businesses worldwide:

  • 77% of respondents admit they do not have a formal cybersecurity incident response plan applied consistently across their organization;
  • 77% of respondents report having difficulty retaining and hiring quality IT security professionals;
  • 50% of respondents believe their incident response plan is either informal, ad hoc, or non-existent;
  • 60% of respondents consider lack of investment in artificial intelligence and machine learning as the biggest barrier to achieving cyber resilience;
  • 31% of respondents believe they have an adequate cybersecurity budget in place;
  • 29% of respondents report having ideal staffing to achieve cyber resilience; and
  • 23% of respondents say they do not currently have a CISO or security leader.

Cyber resiliency and preparedness remain a challenge for businesses worldwide.

Despite these results, 72% of respondents report feeling more cyber resilient than they were last year. Is this confidence misplaced?

The new results largely track the results of PricewaterhouseCoopers’ Global State of Information Security Survey (GSISS) 2018, which found that of the more than 9,500 senior executives surveyed in 122 countries:

  • 67% have an internet of things (IoT) security strategy in place or are currently implementing one;
  • 36% have uniform cybersecurity standards and policies for IoT devices and systems;
  • 34% have new data collection, retention and destruction policies; and
  • 34% assess device and system interconnectivity and vulnerability across the business ecosystem.

These low results for cyber preparedness and resiliency present a significant risk for business. In its Global Risk Report 2017, the World Economic Forum found that “large-scale cyber-attacks or malware causing large economic damages” or “widspread loss of trust in the internet” remain the primary business risks in North America.

Organizations must be better prepared for cybersecurity incidents, which can result from unintentional events or deliberate attacks by insiders or third parties, such as cyber criminals, competitors, nation-states, and “hacktivists.” A prior IBM Study on the cost of data breaches found, using a sample of 419 companies in 13 countries and regions, that 47% of data breach incidents in 2016 involved a malicious or criminal attack, 25% were due to negligent employees or contractors (i.e., a human factor), and 28% involved system glitches, including IT and business process failures.  Organizations that fall victim to successful cyber attacks or experience cyber incidents may incur substantial costs and suffer significant consequences, including remediation costs, increased cybersecurity protection costs, lost revenue, litigation and legal risk, reputational damage, increased insurance premiums, and damage to the organization’s competitiveness and shareholder value.

Making things more complicated, there are number of new regulatory regimes requiring covered enterprises to develop robust cybersecurity policies, safeguards, and incident response plans, including the New York Department of Financial Service Cybersecurity Rules and the US Security and Exchange Commission’s recent guidance on cybersecurity risk and incident disclosures.

If you or your enterprise are looking to assess your current cybersecurity practices, risk profile, or incident response preparedness, including legal compliance, or create new systems, policies, and processes, the Dentons cybersecurity team is prepared to help.

Dentons is the world’s largest law firm, a leader on the Acritas Global Elite Brand Index, a BTI Client Service 30 Award winner, and recognized by prominent business and legal publications for its innovations in client service, including founding Nextlaw Labs and the Nextlaw Global Referral NetworkThe Dentons Privacy and Cybersecurity Group operates at the intersection of technology and law, and has been singled out as one of the law firms best at cybersecurity by corporate counsel, according to BTI Consulting Group.  

 

Survey Says…Cybersecurity Remains A Critical Challenge For Business

On March 14, 2018, IBM Security announced the results of a new global study on organizational cybersecurity readiness and resiliency entitled “The 2018 Cyber Resilient Organization.” The new survey includes insights from more than 2,800 sec…

On March 14, 2018, IBM Security announced the results of a new global study on organizational cybersecurity readiness and resiliency entitled “The 2018 Cyber Resilient Organization.” The new survey includes insights from more than 2,800 security and IT professionals, and makes clear that cybersecurity readiness and resilience remain a critical challenge for businesses worldwide:

  • 77% of respondents admit they do not have a formal cybersecurity incident response plan applied consistently across their organization;
  • 77% of respondents report having difficulty retaining and hiring quality IT security professionals;
  • 50% of respondents believe their incident response plan is either informal, ad hoc, or non-existent;
  • 60% of respondents consider lack of investment in artificial intelligence and machine learning as the biggest barrier to achieving cyber resilience;
  • 31% of respondents believe they have an adequate cybersecurity budget in place;
  • 29% of respondents report having ideal staffing to achieve cyber resilience; and
  • 23% of respondents say they do not currently have a CISO or security leader.

Cyber resiliency and preparedness remain a challenge for businesses worldwide.

Despite these results, 72% of respondents report feeling more cyber resilient than they were last year. Is this confidence misplaced?

The new results largely track the results of PricewaterhouseCoopers’ Global State of Information Security Survey (GSISS) 2018, which found that of the more than 9,500 senior executives surveyed in 122 countries:

  • 67% have an internet of things (IoT) security strategy in place or are currently implementing one;
  • 36% have uniform cybersecurity standards and policies for IoT devices and systems;
  • 34% have new data collection, retention and destruction policies; and
  • 34% assess device and system interconnectivity and vulnerability across the business ecosystem.

