Cybersecurity Awareness Month is here to serve as a reminder in staying educated on the topic so that we, as an industry, can continue to protect every single real estate transaction. The Cloudstar ransomware attack was a devastating example of an advance on the entire infrastructure – a provider of cloud-IT solutions for many settlement services companies.
Whereas individual companies were the original target before, attacks of this nature are a growing concern. According to the New York State Department of Financial Services, 2020 alone showed a 300 percent increase in ransomware attacks.
Despite their potential risk for such advances, the reward of having a cloud-based data service that grows with your company and increases productivity makes them something that every title business should consider. Cloud computing offers remote access to the most-used applications in the industry and helps manage data more efficiently. However, third-party vendors are not immune from being compromised, so title companies must reinforce their own cybersecurity for maximum protection.
As the SEC increases its efforts to tackle cyber enforcement, it’s becoming increasingly necessary to create even a simple strategy for cybersecurity – a company can’t rely on third-party vendors for everything. Some steps to take involve asking questions to your vendor, understanding their process for a potential attack, reading the fine details of your cyber liability insurance policy, and using the best practices for data storage.