Breaches in Small to Mid-Size Businesses
It’s not just the big banks and multinational corporations that are targets for cyber crime, even if their breaches tend to get the biggest headlines.
Small firms, with annual revenues less than $100 million, cut security spending by 20% in 2014, while medium firms with annual revenues of $100 million to $999 million and larger firms increased security investments by 5%. (CSOonline, 2015)
The average cost of a breach for a small or mid-sized business is over $180,000.
Legal costs alone (defense and settlements) represent 57% of breach costs. Additional costs include IT services, customer notification, and public relations expenses (Privacy RIghts Clearinghouse, 2015).
Employees will be companies’ biggest threat. Although businesses will increase focus on security protocols against external hackers this year, many companies will miss the mark on protecting against insider threat. Employees and negligence will continue to be the leading cause of security incidents in the next year.