MINIMIZE YOUR RISK!
Why should all businesses, corporations, schools, financial institutions ad hospitals be concerned about Identity Theft, FACTA, HIPAA and GLB?
Answer: Liability, both Civil and Criminal!
Legislation:
FACTA – Applies to every business and individual who maintains, or otherwise possesses, consumer information for a business purpose. HIPAA – Applies to any organization or individuals who retain or collect health information. Gramm, Leach, Bliley Safeguard Rule – Applies to any organization that maintains personal financial information regarding it’s clients or customers. The fines from the above legislations may go up to $1,000,000 per occurrence with up to 10 years of jail time for the responsible executives. There also some cases with no statutory limitations on class action lawsuits.Identity Theft Cost to business/owners
§Employees can take up to 600 hours, mainly during business hours, to restore their identities §“If you experience a security breach, 20 percent of your affected customer base will no longer do business with you, 40 percent will consider ending the relationship, and 5 percent will be hiring lawyers!”* §“When it comes to cleaning up this mess, companies on average spend 1,600 work hours per incident at a cost of $40,000 to $92,000 per victim.”* *CIO Magazine, The Coming Pandemic, Michael Freidenberg,Safeguard and Security Rules (The FTC)
Require businesses to:§ Appoint an Information Security Officer
§ Develop a written policy to protect NPI (Non-public information)
§ Hold mandatory trainings for employees who have access to NPI
Betsy Broder with the FTC says, “We’re not looking for a perfect system but we need to see that you’ve taken reasonable steps to protect your customers information.”
If you would like a NO COST solution, contact Patrick Melvin and his team.
Additional Questions or need further information?
P.O. Box 2369
Azle TX 76098
Phone: (817) 925-1628 Fax: (817) 887-1450
