Canada is the Second Most Expensive Country for Data Breaches

Updated:
October 2, 2018

According to a recent report by IBM Security and the Ponemon Institute, Canada is the second most expensive country for businesses affected by data breaches. The report, 2017 Cost of Data Breach Study: Canada, found that the average total cost of a data breach is approximately $5.78 million. In addition, organizations paid about $255 per stolen record.

The report, which examined the costs incurred by 27 Canadian companies from 12 different industry sectors, found that, while the average total cost of data breaches decreased by 4 per cent over the past year, the average size of a breach increased by 3 per cent. Other interesting takeaways include the following:

Certain industries have higher data breach costs.

Companies operating in the services, financial service,s and technology sectors often paid well above the aver $255 per stolen record. Conversely, the cost of data breach for public sector, hospitality and transportation companies were much lower than the average.

Criminal attacks were the root cause of data breaches.

According to the report, 48 per cent of data breaches were caused by malicious or criminal attacks.

Detection and escalation costs increased.

The report found that costs associated with investigative activities, audit services, crisis management and communication increased from $1.94 million to $1.96 million.

Organizations that can contain a breach in less than 30 days save $1.79 million.

Containing a breach can help prevent customer loss, which saves organizations money in the end.

As technology develops, cyber threats will continue to evolve and become more advanced. When cyber attacks occur, they can result in devastating damage.

Knowing and understanding the above data can help you avoid costly and devastating cyber attacks. For further protection, consider getting cyber liability insurance, which has become an essential component of any risk management program.

FAQs

What is financial advising?

Financial advising involves providing guidance and advice to individuals, families, or businesses to help them make informed decisions about their financial matters. This can include various aspects such as investment planning, retirement planning, tax planning, estate planning, and more. Financial advisors analyze their clients' financial situations, goals, and risk tolerance to create customized strategies that align with their objectives.

Why is financial planning important?

Financial planning is crucial for several reasons:

Goal Achievement: It helps individuals set and achieve financial goals, whether they are short-term, such as buying a home, or long-term, like funding a comfortable retirement.

Risk Management: Financial planning addresses risks by considering insurance, emergency funds, and other protective measures.

Budgeting and Saving: It promotes responsible money management through budgeting and saving, fostering financial stability.

Wealth Building: Effective financial planning can lead to wealth accumulation and the creation of a secure financial future.

Can financial advisors help with debt?

Yes, financial advisors can help with debt management. They can assess your overall financial situation, create a budget, and develop strategies to pay down debt efficiently. They may also negotiate with creditors on your behalf, provide debt consolidation recommendations, and offer guidance on prioritizing and managing debt repayment.

What exactly does a financial advisor do?

The specific responsibilities of a financial advisor can vary, but generally, they:

  1. Conduct a thorough analysis of a client's financial situation, including income, expenses, assets, and liabilities.
  2. Develop personalized financial plans based on the client's goals, risk tolerance, and time horizon.
  3. Provide investment advice and portfolio management services.
  4. Offer guidance on retirement planning, estate planning, tax planning, and insurance.
  5. Monitor and adjust financial plans as needed based on changes in the client's life or market conditions.
  6. Educate clients on financial matters and empower them to make informed decisions.
What is the average fee for a financial advisor?

The fees charged by financial advisors can vary widely based on factors such as the advisor's experience, the services provided, and the region.

Common fee structures include:

Hourly Fees: Advisors charge an hourly rate for their services.
Flat or Fixed Fees: A set fee is charged for specific services or a comprehensive financial plan.
Asset-based Fees: Fees are a percentage of the assets under management (AUM).
Commission-based Fees: Advisors earn commissions on financial products they sell.
Combination of Fees: Advisors may use a combination of the above fee structures.
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It's important to discuss and clarify fee arrangements with a potential financial advisor before engaging in their services.