Most Expensive Fines Companies Faced Due to IT Security Failures

 There are many system factors that may lead to security and data breaches; these include poor cybersecurity practices, outdated software programs, and human error. Believe it or not, even the biggest and most famous companies faced significant fines regarding this issue.

Big companies are the number one target of cybercriminals. They hold valuable client information and the whole business’s data, and all it takes to break into their system is a window of weak spots. IT systems of popular companies should be as superior and high-quality as the facade they’re presenting among consumers. It’s true that reputable businesses easily get trusted by customers with sensitive information, but what happens if the companies didn’t see cyberattacks coming? They literally pay the price.

The primary reason businesses, whether small or big, need a stable IT system is that their reputation is tainted after security breaches. There’s also a possibility that they lose their company. In addition to that, they have to pay hefty amounts of fines, depending on the number of affected consumers. Let’s see the mistakes of the companies below and the fine they had to pay:

• Facebook ($5 Billion)

Facebook was fined $5 billion because of the Cambridge Analytica issue, wherein they violated privacy policies and took personal information of approximately 87 million users for tailored advertisements.

• Equifax ($700 Million)

Equifax faced a huge data breach back in 2017, causing casualties on more than 147 million clients. Equifax didn’t exert much effort in following basic cybersecurity measures, which would have been enough to dodge the data breach.

• Uber ($148 Million)

Uber was issued to cover up hacked accounts in their system by paying the culprit $100k. There were more than 57 million accounts involved in the data breach. Uber faced a $148-million fine because of the security violation, on top of the covering payout.

• Anthem ($131 Million)

In 2015, Anthem, a health insurance company, experienced a massive data breach that affected 79 million clients. Personal and sensitive information like names, birth dates, medical identifications, and Social Security numbers have been exposed and stolen. The company was fined for two reasons: data breach and violations of the HIPAA or the Health Insurance Portability and Accountability Act.

• Texas Cancer Center ($4.3 Million)

Sometime between 2012 and 2013, an employee from Texas Cancer Center experienced a house burglary, resulting in a laptop and two USBs being stolen. The device and accessories contained private patient information from 33,500 people, and the worst part is, those were all unencrypted. While the data breach didn’t happen in the center, the company was fined for violating HIPAA.

As technology continues to step up, cybercrimes are getting worse. This is why superior Managed IT and cybersecurity should be implemented on a business, whether it’s just starting out or already at its peak. Contact us today, and let us help you with the network security your company needs.