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Data Breaches May Result in Board Breakups

The ripple effect continues to haunt Target: It’s expected that seven of its board of directors members may be replaced because they failed to provide effective oversight into the corporation’s data-protection risks. Boards simply need to be more proactive in safeguarding their companies against data breaches.

2DInstitutional Shareholder Services (ISS) prepared a report on the Target data breach and aftermath. The report states that Target’s board members should have been kept in the loop pertaining to protection of sensitive information and what a breach could mean to brand reputation and customer loyalty.

“The company acknowledged the need for more stringent internal capabilities to identify potential risks with less reliance on external reports which suggested the systems were robust enough,” the report says.

The report concludes that Target failed to prepare for keeping up with today’s cyber threat technology, and that this failure comes from the audit and the corporate responsibility committees.

ISS says that these committees are responsible for being in charge of risk assessment and management. This includes the risk of fraud. The inadequate oversight in these areas paved the way to the disastrous data breach.

The ISS report should be a wakeup call to board members of all businesses. Board members need to realize the importance of directing more time, energy and money toward improving security programs.

Though the dismissal of seven of Target’s total of 10 board members may seem radical, it also has a fair degree of rationale because it sends the message that boards and senior executives need to be held accountable for their company’s cyber security.

Boards need to be practically fused with their organization’s IT experts and executive team so that they have an intimate knowledge of the steps a company is taking to protect customer information—even if none of the board members are security experts. The ramifications from poor handling of a data security incident are now things that even board members must be aware of and work to prevent.

Robert Siciliano is an Identity Theft Expert to AllClear ID. He is the author of99 Things You Wish You Knew Before Your Identity Was Stolen See him knock’em dead in this identity theft prevention video. Disclosures.

Data Breach Response Planning 101

Don’t think in terms of “if” you’ll suffer a data breach, but rather, “when.” Once you establish this mindset, it’s time for you to develop a response plan. After all, a security system that’s impenetrable has yet to be invented.

4HWhat’s even more, an amazing number of businesses don’t even have the best security system available. So again, the data breach is a “when,” not an “if.”

For starters, a response plan should include as much information about the incident as possible, remaining transparent (consult your legal team about the types of information that should and should not be disclosed) and being aggressive at managing the circumstances.

Another area to consider when developing a response plan is how the data breach will impact customers and clients—namely, their trust in the company. The Ponemon Institute states that much of the damage from a data breach stems from the loss of customer trust in the company.

Though the average number of customers who vanish following a data breach came in at 4 percent, says the study, there are enterprises that see an average “customer churn” rate of 7 percent. While it may seem small, it will undoubtedly be noticeable when it comes to the bottom line, , and the healthcare and pharmaceutical industries are just the type to suffer this degree of loss.

So how can a company prepare to retain as many customers as possible following a data breach? Be prepared, and this preparation should include a way to stay level-headed.

One way to stay cool and collected is to avoid jumping the gun when the breach occurs, because if the business is too hasty at revealing the breach, the organization will have that much less time to respond in an efficient, optimal matter. Thus, take the time to consult with experts and gather all of the facts before reacting.

Robert Siciliano is an Identity Theft Expert to AllClear ID. He is the author of99 Things You Wish You Knew Before Your Identity Was Stolen See him knock’em dead in this identity theft prevention video. Disclosures.

Make Information Security a Priority

Just about everyone has private information that should be protected. Let’s begin with something you’ve surely heard of: antivirus protection.

3DBut this isn’t enough to guard your personal data. A free antivirus service may not even update automatically, and this is very important to keep up with rapidly evolving technology. Your protection is worth the fee for Antivirus, a firewall, antiphishing software and antispyware.

When’s the last time you updated your browser? Hackers love old, outdated browsers. After you finish this article, update your browser and set your computer to automatically download any future update.

The same goes with your operating system. Update!

Don’t miss out on encryption, which scrambles data so that prying eyes can’t make sense of it. Your computer might already have the feature of encrypting folders, files or the whole disk. If not, you can get a third-party encryption program for free.

