The pandemic has led to an accelerated transformation in the business world. Yet, identity protection continues to rely mostly on passwords. With the cost of identity fraud rising, what does the future hold?
Steering Into Change—and More Change
In 2020, businesses across the country found they could steer fast into new uses of technology, running companies and keeping people distant and safe.
Cybercriminals also found new ways to use technology and thrive. The Global Association of Risk Professionals (GARP) has summed up the current situation:
Digital dependency has brought on a surge of online fraud and other cybercrime, often exploiting the weak link of inadequate ID protection. Secure, seamless, frictionless communication and commerce remain largely theoretical.
What’s missing? Imagine an identification technology that ensures easy and authorized transactional access, whether with a banking service, business database, medical consultation or gaming platform – and without the hassle of managing or memorizing myriad passwords and personal identification numbers.
Immediately upon login, on any chosen device, using a voice command, swipe or other gesture, the user is verified and authenticated by way of a trusted, standardized and interoperable ID system.
New Solutions Exist But Passwords Persist
Experts advise that the technology for improved identity protection exists—but implementation lags. What’s missing is uniform adaption to make implementation cost-efficient and consumer-friendly. Several collaborative efforts are underway in an effort to accelerate progress and reduce reliance on passwords. One such effort is the Fido Alliance which describes work to:
Change the nature of authentication with open standards that are more secure than passwords…simpler for consumers to use, and easier for service providers to deploy and manage.
Protect Your Company’s Retirement Plan—and It’s Data Too!
As identity protection systems further evolve, it is especially important for plan sponsors to protect retirement plans are against the current rise in cybercrime.
A leading provider of ERISA Bonds, Colonial Surety Company recommends going full circle with protection. In addition to securing your plan with the required ERISA bond, go further with cyber liability coverage and fiduciary liability coverage for the plan sponsor.
Colonial makes it easy, efficient, and affordable to obtain all of this coverage, with our unique packages. Plan sponsors can choose and obtain a package online:
An Expensive Wake-Up Call: $16.9 Billion
A growing body of evidence about the cost of cybercrime might propel progress on new identity protection systems. Since 2003, Javelin Strategy & Research has conducted an annual identity fraud survey and now predicts that more invasive and costly forms of fraud will be on the rise at alarming rates. For example, investment accounts will be targeted—not “just” credit cards.
Summing up the 2020 findings, Javelin Strategy and Research concludes:
The results…serve as a wake-up call—one that will force financial institutions, businesses, and the payment industry to reevaluate how identity fraud is managed. Total identity fraud reached $16.9 billion (USD) in 2019….
What If Your Plan’s Data Is Breached?
With an ERISA Bond package from Colonial Surety Company, you will have the coverage and service you need. Our cyber liability coverage includes a dedicated team of cyber breach professionals who assist plan sponsors at every stage of incident investigation and breach response. We will coordinate forensics experts and specialized lawyers to help establish what’s been compromised, assess the plan sponsor’s responsibility, and notify impacted individuals.
In addition, Colonial’s cyber liability coverage includes the coordination of any needed credit or identity monitoring and public relations advice to help your business safeguard its reputation. Of course, Colonial’s cyber liability insurance also indemnifies and defends plan sponsors from covered lawsuits or regulatory actions that could result from a data breach.
Cyber Liability Protection Especially For Small Businesses
Colonial Surety Company provides an innovative, service-based solution to help small businesses quickly and effectively respond to data breaches and guard against legal action. Colonial’s unique services and packaged coverage options will help your business successfully manage data breaches while minimizing liability for your company.
Get started right here, right now—because Colonial Surety Company is a direct to consumer, digital insurance provider—because our focus is to arm small businesses with the efficiency they need to succeed.