Top Cyber Threats HR Companies Face 

Whether conducting duties for their own company or offering services as a consultant, HR professionals must navigate a maze of possible mishaps and concerns. In the digital age, cyber risks and exposures can present particularly prevalent threats. By understanding potential pitfalls, HR staff can limit the likelihood of something going wrong, protect sensitive data, remain compliant with regulations and maintain operational continuity.

Common Cyber Threats

HR companies may face many of the same cyber risks as others in the business world, but certain issues may be especially relevant, as these professionals often work with sensitive information on a regular or even daily basis. Consider the following cyber threats:

• Phishing—Cybercriminals may send harmful emails, often while posing as a trusted party, such as an executive or client. HR professionals may be particularly targeted, as fake job applications could contain harmful attachments disguised as resumes or cover letters.
• Ransomware—This type of malware can be a devastating type of cyberattack for HR companies. When infected, your systems and data could be locked and perpetrators may even threaten to release sensitive information, such as employees’ social security numbers or banking information.
• Insider threats—An HR company’s own staff could potentially cause significant problems. For example, a disgruntled employee might intentionally leak sensitive data stored in your systems, or an untrained employee could accidentally email confidential files to the wrong recipient. Either scenario could lead to costly lawsuits, compliance violations and a tarnished reputation.
• Physical security threats—While cybercrime might be thought of as only occurring online, perpetrators might also gain access to private data by physically stealing a laptop or other device or simply watching over the shoulder of an unsuspecting employee in a public setting. HR operations can be particularly attractive targets given their access to companies’ and employees’ sensitive information.

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Given the importance of their tasks, HR companies and professionals must be diligent in protecting the data of clients and employees. Even a momentary lapse in judgment or hasty click could instantly imperil massive amounts of private and sensitive information, potentially leading to business disruption, costly lawsuits and regulatory penalties.

At Lyceum Insurance Services, we can help you understand and address these concerns. Contact us today to learn more.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.