Insider threats are a cybersecurity nightmare that can strike any organization, and the consequences are dire. 

According to the Ponemon Institute, the average cost of insider threats as of 2023 was $16.2 million, with negligence accounting for 55% of cases and malice for 25%. 

In this article, we'll discuss how to identify insider threats and provide guidance on how to prevent them before they cause harm to your organization.

What are Insider Threats?

Insider threats refer to risks posed to an organization by individuals within the organization, such as employees, contractors, or business partners, who have access to sensitive data, systems, or security practices. Unlike external threats, which come from outside the organization, insider threats are particularly dangerous because they involve people who are trusted with privileged access. Understanding and mitigating insider threats is crucial for safeguarding an organization’s assets and maintaining its integrity.

Types of Insider Threats

Insider threats can be accidental or deliberate insider threats.

Accidental Insider Threats: 

These threats occur when employees or contractors unintentionally compromise security. This can happen in various ways, such as:

• Lost or stolen devices containing sensitive data
• Unauthorized use of personal cloud storage services
• Negligence by third-party vendors

These actions can lead to security breaches and data exposure, highlighting the importance of vigilant security measures and employee education.

Real Example: 

A Microsoft employee unknowingly exposed 38 terabytes of sensitive data on GitHub, a popular platform for open-source software development. This data breach occurred when the employee intended to share AI training data but accidentally made it publicly accessible. Fortunately, security researchers from Wiz identified the leak and notified Microsoft.

Deliberate Insider Threats

These occur when employees or intentionally compromise security for personal gain or malicious purposes. Examples include intellectual property theft and unauthorized disclosure of confidential information to competitors or external parties.

Real-Life Example:

A former employee of Cash App downloaded personal data of 8.2 million customers. Despite being let go on December 10, 2022, the employee's access permissions remained active, allowing them to steal sensitive data from outside the company. The breach was discovered four months later, leading to a class action lawsuit against Cash App Investing and its parent company.

Spotting Insider Threats

Spotting insider threats requires a combination of people, process and technology. To identify potential insider threats, it's essential to be aware of changes in behavior and technical indicators.

• Behavioral Changes: This can include increased secrecy or defensiveness, unusual or erratic actions, and changes in work habits. For instance, an employee who is normally transparent about their work may become secretive or evasive when asked about their projects.

• Technical indicators: These can include anomalies in system access, such as unauthorized logins or access to sensitive data, as well as unusual network activity like large data transfers or connections to unknown domains. Additionally, changes in user account settings or permissions can also be a red flag.

• Regular security audits and risk assessments: These can help identify vulnerabilities and weaknesses in systems and processes, allowing you to take corrective action before an insider threat emerges. Employee reporting and whistleblower policies can also encourage employees to speak up if they suspect something is amiss.

Preventing Insider Threats

Below are some strategies to employ to protect your business from insider threats:

• Adopt a Zero Trust mindset: Everyone must earn trust through constant verification and strict access controls. This approach ensures that no one, including team members, is assumed to be trustworthy by default. Regularly check identities and privileges to ensure trustworthiness and prevent unauthorized access.

• Protect your data with strong security measures:

1. Encryption: This scrambles data, making it unreadable to unauthorized eyes, even in the event of a breach.
2. Two-factor authentication: This will add an extra layer of security, requiring two forms of identification, making it much harder for insiders to gain unauthorized access.

• Solidify your security with a clear and comprehensive security policy:

1. Develop a policy that is easy to understand and straightforward, guided by established frameworks.
2. Enable your employees to become your strongest defense against insider threats. Educate them on the critical importance of data security, using relatable examples and scenarios to illustrate the impact of their actions.

• Implement job rotation: Job rotation is a key strategy for preventing insider threats and managing fraud. By regularly moving employees to different roles/teams/branches, the organization ensures that others can review their work, increasing the chances of detecting any suspicious activities. This approach disrupts potential long-term plans for fraud and promotes accountability, making it harder for insider threats to go undetected.

• Mandatory vacation: Mandatory vacation requires employees to take time off, allowing others to temporarily handle their responsibilities. This practice helps uncover any fraudulent activities or suspicious behavior that might have gone unnoticed when the same person was consistently in control.

• Segregation of Duties: This approach limits the access and authority of individuals within an organization by dividing responsibilities among multiple people. By ensuring that no single person has complete control over critical processes or systems, the risk of insider threats is reduced, as it becomes more difficult for an individual to carry out malicious actions without detection.

• Monitor and Audit Employee Activities: Regular monitoring and auditing of employee activities help identify unusual patterns or behaviors that may indicate insider threats. By continuously reviewing access logs, communication, and other data, organizations can quickly detect and respond to potential security breaches.

Insider threats are real, but by being aware of the risks and taking steps to prevent them, you can reduce the chance of a security breach. 

Contact us today to learn more and stay ahead of insider threats.