A data breach occurs when unauthorized individuals gain access to a company’s sensitive information. It can lead to litigation, fines and reputational damage. Companies like Equifax, Yahoo and Target have suffered from large financial losses due to a breach. However, consumers often suffer the most from a breach, as they must spend money on credit monitoring and identity theft protection.
A breach can be caused by internal or external factors. An insider, for example, might steal credentials from a co-worker to read files without authorization permissions. They might then share this information with other employees or customers, resulting in a data breach.
Breaches can also be caused by flaws in a system or software design. For example, an error in the code of a website can allow anyone to download sensitive information from a server. These mistakes can be difficult to detect and prevent until it is too late.
When a breach is detected, the business must activate its Cyber Incident Response Plan and engage in forensic investigations with experts. This will include analyzing backup or preserved data, identifying the types of information compromised and assessing whether measures such as encryption were in place at the time of the breach. Businesses should also work with law enforcement to make sure they have the best chance of resolving the situation quickly and efficiently. It is essential to communicate with the public early and clearly about the incident so people know how to protect themselves and what to do if they have been harmed.