More Employers are Taking Steps to Protect Their Employees Identities
One of the most sought-after employee benefits today is Cyber Wellness Protection. Employers are taking crucial steps to protect employees from becoming victims of identity theft and suffering financial loss. A comprehensive Cyber Wellness Protection program provides active monitoring features designed to help employees remain protected from the constant threat of risks. Should the worst case occur, protection should provide full-service remediation and identity theft expense reimbursement.
A survey conducted by the Federal Trade Commission reported that consumers reported losing more than $5.8 billion in 2021. This is an increase of more than 70%. In the top five fraud categories were winning prizes, sweepstakes, lotteries, internet services, and business and job opportunities. The cost of falling victim to fraudulent acts, such as identity theft, goes well beyond the value of what has been illegally obtained, so it is no surprise that seeking protection in the workplace is becoming a priority.
What puts employees’ privacy and identities at risk?
The virtual world has become our reality at home and work. According to Pew Research Center, 85% of Americans say they go online on a daily basis. Whether we are in a zoom meeting, receiving telemedicine, using social media, paying bills online or sending an email, on a daily basis, we are expanding our digital footprint.
Our digital footprint is the virtual trail that can be used to identify each individual. This includes basic information such as name, date of birth, and social security number. It also includes information regarding current locations, email addresses and passwords, financial information, health records, shopping preferences, social media profiles, employment history, and family and friends.
All of this information is at risk of exposure whether we share it or not; tech companies track it, or hackers steal it. This exposure causes our identity and privacy to constantly be at risk. It also puts companies at risk for cyber-attacks. A data breach can occur when sensitive personal information is improperly exposed. Phishing scams are on the rise in the workplace as well. This is a scam in which users are tricked into clicking on infected links. This can happen due to simple human error, a system failure, or a cyberattack. Regardless of how it happens, Cyber Wellness Protection needs to be in place to minimize the consequences and damage.
How do data breaches affect employees?
According to statista.com, 155.8 million individuals were affected by data exposures. This is an expensive problem for an organization to face. The average cost of a data breach in the United States was $9.05 million in 2021.
These data breaches often result in identity theft. The criminals use the personal information of employees that was exposed during the breach to commit all types of identity crimes. These crimes include financial fraud, medical identity theft, and employment fraud.
- Financial fraud occurs when stolen credit cards or card numbers are used to purchase goods and services. This can damage the victim’s credit rating or even wipe out their account and retirement.
- Medical identity theft is when a thief steals someone’s health insurance information for their own use. The victim can be held financially responsible for healthcare they did not receive, and unfortunately, this can also cause detrimental problems with the victim’s healthcare record. The victim could be denied future health coverage or could have a dangerous misdiagnosis on their medical record.
- Employment fraud includes criminals filing unemployment claims and using false information. Stolen identification is used so a criminal background check can avoid revealing a criminal history and obtain a job.
What are the benefits of offering identity theft protection in the workplace?
- This benefit can be used to acquire and retain talent. The job market is extremely competitive and having comprehensive benefits in place, such as cyber wellness protection is a differentiator when employees are making decisions on their future employer.
- This benefit reduces privacy and data breach risks for your employees. More employees are working from home than ever before. Remote working provides a less-than-secure environment that puts both personal and company data at risk for data breaches, even when using a Virtual Private Network (VPN).
- Employers provide employees with peace of mind and security. This contributes to a culture of financial well-being, as well as maintaining an engaged and productive workforce.
- Prevents employees from becoming disengaged from work while dealing with the struggles of identity theft. Resolving a fraudulent incident includes calls to banks, the IRS, government, and credit card companies. Self remediation require calls during prime business hours when your employees are to be focused on work.
- Providing Cyber Wellness Protection can help strengthen an organization’s reputation, which ultimately contributes to its future success. Trust and credibility are instilled in an organization when employees feel protected and secure.
- Employees are provided the tools needed to detect and remedy the various types of identity theft. They are alerted to questionable activity and can act quickly before a problem escalates.
- A Cyber Wellness Protection benefit is flexible. It can be tailored to meet the needs of any organization. It can be offered to employees any time of the year. Employers can determine if it is a paid or voluntary benefit and at a discount.
What is included in employee identity theft protection?
Cyber Wellness Protection includes credit report monitoring. It also alerts employees when new applications for credit cards and cell phone plans are received, when there is a change of address or public record and provides possible fraud alerts. Protection will also monitor the internet and provide the employee with identity theft insurance. Employees have increased protection to avoid identity theft with tools like password managers and scanners.
Complete recovery is offered as well. If an employee does become the victim of identity theft, recovery experts act on the employees’ behalf to restore their identity to pre-theft status. An employee that is a victim of identity theft needs fast, expert help to minimize the damage and prevent further problems. A trained recovery representative knows how to contact and work with law enforcement, government, medical providers, and businesses to shut down fraudulent accounts and transactions, clean up records, and clear a victim’s name.
Cyber Wellness Protection benefits provide income protection from losses incurred due to identity theft. Insurance usually covers up to $1 million to cover any expenses related to identity recovery.
How can employers provide Cyber Wellness Protection?
The need for financial wellness, privacy and Cyber Wellness Protection benefits has never been greater. KII Consulting, Inc. works closely with clients as a trusted advisor and partner in customizing solutions that enhance engagement, retention, generate revenue, protection, and peace of mind.
For Cyber Wellness Protection and cybersecurity strategies and solutions, call KII Consulting, Inc. at 1-800-201-5563 or email [email protected].