The Dangers of Data Breach via MultiHousingNews.com

Since 2005, data breaches have more than tripled as advances in technology have made the collection and sharing of information easier and more efficient. In 2011 alone, there were 558 reported U.S. data breaches resulting in the disclosure of personal information for more than 126 million people. As instances of data breach have skyrocketed, so have the costs; the Privacy Rights Clearing House estimates that data breach last year cost companies roughly $7.2 million per incident.

Nightmare scenarios look similar to Sony’s massive breach of its online video game network in 2011. That single breach led to the theft of names, addresses and credit card information of more than 100 million users and cost the company more than $171 million in damages. These frightening statistics led to 2011 being dubbed the “Year of the Data Breach.” However, increasingly smaller business operators are finding themselves facing similar issues, albeit on a more limited scale, as hackers and unscrupulous employees exploit weaknesses in their data and privacy systems.

Apartment owners and managers are particularly vulnerable to data breaches and the ensuing liabilities. They collect, use and maintain heaps of personal information through both renter and employee application processes, as well as other operational functions. Personal information typically includes the subject’s name, address, social security number and driver’s license number, as well as additional information found in leases, financial records, insurance records and other documentation.

Read more...The Dangers of Data Breach via MultiHousingNews.com