These low results for cyber preparedness and resiliency present a significant risk for business. In its Global Risk Report 2017, the World Economic Forum found that “large-scale cyber-attacks or malware causing large economic damages” or “widspread loss of trust in the internet” remain the primary business risks in North America.

Organizations must be better prepared for cybersecurity incidents, which can result from unintentional events or deliberate attacks by insiders or third parties, such as cyber criminals, competitors, nation-states, and “hacktivists.” A prior IBM Study on the cost of data breaches found, using a sample of 419 companies in 13 countries and regions, that 47% of data breach incidents in 2016 involved a malicious or criminal attack, 25% were due to negligent employees or contractors (i.e., a human factor), and 28% involved system glitches, including IT and business process failures.  Organizations that fall victim to successful cyber attacks or experience cyber incidents may incur substantial costs and suffer significant consequences, including remediation costs, increased cybersecurity protection costs, lost revenue, litigation and legal risk, reputational damage, increased insurance premiums, and damage to the organization’s competitiveness and shareholder value.

Making things more complicated, there are number of new regulatory regimes requiring covered enterprises to develop robust cybersecurity policies, safeguards, and incident response plans, including the New York Department of Financial Service Cybersecurity Rules and the US Security and Exchange Commission’s recent guidance on cybersecurity risk and incident disclosures.

If you or your enterprise are looking to assess your current cybersecurity practices, risk profile, or incident response preparedness, including legal compliance, or create new systems, policies, and processes, the Dentons cybersecurity team is prepared to help.

Dentons is the world’s largest law firm, a leader on the Acritas Global Elite Brand Index, a BTI Client Service 30 Award winner, and recognized by prominent business and legal publications for its innovations in client service, including founding Nextlaw Labs and the Nextlaw Global Referral NetworkThe Dentons Privacy and Cybersecurity Group operates at the intersection of technology and law, and has been singled out as one of the law firms best at cybersecurity by corporate counsel, according to BTI Consulting Group.  

 

IRS Warns About New Cyber Scam Targeting Taxpayers

Last month, the United States (US) Internal Revenue Service (IRS) issued a warning to US taxpayers that cyber criminals are increasing their efforts to steal more detailed financial information from taxpayers in order to provide a more detailed, realis…

Last month, the United States (US) Internal Revenue Service (IRS) issued a warning to US taxpayers that cyber criminals are increasing their efforts to steal more detailed financial information from taxpayers in order to provide a more detailed, realistic tax return and better impersonate legitimate taxpayers. These efforts include targeting tax professionals, human resource departments, businesses, and other enterprises that store large amounts of sensitive financial information. To mitigate against this threat, the IRS recommended that taxpayers and businesses that store taxpayer information take three steps:

  • Use Security Software. Use security software with firewall and anti-virus protections, and ensure the security software is always turned on and can automatically update. Encrypt sensitive files stored electronically, such as tax records, and use strong and unique passwords for each account.
  • Watch Out For Scams. Recognize and avoid phishing emails, threatening calls and texts from individuals posing as legitimate organizations, such as banks or credit card companies, or even the IRS. Do not click on links or download attachments from unknown or suspicious emails.
  • Protect Personal Data. Don’t routinely carry Social Security cards and make sure tax records are secure. Shop at reputable online retailers. Treat personal information like cash – don’t leave it lying around.

Recently, the IRS issued a specific warning of a quickly growing scam involving erroneous tax refunds being deposited into taxpayer bank accounts. Specifically, after stealing client data from tax professionals and filing fraudulent tax returns, cyber criminals are using taxpayers’ real bank accounts for the deposits and then using various tactics to reclaim the refund from taxpayers. In one version of the scam, criminals posing as debt collection agency officials acting on behalf of the IRS contact taxpayers to say a refund was deposited in error, and ask the taxpayers to forward the money to their collection agency. In another version, the taxpayer who receives the erroneous refund gets an automated call with a recorded voice saying the person is from the IRS. That person then threatens the taxpayer with criminal fraud charges, an arrest warrant and a “blacklisting” of their Social Security Number. The recorded voice gives the taxpayer a case number and a telephone number to call to return the refund.

In its new warning, the IRS repeats its call for tax professionals to increase the security of sensitive client tax and financial files, and outlines steps impacted individuals and enterprises may follow in the wake of a breach, including those outlined in Tax Topic Number 161-Returning an Erroneous Refund and the Taxpayer Guide to Identity Theft.

These new threats highlight the way cyber criminals are uniquely attempting to access sensitive personal information. As businesses increase their encryption and security efforts, these unique efforts by malicious actors will only increase. If you or your enterprise stores or transmits sensitive personal information, such as taxpayer identifying information, you should take time to audit your current practices surrounding how that data is secured, and how your relationships with third parties may impact that security. The Dentons cybersecurity team is prepared to help in those efforts.

Dentons is the world’s largest law firm, a leader on the Acritas Global Elite Brand Index, a BTI Client Service 30 Award winner, and recognized by prominent business and legal publications for its innovations in client service, including founding Nextlaw Labs and the Nextlaw Global Referral Network. The Dentons Privacy and Cybersecurity Group operates at the intersection of technology and law, and has been singled out as one of the law firms best at cybersecurity by corporate counsel, according to BTI Consulting Group.