5 Reasons Why Data Protection Is Important

Data protection is important to both consumers and businesses. In fact, there has never been a time when it’s been more important. Why? Because far more personal information is maintained in databases and in the cloud than ever before. If you’re a business owner, there are stiff penalties associated with failing to protect consumer data. If you’re an individual that just wants to maintain privacy, continued effort to do so is necessary. Let’s delve deeper into five reasons why data protection is important.

1. The Threat of a Data Breach is Relentless

The world seems to be obsessed with technology. As a result, we have more information online than ever before. It’s as if every waking moment of the day is in some way related to online communication. As this becomes a reality for more and more people around the globe, so does the threat of data breaches. The technology used by hackers is advanced and automated. That means there’s a much greater chance of your information being compromised. Some of the more popular scams used by hackers are phishing and automated bots that crawl the web in search of websites with vulnerabilities.

2. A Data Breach Can Tarnish Your Reputation

Even the very phrase “data breach” will cause some people to think about leading companies that have experienced one. It’s often splashed across the news because of the sheer volume of people that can be affected when the personal data of customers is compromised. Once there is a data breach, it takes time and money to restore the reputation of a business. The same can apply to an individual that has their information compromised. Resolving the problem isn’t going to happen overnight.

3. Costs Associated with Data Breaches Are High

As referenced, it takes money to resolve issues associated with a data breach. When a company is hacked, it will often cost millions of dollars in damages paid to their customers. There are also fines as a result of government regulations that may not have been followed. After a breach occurs, there’s a near certain chance of individual and class action lawsuits being filed. Interestingly, there’s a growing trend in hackers using ransomware and other forms of malware for the purpose of locking up a company’s data, which forces them to pay a fee to regain control of that data. There’s also the costs associated with the operations of the business being disrupted.

4. Data Is One of Your Most Important Assets

Depending on the nature of your business, data may very well be your top asset, perhaps only second to your employees. That data maintained in a companies database can also contain sensitive details about patents and trademarks. There is often data that enables a business to maintain a competitive advantage over others in the industry. It’s the reason why data must be fiercely protected. In fact, there are an increasing number of tools and platforms used for the purpose of collecting data on a company’s current and potential clients. This type of information, along with other important data, must be maintained using best practices for data security.

5. The Number of Tricks Used by Hackers are Increasing

A large majority of hackers are able to gain access to systems by exploiting high-level access. It’s the reason why there is so much discussion about the importance of maintaining complex passwords and changing them on a regular basis. By exploiting the credentials of a high-ranking employee, hackers can gain access to a wealth of sensitive information. A problem that a lot of companies have is difficulty with password management. Since there are systems and software programs that help to ensure password requirements are maintained, it’s a problem that can be more easily managed than in years past.

The importance of data protection in a world where technology is constantly advancing cannot be underestimated. This is an issue that must be addressed by individuals and companies at all times. It’s the type of problem that can lead to devastating and long-term consequences that cannot be overcome.

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