Dark Reading is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

Risk

1/26/2016
09:00 PM
Connect Directly
Twitter
RSS
E-Mail
50%
50%

Post-Breach Costs And Impact Can Last Years

SANS study examines long-term effects of breach events.

The costs and implications of data breaches go far beyond the initial incident response and customer notification costs. In a new survey out by the SANS institute, only about one third of organizations are able to remediate breaches within a week of detection and the greatest financial impact from breaches extended months and even years beyond the event for the majority of organizations.

Conducted on behalf of Identity Finder, the SANS study took an in-depth dive into the post-breach ramifications of nearly 60 organizations. Coming from a fairly distributed range of organization sizes and industries, the study shows that even after remediation, over 60% of organizations still felt the impact from breaches. Meanwhile, the greatest financial impacts were felt long after the exposure occurred. Over 40% of organizations said they felt the biggest monetary pinch one- to 12 months after the fact.

These financial shocks often come from unexpected sources. For example, some organizations may recognize that there will need to be additional resources necessary to conduct forensics investigations during breaches, but don't realize they'll have to make unplanned purchases following an incident. Approximately 57% of respondents reported having to acquire additional tools for forensics or data recovery as a result of a breach.

Additionally, breaches frequently uncover root causes that require additional controls to prevent them from happening again and to keep the regulators at bay once an event brings their focus onto an organization. Nearly three-quarters of organizations needed to divert resources to bolster the development of administrative policies, and approximately 65% had to spend extra money on training and awareness programs following a breach. Additionally, 65% of organizations had to purchase technical tools outside the normal IT budget cycle, and over 60% needed to pick up physical controls in the wake of a breach. What's more, around a third of organizations realized they needed to add or change managed services to account for increased security after a breach.

"One could argue that these controls were needed anyway and that they should not be included in an accounting of post-breach costs. After all, having proactive security policies and procedures in place is always the best defense against a breach," wrote the report's author, Barbara Filkins. However, the fact that these purchases and resource allocations were sudden and unplanned invariably means they threw off the balance of budgeting and caused disruption in the flow of IT operations -- versus taking a pre-emptive and measured approach to increasing controls.

As things stand, fewer than half of organizations carry cyber insurance for breach events, and only about a third of organizations had enough coverage to completely cover post-breach costs, according to the report.

 

Ericka Chickowski specializes in coverage of information technology and business innovation. She has focused on information security for the better part of a decade and regularly writes about the security industry as a contributor to Dark Reading.  View Full Bio
 

Recommended Reading:

Comment  | 
Print  | 
More Insights
Comments
Oldest First  |  Newest First  |  Threaded View
<<   <   Page 2 / 2
RyanSepe
50%
50%
RyanSepe,
User Rank: Ninja
1/28/2016 | 10:39:14 AM
Re: Cyber insurance?
@Dr. T (10:33:36) I agree that relying on cyber insurance to heavily can be a hindrance however not having a basic policy for cyber insurance may also be detrimental. You need to way the cost of potential data loss against the policy you wish to acquire and what you are covered for. You don't want to pay more in the long run for an insurance policy than you stand to lose in a data breach.
<<   <   Page 2 / 2
COVID-19: Latest Security News & Commentary
Dark Reading Staff 7/13/2020
Omdia Research Launches Page on Dark Reading
Tim Wilson, Editor in Chief, Dark Reading 7/9/2020
Russian Cyber Gang 'Cosmic Lynx' Focuses on Email Fraud
Kelly Sheridan, Staff Editor, Dark Reading,  7/7/2020
Register for Dark Reading Newsletters
White Papers
Video
Cartoon
Current Issue
Special Report: Computing's New Normal, a Dark Reading Perspective
This special report examines how IT security organizations have adapted to the "new normal" of computing and what the long-term effects will be. Read it and get a unique set of perspectives on issues ranging from new threats & vulnerabilities as a result of remote working to how enterprise security strategy will be affected long term.
Flash Poll
The Threat from the Internetand What Your Organization Can Do About It
The Threat from the Internetand What Your Organization Can Do About It
This report describes some of the latest attacks and threats emanating from the Internet, as well as advice and tips on how your organization can mitigate those threats before they affect your business. Download it today!
Twitter Feed
Dark Reading - Bug Report
Bug Report
Enterprise Vulnerabilities
From DHS/US-CERT's National Vulnerability Database
CVE-2020-14300
PUBLISHED: 2020-07-13
The docker packages version docker-1.13.1-108.git4ef4b30.el7 as released for Red Hat Enterprise Linux 7 Extras via RHBA-2020:0053 (https://access.redhat.com/errata/RHBA-2020:0053) included an incorrect version of runc that was missing multiple bug and security fixes. One of the fixes regressed in th...
CVE-2020-14298
PUBLISHED: 2020-07-13
The version of docker as released for Red Hat Enterprise Linux 7 Extras via RHBA-2020:0053 advisory included an incorrect version of runc missing the fix for CVE-2019-5736, which was previously fixed via RHSA-2019:0304. This issue could allow a malicious or compromised container to compromise the co...
CVE-2020-15050
PUBLISHED: 2020-07-13
An issue was discovered in the Video Extension in Suprema BioStar 2 before 2.8.2. Remote attackers can read arbitrary files from the server via Directory Traversal.
CVE-2020-10987
PUBLISHED: 2020-07-13
The goform/setUsbUnload endpoint of Tenda AC15 AC1900 version 15.03.05.19 allows remote attackers to execute arbitrary system commands via the deviceName POST parameter.
CVE-2020-10988
PUBLISHED: 2020-07-13
A hard-coded telnet credential in the tenda_login binary of Tenda AC15 AC1900 version 15.03.05.19 allows unauthenticated remote attackers to start a telnetd service on the device.