New York Experiences Sharp Increase in Data Breach Reports
More than 1.6 million New Yorkers were victimized by data breaches in 2016 as the state saw a 60% increase in the number of data breaches and a tripling of the number of exposed records according to a report released last week by Attorney General Eric T. Schneiderman. Equally troubling, the most frequently stolen information was social security and financial data, meaning that we are likely to experience the consequences of these breaches for years to come.
Interestingly, according to the AG, although hacking remained the leading cause of data breaches (40%); in 2016, “employee negligence, which consists of a combination of inadvertent exposure of records, insider wrongdoing, and the loss of a device or media, nearly tied hacking by accounting for approximately 37% of breaches.”
The AG’s findings are based on required notifications of data breaches mandated by §899-aa of New York Business Law. One quick take-away: the report’s findings underscore why your credit union should have clearly delineated policies about employees bringing their own devices to work, as well as guidelines about which employees are going to get access to smart phones and company equipment.