If your computer were to crash right this instant, how much data would you lose? You shouldn’t lose much if every day you back your data up on an external drive. Another option is a cloud-based storage system, which is encrypted. The fee for that may be $100 annually or less.

We all know that 123qwe is such an easy password to remember, especially if it’s for all gazillion of your accounts. You know whom else finds this very convenient? Hackers!

If it’s easy for you, it’s easy for them! Every account should have a unique password, and if this is too dizzying, then use a password manager. And choose long passwords that include various characters and exclude words that can be found in a dictionary or successive numbers/letters on a keyboard.

That wireless connection of yours is great—for your neighbor if he decides to get a free ride, or even hack into your data. A WPA2 encryption built into the router will protect you. With public WiFi, use a virtual private network like Hotspot Shield.

Your smartphone also needs protection with all the tools mentioned above, and that includes a VPN.

Robert Siciliano is an identity theft expert to BestIDTheftCompanys.com discussing  identity theft prevention. For Roberts FREE ebook text- SECURE Your@emailaddress -to 411247. Disclosures.

Being in Sync means your Data is safe

What is data synchronization? This technology synchronizes data between two or more computers and/or the cloud and automatically copies changes that are transacted between devices.

GSFile synchronization is used for home or small business backups when the user copies files to a flash drive or external hard drive. The synching prevents creating duplicate files.

For superior synching, take a look at GoodSync with its 30-day free trial. After which, for $30 (or use 33% of discount code “SICI1”), you can continue using its battleship of features. GoodSync provides remote service and also synchs with many online services.

Now let me tell you how well GoodSync works for me. Like most, my operating system resides on my C Drive. I keep my C Drive clear and free of all data so all it has to do is operate my system and contain updates, drivers and security patches. My D Drive is the DVD/CD Rom drive and My E: drive has all my data, taking up over 75 percent of the three-terabyte internal drive. My primary data is on Drive E, and this is backed up by a cloud service and then synched to my external three-terabyte F: drive.

Now, every two hours, GoodSync automatically synchs my external F: and internal E: drives. Even though all my data is in a cloud, what if my internal drive crashes? Downloading everything would be a pain. That’s where GoodSync comes in. Plus, though the cloud has its virtues, assessing data from it on a daily basis is surely not one of them.

You’ll be pleased with GoodSync’s efficient main window. Some of GoodSync’s offerings include file filtering, bidirectional/unidirectional synching, synching of deletions, and job scheduling.

Version 9 can include numerous sources and single files in one job. If you create files on your mobile, GoodSync will automatically download them. It supports SkyDive, Windows Azure, Google Docs, Amazon Cloud Drive and Amazon S3.

Don’t let the lack of flamboyant design fool you; GoodSync is as good as they come, and for tech savvy users, is a breeze. In particular, not-so-tech-savvy users will be quite impressed with the many options but will need more time to catch on. Read more about that here.

GoodSync stands out from other synching programs because it displays files from both destination and source on the right side of its main window, while the status shows on the left side. It’s best to use a dedicated destination folder for your synch.

As for connecting to online services, GoodSync supports SFTP, FTP and Webdav.

Another point is that for every PC that you wish to remotely synch, you will need a license.

There really isn’t any reason why you shouldn’t download GoodSync and take advantage of its 30-day free trial.

You have nothing to lose (literally!) with GoodSync. Get going on it.

Robert Siciliano is a digital life expert to GoodSync discussing identity theft prevention on Youtube. For Roberts FREE ebook text- SECURE Your@emailaddress -to 411247. Disclosures.

How to Prepare a Storage Device for Resale

If you want to sell a storage device, first back everything up on it with a flash drive, external drive or automated backup service. For Android or iOS, activate the Google Auto Backup service or Apple’s iCloud.

12DNext, wipe the device. No, not with a rag, but wipe out the data, completely. Reformatting the hard drive can still leave data. Hitting “delete” won’t work, either.

To wipe a Mac, use WipeDrive or the OS X Disk Utility. For Windows PCs, use Active KillDisk or McAfee Shredder. For most recent smartphones, do a factory reset, but also remove the SIM card. For extra security, use Blancco Mobile for the Android or iOS.

