Recent Report Shows Increase in Frequency and Cost of Insider Threats

Insider Threat Incidents on the Rise
The cost and frequency of insider threats have gone up in the last few years, making it more important than ever before to secure your data through the proper implementation of an insider risk management program.

At ITMG, we stress the importance of having a well-designed, well-intentioned insider risk management program. Your organizational capabilities need to be up to the task especially as our relationships to work and the office environment continue to dynamically evolve. A recent report by the Ponemon Institute released in January of this year highlights the clear need for companies in every industry to plan for and reckon with potential insider threats.

Key Data from the Report

According to the Ponemon Institute’s “2020 Cost of Insider Threats Global Report”, the frequency, as well as the cost, of insider threat incidences continues to increase year-to-year. The key data to take away from the report are as follows:

  • The cost of insider threats rose 31% from 2018 to 2020, from $8.76 million to $11.45 million.
  • The number of incidents increased from 3200 to 4700 over the same timeframe, a staggering increase of 47%.
  • On average, companies who must deal with an insider incident spend over $644,000 per incident and around 2 months to contain it.
  • 13% of insider incidents were contained in less than 30 days.
  • According to a study of the insider incidents that took place, the most common root cause of an insider incident is negligence at 63%. Malicious or criminal insider incidents were next at 23%, while credential theft represented 14% of incidents.

Key Takeaways

Clearly, the numbers show a steady increase in the risk of insider compromise for organizations. We anticipate that the risk will only increase as new technology hits the market and more companies transition to remote workplace environments. It is incumbent upon IT departments everywhere to ensure their insider risk management programs are continuing to adapt to these new realities.

With negligence being such a common cause of insider incidents, it’s important to ensure that your employees are trained on the laws and regulations that relate to the work that they do. In addition, educating employees on best practices for securing devices and accounts is another worthwhile investment that should help mitigate risk and strengthen your insider risk management program. And, should an incident manifest, it’s critical to contain the incident as quickly as possible. The longer it takes to contain, the higher the economic cost will be to your organization.

Contact ITMG to Develop Strategies and Protocols Designed to Help Your Company Mitigate Your Insider Risk

ITMG is an industry leader in helping organizations throughout the United States strengthen their insider risk management programs and secure sensitive data and intellectual property. Our team of bona fide experts has the real-world experience necessary to plan out and create holistic security solutions tailored to the special needs and risks in your industry. Contact ITMG today to learn more about how we can help! You can also visit our FacebookTwitter, and LinkedIn pages for more updates and insights into the world of insider risk management.

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