November 15, 2023 Construction Bonding 0

Nordlocker, an encryption software firm, conducted research in 2021 and found that the construction industry faced the highest risk of ransomware attacks among 35 analyzed industries. This risk has increased since then, with Nordlocker reporting in 2023 that the construction sector experienced the most ransomware attacks from January 2022 to January 2023.

The construction industry’s growing reliance on digital technology, particularly computer-aided design (CAD), building information modeling (BIM), and cloud-based collaboration tools, has made it a vulnerable target for cyberattacks. Many organizations in this sector lack adequate cybersecurity plans and have poorly trained employees in identifying and responding to cyber threats.

Ransomware, a malicious attack where data is encrypted and a ransom is demanded for access restoration, poses a significant threat. Paying the ransom doesn’t guarantee data recovery, and the average cost of a ransomware breach is around $4.44 million, damaging a company’s reputation.

Fraudulent wire transfers, phishing scams using social engineering, and compromised emails are prevalent in the construction industry. Cybercriminals impersonate authoritative figures to manipulate financial transactions.

The construction sector is also at risk of intellectual property and data theft, which can lead to significant reputational damage. Protecting sensitive information, such as SSNs, credit card data, and proprietary designs and patents, is crucial to mitigating these cyber threats.

Six Essential Steps to Strengthen Your Construction Service’s Cybersecurity

Privileged Access Management:

Continuously monitor and assess access rights to safeguard your information.

Data Governance and Security:

Categorize data by sensitivity and prioritize the protection of critical data assets.

Regular Secure Backups:

Mitigate potential data and system loss in the event of cyberattacks.

Team Member Education:

Ensure your team is well-informed about industry-specific cyber risks and can recognize and report social engineering attempts.

Enforce Cybersecurity Standards in Contracts:

Reduce third-party risks by requiring external partners to adhere to robust cybersecurity practices.

Implement an Incident Response Plan:

Define immediate actions and strategies to minimize potential losses in the event of a cyberattack.

Boost your cybersecurity defenses today; we’re here to help address your inquiries.  

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At Construction Bonding Specialists, we work with new and experienced contractors to find the most satisfactory bond solutions. As a dedicated surety-bond-only agency with decades of bonding experience, we strive to discover surety solutions for all types of cases, ranging from routine to challenging. Contact us online or call us at 248-349-6227 to learn more.

Written by the digital marketing team at Creative Programs & Systems: www.cpsmi.com