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Certain industries require particularly strong security. Financial services and health care are at the top of the list. Companies in these sectors depend even more heavily than most on maintaining customers' trust. Says McCarthy, "The impact of a security breach on a Web banking company, Internet brokerage, insurance company, or hospital (if patient records got out), would be devastating."
Cleveland Clinic chief security officer Matt Speare agrees. He says that while patient records at his company have so far remained secure, if they were ever released through an accidental or deliberate security breach, the business would see a huge loss in its patient base. Once a breach occurs, the cost can be steep. The average large company loses $20,000 per hour during the first 72 hours of its response to a security breach, according to a recent study by Gartner. A 2001 Omni Consulting Group study claimed that leaky security costs companies between 6% and 7% of annual revenue. Such costs could include loss of business from system failure and decreased customer confidence, as well as increased insurance rates and expenditures of a public relations campaign to counter lost credibility. Moreover, companies or even company officers could be liable for failing to protect information systems and data.
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