A privacy breach can originate from poor digital security or inadequate document destruction practices. They are a serious concern for modern businesses. The impact can be devistating.

It seems like every day brings new headlines of major data breaches and identity theft. The stories you see in the news are only the most significant. In fact, they barely scratch the surface of the sheer number of incidents occurring.

Perhaps, you’re hemming and hawing about spending the money to upgrade your digital security. You are probably unsure about spending more for a professional Florida document shredding service.

However, you may not completely understand the potential impact of a data breach. Here’s what you might suffer if a privacy breach occurs and confidential data is stolen.

Reporting

There are federal, state, local, and even industry-specific privacy laws meant to protect consumer and patient data. You must comply with these policies or face the penalties.

The first thing that will happen when you suffer a data breach is that you’ll have to report the incident to the proper authorities. Additionally, you’ll have to inform any affected parties.

This can include clients, vendors, employees, and more. Maybe no data was actually stolen or used illegally. You still have to report breaches and face the consequences.

Penalties

When data breaches occur, your company could be held accountable for failure to comply with applicable privacy laws. It doesn’t matter if your computer systems were breached.

Nor does it matter if your in-house document shredding policies and procedures are subpar. This could lead to fines or even criminal charges. It depends on the particular circumstances of the case.

Let’s say you are found to be in compliance with laws and you manage to avoid penalties from authorities. You may still have to face issues with affected parties.

Lawsuits

Your clients, vendors, and/or employees might not take kindly to thieves getting hold of their personal data. That is especially true, if identity theft occurs and they suffer financial and legal issues of their own as a result.

The authorities may find that you’re in compliance with applicable privacy laws. Yet, there’s nothing to stop injured parties from launching lawsuits to seek reparations.

Loss of Business

The worst possible outcome of a data breach scenario is a loss of business. Clients and others will most likely find out that your business was the victim of a breach. Thus, their confidence in your ability to protect their sensitive data could naturally wane.

This could cost you further business with current clientele. Additionally, there is the potential loss of future clients from referrals. It could ruin your reputation and destroy your business.

Perhaps, you’re on the fence about updating digital security and hiring a mobile document shredding service. You’ll find that you have a lot more to gain than to lose from these improvements to your operations.