Data Loss Barometer 2012

1

China

0.5%N

etherlands0.5%

Germ

any0.5%

India0.7%

Ireland0.7%

Australia

1.2%

Japan1.2%

Canada3.25%

Great Britain

8.4%

U.S.A 75%

China 1.5%

Italy 1.8%

Spain 1.9%

Venezuela 2%

DATA LOSS BAROMETER

A global insight into lost and stolen information

KPMG’s Data Loss Barometer exposes the latest trends and statistics for globally lost

and stolen information in 2012. Over 82 countries are represented in 2012,

with over 96 countries represented over the last five years.

kpmg.com

2 3

THE METHODOLOGY

The Data Loss Barometer analyzes data loss incidents reported around the world since 2005. This data is sourced from Risk Based Security September 2012.

CONTENTS

KEY FINDINGS

SECTION ONE OVERVIEW

2012 DATA LOSS TRENDS

2012 SECTOR TRENDS

2008 – 2012 A FIVE YEAR VIEW

4

6

8

10

12

14

16

20

22

SECTION TWO CHARTS



GLOBAL CHARTS

4 5

KEY FINDINGS

£Hacking number one data loss threat

Healthcare sector shows significant improvement

Technology sector number one worst performing sector by number of people affected

Over the past five years, more than one billion people globally have been affected by data loss incidents. In the last two years, there has been a jump of 40% in the number of publicly disclosed data loss incidents. Over the last five years, 60% of all incidents reported were due to Hacking.

The Healthcare sector, which previously struggled between 2010 and 2011 with the highest number of data loss incidents has shown dramatic improvement in 2012. The percentage of data loss incidents that affected the Healthcare sector has fallen from a high of 25% in 2010, to just 8% in 2012.

Over the last five years, the Technology sector, had fewer incidents than the Top Five worst performing sectors (Government, Healthcare, Education, Financial Services, and Retail) however, the percentage of people affected by incidents in that industry remains the highest; accounting for 26% of the total number of people affected.

Insurance sector number one at risk from Social Engineering and System/Human Error

First time in five years that insider threat has decreased and is at an all-time low

Overall data loss incidents return to similar levels as 2008

In the first half of 2012, the Insurance sector appears to be at greatest risk from Social Engineering attacks and System/Human Error incidents.

Surprisingly, for the first time over the last five years, the threat from malicious insiders has dropped from an average from previous years of 25% of total number of incidents, to an all-time low of 6.5% in 2012. Conversely, we see a dramatic rise of double the number of incidents from external sources in 2012 from 2010, accounting for 81% of total number of incidents. This could be because the rise in hacking has taken people’s eyes off the insider threat – KPMG has not seen an improvement in controls to prevent or detect insiders in the period.

Following a fall in reported incidents in 2009-2010 when compared to 2008, the trend has reversed with a higher number of incidents reported in 2011, and total incident numbers in 2012 almost returning to 2008 levels. This could be accounted for by a maturing regulatory environment where incidents are being identified and monitored more thoroughly, but is also likely to be a result of the dramatic increase in the sophistication and variety of attacks we have seen in the last 18 months.

6 7

SECTION ONE: OVERVIEW

8 9

and System/Human Errorfrom Social Engineering AT RISK number 1Insurance sector

367%of total incidents

a continued threat, Hacking

Government, Education,

Technology& WORSTaffected sectors for data loss

third parties are morecommonplace

in the sectorTechnology

1Personally identifiableinformation remainsthe number

lossdata

type

Data loss incidents

involving

External data losses

RISE 40%vs. previous year,

AFFECTING 160 MILLION PEOPLE


* January – June 2012

10 11

1Insurance sector number one at risk from Social Engineering and System/Human error in the first half of 2012. 2Financial services have seen an 80% reduction in data loss by number of incidents in the last five years, but is still the fifth worst performing sector in the first half of 2012.3

Over 96% of data loss incidents in Media were attributed to Hacking in the first half of 2012.

Government has maintained relatively flat rates of data loss incident numbers since 2008, ranking either number one or number two as overall worst performing sector by total number of incidents over the last five years.

475% of data loss incidents in Retail were attributed to Hacking in the first half of 2012.5

618.5 million people have been affected by PC theft. It represents around 1/3 of all data loss incidents in the Healthcare and Professional Services sectors in the first half of 2012.

2012 SECTOR TRENDS

12 13

Total number of incidentsshow Technology,Financial services,Retail and Mediaas the worstperforming sectors

681 millionrecords/peopleaffected by

number one cause of data loss

20092008 2010 2011 2012

J F M

N

M

DS O

J J

A

A

J F M

N

M

DS O

J J

A

A

J F M

N

M

DS O

J J

A

A

J F M

N

M

DS O

J J

A

A

J F M

N

M

DS O

J J

A

A

Hard Drive

in DVD/CD incidents

Healthcare sector shows a sharp drop in the

breaches in 2012

incident, but a growth

number oneportable media

number of Hacking as

2008 – 2012 A 5 YEAR VIEW

14 15

SECTION TWO: CHARTS

16 17

By cause: number of incidents as a percentage of total for 2012

By sector: number of incidents as a percentage of total for 2012

By sector: number of incidents as a percentage where a third-party was involved for 2012

