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Hoteliers Beware: Lessons to learn from the Neiman Marcus and Target Breaches

April 14, 2014

Filed under: Hotel Owners — Tags: , , , , , , — Neel Shah @ 7:17 pm

Security breaches seem to be on the rise. Target’s customer data breach impacted 110 million Americans and the Neiman Marcus breach affected 40 million, and it seems like we are hearing about new breaches every few weeks. Staying ahead of the curve is critical for those in the hospitality industry, and hoteliers have an excellent opportunity to consider their own risk reduction and planning tools in the wake of security breaches across other industries.

Hoteliers Beware: Lessons to learn from the Neiman Marcus and Target Breaches
(Photo Credit: http://en.wikipedia.org/wiki/Target_Corporation)

Hotels are major targets for financial and identity theft. Since all hotels work through credit and debit cards on file, this already exposes a lot of risk for private customer information. Those credit cards can be accessed and digitally “swiped” any number of times during a guest’s hotel stay- whether it’s at the bar, ordering room service, or for a spa charge. Every swipe opens the door for identity theft without the hotel’s knowledge.

One common gaping hole for hoteliers is unsecured wireless internet. While a hotel owner may think he or she is doing the right thing by providing free and easy access, an unsecured network really poses a big threat. Hackers can more easily access your network and programs in order to steal information and records from your service.

There are a few steps hoteliers can take to beef up security. Restricting access to data and collection of data is one way to protect customer privacy. Critical identifying information should be stored securely and a database should be created about under which computers and servers various information is kept. Encryption is one easy way that hotels can store information safely, reducing the risk of guest identity or financial theft. This is a great opportunity to review your existing procedures and policies to determine the risks.

If you’d like to talk more about how planning can help you prevent problems & how asset protection planning can help you to shield your assets from such liabilities, contact us at 732-521-9455 or info@lawesq.net today.

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