Cyber Risk

Over the last twenty-five years, our online landscape has grown from a single webpage to over one billion sites. More than three billion people now have access to the internet, and use of email and social media has become the norm in both personal and business interactions.

With so much digital traffic, accidents are unavoidable. Confidential details from health or financial records, for example, sometimes become public. Some of these accidents are due to human error. It is not uncommon for a login screen to be left open or for an email to be addressed to the wrong person.

But many digital “accidents” are the result of criminal activity. Professional thieves are increasingly targeting individuals and companies with sophisticated phishing schemes.

Gone are the days of clumsy spam letters from foreign princes promising riches too good to be true. Cyber criminals now work in teams with carefully crafted cons. They understand our feelings. They may suggest clicking on something to clean up an embarrassing picture of yourself. Or they may even send you an email that seems to be from someone you actually know.

For individuals, identity theft is one of the biggest risks. Criminals may use your personal information to access your bank account or apply for a passport. It is never safe to click on any unexpected attachment or link in an email. Insurance providers have begun offering identity theft coverage—it might already be included in your home or tenant policy.

For companies, data breaches are a growing concern. One recent high profile breach involved a contractor for a major home renovation outlet. The contractor unwittingly opened a door into a large network filled with credit card data. The company ultimately agreed to pay almost twenty million dollars in damages and compensation.

Our courts in Canada are seeing more and more cases dealing with personal information and privacy liability. We are figuring out how to deal with the consequences of our new online landscape as it continues to evolve. Legislators are rewriting laws for privacy protection and trying out new approaches to enforcement.

One thing is clear: the risks are very real. The estimated global cost of cyber crime currently equals the estimated global cost of damage from vehicle collisions.

For more information, please consider visiting Public Safety Canada’s Cyber Safe program at www.getcybersafe.gc.ca.