If you want ultimate reassurance of destroying data, destroy the device with a hammer or drill through the drive with multiple holes.

If your device is headed for recycling, make sure that the recycling company is a part of Responsible Recycling (R2) or e-Stewards certification programs. This way your recycled device won’t end up in the wrong hands.

If you donate your device, hold onto the receipt for a tax write-off.

Did you just buy an external drive or flash drive? You should format it to rid the extra software that it probably came with. This will give you more space for storing data.

How do you format an external drive in Windows?

  • Plug the drive into your computer or wall outlet.
  • Open Windows Explorer, click “Computer” and locate the drive.
  • Right-click it and hit “Format.”
  • Under “File System,” select the desired file system.
  • Under “Volume Label,” name your drive, then check “Quick Format.”
  • Hit “Start.” Confirmation will take a few seconds.
  • In Windows Explorer, open the drive; it’s ready to use.

How do you format an external drive on a Mac?

  • Go to Finder, then Applications/Utilities; double-click Disk Utility.
  • Click on your drive, go to “Erase.”
  • Under “Format,” select the desired file system.
  • Name your drive, then click “Erase.” Formatting will take a few seconds.
  • In Finder, click on the drive; it’s ready to use.

How do you format a computer’s main hard drive?

This is more complex than the above tasks. You will need a bootable USB drive or a CD. If your plan is to sell your hard drive or computer, you’ll need to completely wipe the device. Wiping is the only way to eradicate all data. Once this is done, you can reinstall the operating system by inserting the installation disk or drive.

Of course, before you reinstall, make sure that all of your data is securely backed up!

Additional instructions for installing: For Linux or OS X, you’ll probably need to just select the option to install from scratch, and this will erase the drive. For the Windows installer, wait till you see a screen that has a list of your drives. Hit “Drive Options,” then hit “Format,” and this will format your drive as NTFS. After this, click “Next” to install Windows.

Robert Siciliano is an Identity Theft Expert to Hotspot Shield. He is the author of 99 Things You Wish You Knew Before Your Identity Was Stolen See him discussing internet and wireless security on Good Morning America. Disclosures.

Data Breaches: How To Protect Your Business From Internal Threats

The biggest threat to your data may not come from external hackers. Find out how to guard against intentional or accidental internal cyber breaches.

14DThe NSA leaks we keep hearing about are a constant reminder of just how vulnerable data is and how this vulnerability can result in data breaches by organization insiders. As Reuters reported, “Edward Snowden may have persuaded between 20 and 25 fellow workers at the NSA regional operations center in Hawaii to give him their logins and passwords by telling them they were needed for him to do his job as a computer systems administrator.” It’s apparent now that the nation’s most significant intelligence and security team failed to install the most up-to-date, anti-leak software.

This news coincides with two recent reports that show insiders are becoming the most significant reason data breaches proliferate. While threats to data security and privacy are often perceived to come from the outside via criminal hackers, recent research has marked internal threats as equally dangerous to customer/client data—whether breached on purpose or by accident.

According to a recent Forrester Research report titled “Understand the State of Data Security and Privacy,” 25 percent of survey respondents said that abuse by a malicious insider was the most common way in which a breach occurred in the past year at their company, while 36 percent of breaches were caused by employee mistakes, making it the current top cause of most data breaches.

Another report, from MeriTalk, which focuses on the federal government, found that 49 percent of breaches happen when employees bypass existing security measures, such as when they’re Web surfing or downloading email or other files. If the federal government can’t protect itself against data leaks, how can small-business owners expect to adequately protect their business data? Let’s take a look at how these data leaks are happening to find out how you can protect against them.

Cracking The Code

We’re at a point where companies interested in protecting their data have invested significant resources into fighting off network attacks from outsiders by incorporating numerous layers of security, such as firewalls, antivirus software, antispyware, antiphishing software and security awareness training, but they’re leaving their data vulnerable to their employees. Companies may have malicious, Edward Snowden-like insiders who hack the network for information, including fellow employees’ passwords.

