A recent survey conducted by the Ponemon Institute found that a surprising amount of small businesses have experienced—yet did not report—a breach of company data. We’ve compiled a list of the most compelling study findings, which reveal a serious gap between what small business owners feel they should be doing about data loss and what they are actually doing to prevent it.

Of the small business owners polled;

• 55% reported at least one breach of their private records.

• 33% of those 55% said they had not notified victims whose personal data had been exposed (in spite of laws in 46 different states that require victims be informed when their personal information has been breached).

• 70% agreed that a breach of personal identification data is worse than losing confidential business information.

• 85% have shared customer and employee records with outside parties for data services such as payroll, benefits, IT services and web hosting.

• 70% believe that outsourcing data puts that information at risk.

• 70% expressed an interest in purchasing insurance to cover the costs of a data breach.

• 62% don’t have legal agreements that require outside parties to assume liability for the costs of a data breach (see this video to learn more about data considerations in technology partnerships).

Source: Ponemon Institute, HSB

Article by Rochelle Bailis