Modern businesses face a growing number of cyberattacks. According to the latest Cyber Security Breaches Survey, nearly one-third of UK businesses experienced a cyber breach or attack within the year 2022-23.
As an accountancy firm, the risks are especially high due to the sensitive financial and personal data you manage on behalf of your clients. And the growing sophistication of cyberattacks means that even minor security lapses can result in significant financial and reputational damage.
So, what should you do to protect your clients? We explore some key strategies your firm can implement below.
Encrypt data
Encryption converts client information into code that can only be deciphered with a specific key. This ensures that, even if unauthorised parties gain access to the information, they cannot read or use it.
Your firm should employ end-to-end encryption for all communications and data storage. This includes encrypting emails, file transfers and cloud storage systems.
Strengthen network security
Ensuring network protection is crucial for protecting data from cyber threats. Consider taking the following steps:
- Implementing firewalls to create a protective barrier against unauthorised access to your network.
- Using a business Virtual Private Network (VPN) to encrypt your internet connection when accessing data remotely or using public Wi-Fi.
- Regularly updating and patching all software, operating systems and applications to address potential vulnerabilities.
- Installing and maintaining up-to-date anti-virus and anti-malware software on all devices.
By taking these steps, you can significantly reduce the risk of network breaches and protect your clients’ sensitive information.
Understand your safety net
While preventive measures are essential, your peace of mind may be best served by also having a safety net in place. It might be valuable to review your level of accountants’ insurance coverage to make sure it reflects the risks involved with cybersecurity, to better safeguard your practice.
Remember, the cost of a comprehensive insurance policy is often far less than the potential financial and reputational damage of a security incident.
Develop clear policies
Creating and enforcing comprehensive policies maintains a secure environment for client data. Examples include:
- Guidelines for handling sensitive information, including protocols for access, storage and disposal.
- Password policies, requiring complex, unique passwords for all accounts and implementing multi-factor authentication.
- Procedures for securely erasing redundant data to prevent stale documents from being accessed by malicious actors.
Regularly review and update these policies to address new threats and technologies.
Train employees regularly
Your staff are your most important line of defense against cyber threats. But they can also be your biggest vulnerability if not properly trained.
So, invest in regular, comprehensive security training for all employees, covering topics such as phishing detection, safe browsing habits, and proper handling of sensitive data. If you make awareness a core part of your company culture, you’ll significantly reduce the risk of human error leading to breaches.
