By: Elisa Logan, Vice President, Growth
Data breaches are dangerous, expensive and increasingly common. An average data breach costs $3.9 million, takes 279 days to contain, and results in $5.7 million in lost business1. So given the incredibly high stakes, what’s the best way to protect your organization and policyholders from a data breach during the claim payment process? It’s a difficult question with a complex answer, but here are four basic data privacy suggestions that can help start the discussion:
Most data breaches are the direct result of careless actions by employees—things like opening a phishing email, leaving a computer unlocked, taking sensitive files home, or using bad password practices. That’s why clear, enforceable policies combined with regular cybersecurity training and employee engagement are among the best measures you can take to minimize the risks of data breaches.
Bringing in an outside expert to conduct a thorough, objective cybersecurity vulnerability assessment is one of the most effective ways to identify data security weaknesses and develop a plan to address them. This assessment should include things like physical security controls, perimeter security, encryption practices, and how vulnerable your networks and systems are to internal and external attacks. But above all, make sure your security assessment thoroughly tests your ability to identify and contain data breach attempts quickly, so you can avoid the high costs and long-term damage that can result from undetected incursions.
Today’s complex regulatory landscape affects every part of the claims payment process, so keeping up with the latest industry and government privacy, encryption, business continuity, and SLA requirements is essential. Here are four standards that you should keep on your radar. This includes knowing how they apply to your organization and what it will take to stay compliant:
Of course, none of these simple suggestions are really simple at all. They all have layers of nuance and complexity that require careful planning and significant resources. But if you approach data privacy and security the right way—and choose the right partners—you can significantly reduce the risks and consequences of data breaches.
Find out how VPay can help with your efforts to lower the risk of data breaches—with a complete, compliant claim payment solution that keeps sensitive policyholder and service provider data safe through every step of the payment process.