Or, on the less malicious end of the spectrum, employees may just make simple mistakes that leave the network vulnerable to data breaches. Because of this “hidden” vulnerability, company networks are often compared to candy bars that are hard on the outside and soft and chewy on the inside. Additional risks revolve around savvy employees who might have good intentions but may make the network vulnerable when they go outside existing security measures. They may find themselves forced to do this because of restrictions that prevent them from getting their jobs done.

The Meritalk study found:

  • 66 percent of federal network users believe security is time-consuming and restrictive.
  • 69 percent say their work takes longer because of additional cyber security measures.
  • One in five users report an inability to complete work because of security measures.
  • 31 percent of users work around security measures at least once a week.

Forrester found:

  • 36 percent of breaches stem from inadvertent misuse of data by employees.
  • 42 percent received training on how to remain secure at work, which means 58 percent haven’t had training at all.
  • 57 percent say they’re not even aware of their organization’s current security policies.
  • 25 percent say a breach occurred because of abuse by a malicious insider.

Guarding What’s Yours

The most important thing companies can do is to put the right security measures in place. Employees who need identification include those who are known to access critical data resources, such as those in accounting, human resources, administration, legal, personnel and account management as well as company officers and various contractors. Looking at data flow—that is, where data might be either vulnerable, shared across departments or bottle-necked—companies should work with each critical department to gradually implement security controls that create a delicate balance of security and productivity for day-to-day activities.

Data loss prevention begins with data discovery, classifying data in need of protection, and then determining what level of risk your company may face. Then you should complete a cost/benefit analysis and review the various technologies that can integrate with your existing systems. These include data loss prevention (DLP) technologies that provide real-time network activity monitoring, as well as system status monitoring from the inside out and the outside in.

The goal is to limit who has access to what data as well as determine why the person needs it. It’s also important to look for your vulnerabilities from outside attacks. DLP can simultaneously determine when employees are circumventing security because the system may be prohibiting them from getting their job done.

Other procedures and tools you might want to consider implementing include:

  • System-wide encryption
  • Tools that report alerts and events
  • Inspection access controls
  • Password management
  • Multifactor authentication
  • Device recognition
  • Data disposal for e-data, paper data and discarded devices
  • Transparency

This last one is critical because the more transparent your network security and security policies are, the more effective each department will be when communicating its requirements, needs, wants and differences.

The battle to fight criminal hackers from the outside must not hinder your employees’ progress on the inside. At the same time, you must protect against internal threats from employees, which is an equally dangerous risk that your IT department must acknowledge—and work to secure quickly.

Robert Siciliano CEO of IDTheftSecurity.com, personal security and identity theft expert and speaker is the author of 99 Things You Wish You Knew Before Your Identity Was Stolen. See him knock’em dead in this identity theft prevention video.

7 Ways we leak our Private Data

Smartphone apps. There are apps wanting your location when they do not need it. Are there any apps requesting your location? You should deny them this information unless it’s absolutely necessary.

2PAnother way your phone knows where you are in terms of location is through the data of a photo. Put up lots of photos on Facebook, and the metadata will contain your location. A stranger can then figure out your where you’ve parked yourself.

Solve this problem with these apps for iOS and Android: deGeo and Pixelgarde, respectively. They’ll rid your GPS data prior to the photos getting posted.

Too close for comfort. When services are linked together, your private information is more likely to get leaked. An example would be to hook an app into Facebook. If you link an account, that’s set to private, with a second, public account, anyone might see your activities. Unknowingly granting unwanted access to an app can result in data leakage. To make the process of figuring out all the different privacy rules, you can use MyPermissions. Don’t be lax on privacy issues.

Always being connected. Always staying connected to social networks means they can track your activities via cookies. If you don’t need to be connected online, then disconnect your device from the cyber world. However, it’s easy to forget to keep doing this.

A browser extension can solve this problem by preventing entities from tracking where you visit online. You should also make a habit of deleting cookies from your browser.

And if you want to know how your phone “knows” your shopping habits, it’s because your Wi-Fi is enabled when you walk into stores or even past a retailer without ever stepping inside; stores implement wireless technology to collect your data, even track your walking pattern inside the store. Turn your Wi-Fi connection off when being near retailers.

