Unfortunately, cyberattacks has become something that we have to live with. However, if a company that handles sensitive financial as well as personal data is hit, this becomes really concerning. In the U.S., one of the countries largest insurers, Farmers Insurance has just confirmed a data breach. The company noted that this breach had affected approximately 1.1 million policyholders and customers throughout the country. Many Americans are concerned about identity as well as financial fraud as a result of this.
What Information Was Exposed?
Farmers Insurance noted that the data breach exposed a combination of personal information as well as financial data. Even though the company is still investigating, data suggests that the hackers gained access to information such as:
- Full names
- Addresses and contact details
- Social Security numbers
- Driver’s license numbers
- Insurance policy numbers
- Limited financial details linked to payment methods
The information that the hackers have gained is important as this information can be used for years, highlighting that this can be long lasting. Unlike a stolen bank card, as this can be cancelled.
How Did It Happen?
Farmers Insurance has not given detailed information about how this occurred. However, experts believe that it may have been initiated from third-party systems or an employee target.
However, it is clear that the hackers were able to bypass the security systems and gain access to internal systems where the information was stored. This issue highlighted the increasing problems that big companies face while trying to keep up with cyber threats.
The Company’s Response
In its official statement, Farmers Insurance said it immediately launched an internal investigation upon detecting suspicious activity. Cybersecurity experts and law enforcement agencies are now involved to trace the source of the attack and prevent further breaches.
To support affected customers, Farmers is offering complimentary credit monitoring and identity theft protection services. All those individuals who have been affected should potentially be receiving notifications on how to enrol in the above-mentioned services.
What You Should Do if You’re Affected
If you are one of the 1.1 million individuals impacted, acting quickly is essential to protecting yourself. Here are the steps experts recommend:
- Check for a Notification – Farmers is contacting affected customers directly. Be on the lookout for a letter or secure email.
- Enrol in Free Credit Monitoring – Don’t ignore the offer. These services give you the heads up if there is unusual activity suspected on your account.
- Place a Fraud Alert – Contact one of the three major credit bureaus (Equifax, Experian, or TransUnion) to place a fraud alert on your credit file.
- Consider a Credit Freeze – The best defence is a freeze if you don’t intend to apply for fresh credit anytime soon. Your credit is locked down, making it impossible for anybody, including you, to create new accounts until you lift it.
- Monitor Your Accounts Closely – Check your bank, credit card, and insurance statements for any unusual activity.
The Bigger Picture
There are a lot of cyber criminals targeting U.S. companies and clients. There have been many other companies which also experienced data breaches and Farmers Insurance just adds to the list. It creates concerns amongst customers, as to how safe their information actually is.
For businesses, the takeaway is clear: investing in cybersecurity is no longer optional. For individuals, it is important to be vigilant when it comes to your personal data.
Final Thoughts
The Farmers Insurance data breach shows us that almost every company is at risk for cyber-attacks. Even though, Farmers Insurance is actively working on solving the problem, it is still important to take steps to safeguard your data.