When security executives design the slide decks for their board room presentation about the financial risks of data breaches, they’d better increase the numbers this year. In two separate studies out today by the Ponemon Institute and Deloitte Advisory, traditional data breach costs are on the rise and at the same time the hidden costs of data breaches are also proving to be far more expensive than experts initially anticipated.
The annual Ponemon Cost of Data Breach 2016 report established its yearly benchmark statistics once again, with evidence that breach costs are going up. Sponsored by IBM, the comprehensive study found that the average cost of breaches at organizations have jumped past $4 million per incident, a 29% increase since 2013 and 5% increase since last year. The study found that average dwell time for breaches stands at 201 days, with organizations requiring another 70 days to contain breaches once they’d been identified.