A retailer’s free service. Sign up for this and they’ll probably collect data from you, somehow, some way. The customer reward card that you get at the supermarket will likely collect lots of your private information.

Not encrypting. Encryption, by scrambling messages, prevents snoops from reading the messages you’re sending while they’re in transit, but the messages can still be found on your device. However, encryption is one way to reduce the amount of data that gets in unwanted hands. Encryption isn’t just for using a public computer; use it on your home computer and mobile too.

Using free WiFi. Every time you log into free WiFi you are either giving your data away through the carrier who logs your device or criminal hackers are sniffing out your information via unencrypted wireless. Never log into free WiFi without a virtual private network (VPN ) like that offered by Hotspot Shield.

Using a public computer to log into a private service. When you access one of your accounts on a computer at a coffee shop or hotel, this can leave your data on that computer. The browser’s private mode is the solution: use it. If you’re particularly concerned, use Tails, a private operating system.

Robert Siciliano is an Identity Theft Expert to Hotspot Shield VPN. He is the author of 99 Things You Wish You Knew Before Your Identity Was Stolen See him discussing internet and wireless security on Good Morning America. Disclosures.

Courts side with Consumers in Data Breach

In general, courts don’t tend to side with consumers in data breach incidents. However, a federal court in Florida is the apple among the oranges. It approved a $3 million settlement for victims whose data was on a stolen laptop in December 2009, that contained personal health information.

2D

The laptops belonged to AvMed, a health insurer, and the unencrypted data involved records of tens of thousands of the company’s customers.

Though the consumer-plaintiffs suffered no identity theft or other direct losses, they blamed AvMed of breach of contract and fiduciary duty, negligence and unjust enrichment.

These claims were dismissed by the U.S. District Court for the Southern District of Florida, but the plaintiffs appealed. The U.S. Court of Appeals for the Eleventh Circuit remanded the case.

AvMed’s attempt for another dismissal went down the tubes, prompting the company to enter into settlement talks with the plaintiffs.

The agreement says that each victim will get up to $10 for every year they made an insurance payment to AvMed, with a cap at $30. This is money, say the victims, that AvMed could have spent on better data security. The agreement also requires AvMed to pay damages to anyone who gets stung with identity theft.

AvMed will also employ encryption and new password protocols, plus GPS technology for its laptops.

Apparently, this settlement is the first in which the awarded victims didn’t have to show tangible evidence of loss.

Traditionally, courts nationwide don’t take on such claims, and that a claim lacks merit if it’s based on the possibility of future damages rather than actual concrete losses that have already occurred.

The ruling serves as a precedent for future data breach cases, to support customers’ stance that a segment of their health insurance premiums should fund data security placements.

Robert Siciliano is an Identity Theft Expert to AllClearID. He is the author of 99 Things You Wish You Knew Before Your Identity Was Stolen See him knock’em dead in this identity theft prevention video. Disclosures.

National Retail Federation pushes for Chip and PIN

The recent major retail breaches have fueled increased interest by the National Retail Federation to push for implementation of a chip and PIN payment card technology. This would make the magnetic strips on payment cards obsolete and no longer a calling card for hackers.

1C“We’re here today because the question of data security and cyber theft in retail has become a very important debate in Washington,” said David French, the senior vice president of government relations for the NRF.

The U.S. still relies upon the magnetic strip—buyers or employees swipe the card and sign for the transaction. The chip and PIN means a chip is embedded into the card. A “reader” reads the chip but also requires the cardholder to enter a PIN to complete the purchase: a two-ply authentication process.

Magnetic strips allow thieves to make counterfeit cards that work, but the chip technology would prevent this.

“It’s going to be a very expensive transition,” says Mallory Duncan, NRF senior VP and general counsel, referring to the switch from magnetic strip to PIN and chip. A chipped card costs 4-5x as much as a stripped card: a cost that card issuers are not crazy about investing in.

However, the retail industry isn’t off the hook. Duncan notes that “every one of the (payment) terminals has to be replaced and depending on whether you’re counting just retailers or doctors’ offices and other places that are thought of as retail, it’s going to be between nine to 15 million (pieces of point-of-sale) equipment that have to be replaced.”

