CYBER CRIME Matthew Purchase

Cyber crime Encompasses a broad range of crimes Not focusing on consumer cyber crime Focus primarily on two aspects Data-breach Cyber-attack

Data Breach Not limited to theft of data Perpetrators motivation Methods employed Accidental Data Breaches

Trends Explosion of data Prevalence of Cybercrime 27.4% annual increase Speed of innovation and rising cost Ponemon 2017 Cost of Cyber Crime study

Trends: Cost Ponemon Institute Cost of Cybercrime Study 2017

Trends: Prevalence 8.8 Million South Africans were victims of Cyber Crime 2015/2016 67% of South Africans report experiencing Cyber Crime (48% Global average) Cyber Crime is estimated to cost the South African economy in excess of R3 Billion Rand ($242 Million) Source: Norton Cyber Security Insights Report 2016

Retirement Funds Repositories of PII Large data volumes Legacy systems

Risks Financial Loss (Direct, claims, extortion) Regulatory Sanction Reputational Loss Business/Operational data loss Operational downtime / system damage

Risks Ponemon: 2017 Cost Of Cyber Crime Study

Addressing Risk Risk Assessment Appropriate Policies and Procedures Cyber Breach Response Plan Access to Experts Data Breach Insurance

Response Plan 1/2 Activate Incident Response Team Establish privileged reporting and communications channels Establish nature of the breach Engage internal / external forensics team

Response Plan 2/2 Isolate effected areas Secure evidence Consider Notification obligations Conduct Interviews Remedial Procedures

Conclusion Risk of Cyber Crime is significant and increasing annually Must be considered by boards as part of their risk management responsibilities Proactive and proportional response, based on cyber crime risk assessment

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