NEWS ALERTS - Breaking News Alerts from IDT911
Average Breach Costs Fell Last Year
Companies paying less to cover breach fallout
Monday, June 18, 2012
The average cost an organization faced to remediate the effects of a data breach
suffered in 2011 was down from the previous year, or any point since 2007.
Data breach costs had been rising steadily since 2005, but the Ponemon Institute recently revealed that these expenses dipped significantly last year, according to a report from the Orlando Business Journal
. The average data breach cost the organizations that suffered them $5.5 million in 2011, down from $7.2 million in 2010, and lower than the just $6.4 million observed in 2007.
This change may reflect that organizations are now doing more to reduce the risk of data breaches
taking place by increasing the security of the information they protect. Often, the costs that stem from these incidents come not only from the cost of remediating affected consumers' identities, but also from the investigations and increased security that they have to deal with as a result of the breaches.Ondrej Krehel
, chief information security officer for Identity Theft
911, writes regularly about the threats data breaches pose to consumers and what can be done to reduce these concerns.
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