"Small Businesses Pay Up to $1M to Recover from Breaches"

Researchers from the Identity Theft Resource Center (ITRC) conducted a new study and found that over half (58%) of US small businesses have suffered a security or data breach.  Of those hit by a breach, three-quarters experienced at least two, and a third said they had suffered at least three incidents.  Over two-fifths (44%) spent $250,000-$500,000 to cover the costs of the breach, while 16% said they were forced to pay between $500,000-$1m.   The researchers stated that unsurprisingly, over a third (36%) admitted that the breach caused their business to go into debt, while a similar number (34%) said they had to dip into cash reserves to bail themselves out. A further 15% were forced to reduce headcount as a result.  The researchers also found that 42% of respondents claimed it took 1-2 years to get back to normal after a breach, while for over a quarter of participants(28%), the road to recovery lasted 3-5 years.  The researchers stated that interestingly, while 40% of attacks were traced to external threat actors, over a third (35%) were caused by malicious employees and contractors.

Infosecurity reports: "Small Businesses Pay Up to $1M to Recover from Breaches"