Data breaches rose sharply in 2008, study says Most of the lost data was neither encrypted nor password-protected

By Jeremy Kirk

January 7, 2009 (IDG News Service)

More than 35 million data records were breached in 2008 in the U.S., a figure that underscores continuing difficulties in securing information, according to the Identity Theft Resource Center (ITRC).

The majority of the lost data was neither encrypted nor protected by a password, according to the ITRC’s report.

It documents 656 breaches in 2008 from a range of well-known U.S. companies and government entities, compared to 446 breaches in 2007, a 47% increase. Information about the breaches was collected by tracking media reports and the disclosures companies are required to make by law.

Data breach notification laws vary by state. Some companies do not reveal the number of data records that have been affected, which means the actual number of data breaches is likely much more than 35 million.

“More companies are revealing that they have had a data breach, either due to laws or public pressure,” the ITRC wrote on its Web site. “Our sense is that two things are happening — the criminal population is stealing more data from companies and that we are hearing more about the breaches.”

The data breaches came from a variety of mishaps, including theft of laptops, hacking, employees improperly handling data, accidental disclosure and problems with subcontractors.

For the rest of this story, see computerworld.com.