Compliance and Information Security Risk with Records Management

Every company should be concerned with information security. The average data breach costs $3.9 million and can do irreparable damage to your company’s reputation. The same is true with compliance missteps, which can cost thousands of dollars in fines and lost trust.

At Gilmore Services, we work closely with businesses to create records management systems that work. One of the most common questions we hear is:

How does records management mitigate compliance and information security risks?

Since the risks are significant, we’re always pleased when clients and potential clients ask us that question. Here’s what you need to know.

The Risks of Compliance and Information Security Breaches

You already know that failing to comply with regulations such as Sarbanes-Oxley, HIPAA, and FACTA can be damaging to your company. Here are some of the most significant risks associated with compliance failures and security breaches:

1. Improper compliance with regulatory requirements related to records storage and data destruction can result in hefty fines that could cost you thousands (or even millions) of dollars. A large enough fine could put your company into financial difficulty or even shut it down.
2. A lack of compliance can also damage the trust you’ve established with your clients. For example, HIPAA compliance violations could put your patients’ personal health information at risk. FACTA violations leave people open to potential identity theft and fraud. 
3. Any security breach can have a devastating impact on your company. As we stated above, the average cost of a data breach is in the millions of dollars. Even a small breach can destroy your company’s reputation and public standing.

You have a legal and moral responsibility to protect your clients’ data and keep it secure. That includes maintaining records in accordance with regulatory requirements and destroying it at the proper time.

How Records Management Can Mitigate the Risks

The good news is that partnering with an experienced records management company such as Gilmore Services can do a lot to mitigate the risks of improper compliance and information security. Here are some of the key benefits:

1. A records management specialist will have proper training in all issues related to compliance. They’ll be able to help you create a system of data storage, document imaging, and proper destruction of data in accordance with regulatory requirements.
2. Instead of relying on someone who works for you to make time to manage records properly, outsourcing the job will ensure that document storage is a priority and that compliance with all regulations happens on the schedule you specify.
3. Records management makes it easy for you to access documents when you need them. For example, Gilmore Services offers document imaging services and cloud-based storage to ensure that our clients can get to their documents at any time – and even after a disaster.
4. Records management specialists will work with you to destroy data on the proper timetable, which will streamline your workflows and leave you and your employees free to handle other aspects of your business.
5. Proper records management will ensure that your clients’ trust in you is never betrayed. We’ll work with you to protect and store your data, and provide you with certification of its proper destruction when the time comes.
6. Lastly, records management is one of the best ways to create business continuity. Your documents will be properly organized and stored, so that you can get to them when you need them. And we’ll work with you to create a detailed contingency plan for your data and documents.

Partnering with a professional records management company is the ideal way to ensure the security, proper storage, and thorough destruction of your data in accordance with regulations.

Conclusion

While you might be tempted to store your records onsite and handle compliance issues yourself, there are significant risks associated with doing so. A professional records management company can help you develop a plan that protects your data, your clients, and your company.

Need assistance with proper records management? Click here to learn how Gilmore Services can help!