Understanding the Importance of Securely Handling PII Information: Real-Life Examples

Importance of Securely Handling PII Information: Real-Life Examples

As businesses continue to operate in an increasingly digitized world, the handling of Personally Identifiable Information (PII) has become a critical topic, with security breaches causing serious harm to individuals and businesses alike. This article outlines the importance of securely handling PII with real-life examples.

What is Personally Identifiable Information (PII)?

PII refers to any data that can be used to identify and authenticate an individual, directly or indirectly. This includes a person’s name, Social Security number, driver’s license number, passport information, email address, and any other identifiers. Companies collect and store PII information in order to provide services, but this information can also be valuable to hackers and other malicious actors.

Cyber Attacks: Real-Life Examples

Cyberattacks on businesses can have severe consequences, both for affected individuals and the entity holding the PII. Consider the Equifax breach of 2017, in which nearly 150 million customers’ PII was compromised. This breach resulted in a $700 million settlement, compensation to victims, and significant financial and reputational damage to Equifax.

In another case, Marriott International experienced a breach in 2018, where the PII of approximately 327 million customers was compromised. Marriott faced significant legal action from affected individuals and state attorneys general.

Consequences of PII Breaches

Breaches of PII can lead to identity theft, fraud, and other malicious activity resulting in financial loss, legal action, and reputational damage. In addition, companies can face legal action for failure to secure this data. For example, in 2019, Capital One was fined $80 million for a breach that impacted 100 million customers.

Protecting PII

Protecting PII is essential for companies and consumers. Businesses should implement strict security protocols to ensure the safety of collected data, such as encrypting stored data, limiting access to PII on a need-to-know basis, and conducting regular security audits. Consumers should be vigilant in protecting their PII by avoiding sharing sensitive information on unsecured networks and maintaining secure login credentials.

Conclusion

PII breaches can have a severe impact on businesses and individuals. As such, it is imperative for companies to implement robust security protocols to protect the PII collected from customers. Additionally, individuals should be aware of the risks associated with sharing sensitive information and be proactive in safeguarding their own PII. By taking these steps, companies and consumers alike can protect themselves from the potentially devastating effects of PII breaches.