What is a Data Breach?
Data Breach is when confidential or private information is exposed to unauthorized people. This can happen through accidental exposure or intentional theft.
Data breaches can include a wide variety of personal or business information, such as credit card numbers, passwords, email addresses and logins to social media sites. They can also include medical records, tax return information and even Social Security numbers.
It’s important to have a communications plan for when you suffer a data breach. Make sure that the plan includes a clear, plain-language FAQ for consumers to address their questions and concerns. Don’t be misleading or withhold key information that might put people at further risk of identity theft or fraud. And consult with your law enforcement contact about the timing of notifications so you don’t interfere with any ongoing investigation.
When it comes to the impact of data breaches, every organization is at risk. However, some industries are more susceptible to attacks due to the nature of their work, such as health insurance companies and retailers that deal with credit cards. Moreover, a company’s weak security measures can increase its vulnerability to breaches, including unpatched software and inadequate password protection.
For example, in 2020, the Estee Lauder breach showed that a retail chain could suffer massive damage simply by relying on insufficient cybersecurity systems. Their in-store Wi-Fi was not encrypted and their payment system wasn’t up to PCI DSS standards. In 2024, the National Public Data breach also highlighted how vulnerable data brokers can be when they don’t follow basic security practices. The stolen data included full names, birth dates and social security numbers, posing a high risk of identity theft.