A Billion+ Dollar Breach?
Sorry to intrude into your Monday with a scary story about potential data breach costs, but if you have responsibility for risk management in your firm, take a look at the breach reported today by Quest Diagnostics.
The issue – and breach – were not directly at Quest Diagnostics. Instead, the problem was at AMCA, a collections firm.
Since we have seen some cases where the cost of medical liability breaches has surpassed liability costs for simple release of personal information, or personal and credit information, there’s a risk that this breach (medical, credit, and personal) could eventually cost several BILLION dollars.
At a “breach cost” of $300 per data record and with nearly 12-million records, that’s penciling into the $3.5-billion dollar range.
The fact that it was a third-party with custody of Quest data is unlikely to shield Quest from liability. We haven’t seen a substantive case yet where it has…
We’d be please to assist in your quest for some solid cyber insurance diagnostics.