With evolving technology advances, the financial industry must pay close attention to increased exposures to their systems that are currently in place. It’s a known fact that many of the new innovations are disrupting their market and will continue to affect their sector and their customers. These developing trends will adversely affect our economy, along with the expectations of customers who may be put at risk, as well as a company’s bottom line.
As financial institutions continue collecting large amounts of personal data from customers, they face more cyber security challenges and risks than perhaps any other industry. In fact, Info security Magazine has reported that financial services firms are more likely to be hit by security incidents in comparison to most industries. With data breaches becoming more common, institutions must strive to protect their confidential files and in the event of a breach, will require Bankers insurance that specifically addresses these issues.
Consumer privacy continues to increase exponentially
Institutions should be evaluating their internal cyber security policies and implementing best practices to mitigate risks from hackers and other potential breaches. Their strategy should include offering identity protection services as an added demonstration of their commitment to protecting their customers’ data.
The fact is that because of the use of mobile devices, websites, and of course social media, the collection of consumer data is probably at its highest ever. Industries are gathering, analyzing and interpreting this data to determine trends and consumer behavior.
Financial institutions use this information as well to enhance the customer experience, improve pricing, create efficiencies in processes, and identify new opportunities and emerging trends. However, use of “Big Data” can come with its own concerns related to consumer privacy. While gathering this valuable information your company should implement cyber security best practices.
Partnering with trusted industry leaders allows you the best and safest way to achieve your goals. When evaluating partners your institution trusts to protect your customers’ data, as well as your own, it’s critical to look for a team that has a reputation for working with only the finest institutions. Don’t be discouraged by these industry challenges, instead turn them into growth opportunities by implementing value-added identity protection services, and having Bankers insurance for times when breaches occur that have the ability to cause financial and reputational harm.