Hacking

67.2%

Human/system error4%

Improper disposal2%

Web/network exposure

4.6%

Portable media theft/loss

1%

Fraud/social engineering

7%Hard copy theft/loss

4.6%

Malware

1.4%PC theft

4.8%Unknown

3%

Government16.4%

Education

12.6%Healthcare

13%Education

12%

Professional services

14%

Technology8.6%

Retail

8.3%

Media8.3%

Healthcare

7.9%

Professional services

5.2%

Law

2.5%

Data services0.4%

Insurance 1.2%

Not for profit 3.7%Financial services 3.2%

Insurance 3%Organization 1%

Other business sectors

21.8%

Ind. Markets 2%Data Services 2%Other business sectors 12%

Media 2%Not for profit 3%

Law 2%Organization 1%

Government 6%

Retail 3%

Technology 17%

Financial services 9%


* January – June 2012

18 19

Cause of data loss vs. Industry: number of incidents as a percentage of total for 2012 (January – June)

Human/system error Malware



PC loss

Hard copy loss/theft

Unknown

Hacking

PC theft

Portable media Improper disposal

Government

62%

28%

32%

13% 74%98%

94%

75% 63% 63% 64%

38%

11% 9%

7%

6%

33%

25%

17%

8%

8%8%

13%11%

11%

8%9%

8% 7%

7%7%

69%

35%

76%

12%

6%8%

8%

8%

6%

18%

14% 30%

10%

8%

7%

14%

7%

7%

Healthcare Education Financial services Retail

Organization

Professional services Technology MediaInsurance

Not for profit Law firms Industrial markets Other business sectors

20 21

Insider – malicious

External

Insider – accidental

Insider – unknown

By cause: number of external incidents as a percentage of total – five year trend

By sector (Worst five): number of incidentsas a percentage of total – five year trend

By portable media: number of portable media incidents as a percentage of total – five year trend

Hard drive

USB memory

Tape

Other

DVD/CD

Mobile device

Financial services

0%

5%

10%

20%

15%

25%

30%

2008 2009 2010 2011 2012

Government

Healthcare

Education

Retail

0%5%

10%

20%15%

25%30%35%40%

45%50%

2008 2009 2010 2011 2012

2008 2009 2010 2011 2012

0%

10%

20%

30%

50%

40%

60%

70%

80%

90%

100%

By sector: number of records/people affected as a percentage of total since 2008 (to June 2012)

By cause of data loss: number of records/people affected since 2008 (to June 2012)

Unknown 3.8%

0.8%

Other business sectors 1.1%

Industrial markets 1.5%Organization 2%

Insurance 1.3%

Professionalservices 0.7%

Education 5.4%

Financialservices 14.8%

Retail 13.7%

Government 5.2%

Human/systemerror

1%PC Theft

8%Portable media theft/loss

0.7%Hard copy theft or loss

Improper disposal 0.1%

PC Loss 0.8%

Not forProfit 0.8%

Healthcare 3.2%


16%

Dataservices

14.2%


10.4%Media

12.5%

Hacking

65%Technology

23.6%


22 23

China0.5%

Other

24.5%

Netherlands

0.5%

Germ

any0.5%

India0.7%

Ireland0.7%

Australia1.2%

Japan1.2%

Canada 3.25%Great Britain 8.4%

U.S.A 75%

Other

8.1%

China 1.5%

Italy 1.8%

Spain1.9%

Venezuela

2%

Austra

lia2%

Indi

a2.

1%N

ethe

rland

s2.

2%C

anad

a4.

2%

U.K

. 10.

1%

U.S

.A.4

7.6%

2

1

By country: number of incidents as a percentage of total for 2012 (January - June)

By country: number of incidents as a percentage of total since 2008 (to June 2012)

GLOBAL CHARTS

12

6

U.S.A.

Ireland

India

Japan

Netherlands

Other

Great Britain

Canada

China

Germany

Australia

By country: number of incidents as a percentage of total - five year trend

0%

20%

60%

40%

80%

100%

2008 2009 2010 2011 2012

81.5%80.3% 83.4% 69.8%

47.6%

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The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

© 2012 KPMG International Cooperative (“KPMG International”), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. All rights reserved. Printed in U.K.

The KPMG name, logo and “cutting through complexity” are registered trademarks or trademarks of KPMG International.

RR Donnelley I RRD-276985 I November 2012 I Printed on recycled material.www.kpmg.com

This will be the final edition of KPMG’s Data Loss Barometer. In future we will be publishing KPMG’s Cyber Vulnerability Index bi-annually; the first edition was published in July 2012.

For more information visit www.kpmg.com/uk/security

KPMG Contacts and Acknowledgements

We would like to thank all of our contributors to the survey, in particular members of the project and editorial team:

Bona Boraliu

Lisa Mitchell

Charmaine Servado

Martin Tyley

Contact Us

Malcom Marshall Global Partner, Information Protection and Business Resilience

020 73115456 [email protected]

Stephen Bonner Partner, Financial Services, Information Protection and Business Resilience


Charlie Hosner Partner, Corporates, Information Protection and Business Resilience


Documents

Data Loss Barometer 2012