That’s more than $1,000 per unit, she adds. The migration to chip technology includes software and training, and based on Great Britain’s cost to migrate, the U.S. could be looking at “$20 billion or $30 billion to swap out equipment,” says Duncan. And that’s an under-estimate.

The starting point for the swap is banks issuing the chipped cards, says Duncan. Then the retail industry will know it’s worth it to finish the job by implementing the terminals.

The banking industry isn’t taking well to the retail industry’s stand on who should make the first move. Banking leaders believe that recent big retail breaches were primarily caused by, as they responded to NRF’s media briefing, “failed computer security at major retailers.”

Robert Siciliano is an Identity Theft Expert to AllClearID. He is the author of 99 Things You Wish You Knew Before Your Identity Was Stolen See him knock’em dead in this identity theft prevention video. Disclosures.

Data Brokers: What Are They; How to Get Control of Your Name

Data brokers have lots of personal information about you; here’s what you can do about that.

8DEver hear of the term “data broker”?  What do you think that is? Think about that for a moment. Yep, you got it: An entity that goes after your data and sells it to another entity.

The entity that gets the data, the broker, is called a consumer data company. They snatch huge amounts of data from individuals all over the planet and sell it. And who wants your personal information? Your information is of significant value to marketers, companies doing background checks and in some cases, your government.

They want to know what you like to buy, what you’re most likely to buy, if you want to lose weight, build muscle, what kind of cars you like, where you vacation, what you eat, where you shop for clothes, what kind of disease you have, whether or not you’ve been assaulted or if you have committed a crime…all so they can get a solid picture of who you are.

You now know about data brokers: a whole new industry that reflects our evolving technology. Lawmakers have taken notice of this flourishing industry, trying to get companies to give some control to consumers over what becomes of their data.

At least one data broker makes it possible for you to see how much data is out there about you and to possibly edit and update it. But that’s not enough.

Just how much do data broker companies even know about people?

They build you up from the inside out; starting with skeletal information (name, address, age, race) and padding the meat on from there: education level, medical conditions, income, life events, (buying a home, getting divorced), driving record, law suits against you, credit scores and more. One credit reporting agency even sells lists of the names of people expecting babies and who has newborns. They even sell lists of people who make charitable donations and read romance novels. Data brokers can even get ahold of your income information.

This doesn’t mean that any one data broker knows everything about you. It’s just that a heck of a lot of personal information about you is potentially scattered all over the place. Data brokering is legal: a multi-billion dollar industry involving trillions of transactions every day. But this doesn’t mean the consumer is without rights or power. You can, indeed, do some reclaiming of your name from the data brokering industry.

How do you get control and manage your name?

Sit and wait: As mentioned, lawmakers are putting the heat on data companies to make it possible for consumers to have some control over all of this. The FTC recommended in a 2012 report that the data mining industry establish a website that reveals names of U.S. data brokers plus other relevant information.

  • Got to StopDatamine.me: Data brokers have not responded, so someone else did: a site that tells consumers who the data brokers are and their opt-out links.
  • Browse “Incognito”: with Googles Chrome browser you can open a “New Incognito Window” once opened, you’ve gone incognito. Pages you view in incognito tabs won’t stick around in your browser’s history, cookie store, or search history after you’ve closed all of your incognito tabs. Any files you download or bookmarks you create will be kept.
  • However, you aren’t invisible. Going incognito doesn’t hide your browsing from your employer, your internet service provider, or the websites you visit.
  • Use a VPN: For the ultimate in masking your webcrumbs use Hotspot Shield VPN which acts as a proxy and covers up your IP address and protects your devices and data from Wifi hackers at the same time.
  • Plugins: Browsers Chrome and Firefox offer a plethora of addons to mask your browser. DoNotTrackMe is a good one.
  • Behave: Yes, just be good, don’t commit any crimes, because you can’t erase bad behavior from government records.

Robert Siciliano is an Identity Theft Expert to Hotspot Shield VPN. He is the author of 99 Things You Wish You Knew Before Your Identity Was Stolen See him discussing internet and wireless security on Good Morning America. Disclosures.