Ignorance is no excuse when it comes to violating data protection regulations. Beauty retailer Sephora was recently fined $1.2 million for selling customer data without consent. It doesn’t matter whether they knew or not that they were in breach of federal privacy code. This is a lesson for all organizations: it is incumbent on you to ensure compliance with regulatory requirements.
The results can be devastating. A million-dollar fine isn’t much for Sephora, but it can put a mid-market company out of business. There’s not just the financial hit, but also the loss of reputation and impact on customer loyalty and relationship, which can have a downstream ripple effect that is difficult to overcome.
Fortunately, help is at hand. Your insurance provider should be able to provide counsel. But they almost always have cybersecurity and/or regulatory compliance riders in their policies. In other words, if you don’t meet certain conditions, they may not cover you in the event of an incident. So now is the time to ensure you are meeting their requirements.
In the automobile industry, Coro has partnered with ComplyAuto, the #1 dealership privacy & cybersecurity platform. Helping auto dealers comply with privacy and cybersecurity laws is all they do. ComplyAuto and we have a pro-active approach: help companies see if they are in violation ahead of time, then correct the issue before regulators find out and fine them. Our free detection is a powerful asset for this. For instance, it can detect Data Loss Prevention; DLP can often go undetected for extended periods of time, silently putting a company at risk.
The moral: just like your personal health, early detection is the key to successful outcomes. The ball is in your court.