Has your business become the victim of a data security breach?
It is almost impossible to be in business and not collect or hold personally identifying information — names and addresses, Social Security numbers, etc., about your customers, employees or patients. If this information is lost or stolen, it could put these individuals at risk for identity theft
However, not all compromises of personal information result in identity theft. The type of personal information compromised can significantly affect the degree of potential damage. What steps should you take and whom should you contact if personal information is compromised? Answers vary depending on the situation; however, the following information can help you make smart, sound decisions. Check federal and state laws or regulations for any specific requirements for your business.
Here are three important steps to take when you first realize your business has encountered a data security breach.
- Notify law enforcement - When the compromise could result in harm to a person or business, call your local police department immediately. Report your situation and the potential risk for identity theft.
- Notify affected businesses - Information compromises can affect other businesses, such as banks or credit issuers. If names and Social Security numbers have been stolen, you can contact the major credit bureaus for additional information or advice.
- Notify individuals - Generally, early notification to individuals whose personal information has been compromised allows them to take steps to mitigate the misuse of their information.
Other resources for businesses facing a data security breach.
- Federal Trade Commission
Guidance from the Federal Trade Commission, the nation's consumer protection agency, provides essential steps to take when your business has encountered a data security breach.
- Internal Revenue Service
The IRS also provides information on safeguarding taxpayer data and victim assistance.
Publication 4535, Identity Theft Prevention and Victim Assistance
Publication 4600, Safeguarding Taxpayer Information: Quick Reference Guide for Business
Publication 4557, A Guide for Your Business