WHAT MAJOR RISKS ARISE OUT OF USE OF THE INTERNET & COMPUTER NETWORKS ?
Hackers can access a database and steal large quantities of confidential data in seconds. Disgruntled employees can also use a company’s network to destroy information or steal it to sell for a profit. Protecting client’s confidential information is paramount but this risk should not be managed by firewall technology alone. Liability arising from a wrongful disclosure of or failure to protect information can come from a variety of areas in addition to a “physical” breach of a company’s network security – information may be stored on a lap top which is subsequently stolen, data may be stored on a server at a third party location, information may be retrieved from disposal companies charged with destroying such information, paper files may be stolen – all of these scenarios may lead to third party law suits together with additional first party costs that will be incurred to comply with legislation governing requirements to notify all parties who may have had information compromised.
