Costs Of Non-Compliance With FTC’s Safeguards Rule For CT Auto Dealerships

If I tell you that the FTC revised the Safeguards Rule requirements for financial institutions, you probably won't care because you own a car dealership; not a financial institution.

Well, as you and I both know, sometimes legalese makes no sense to us common folk - and this is one such case. Because it turns out that your small auto dealership business is indeed a financial institution in the eyes of the Federal Trade Commission (FTC).

So what does this mean for you? What is the Safeguards Rule? What do you need to do to comply? How much time do you have? And what happens if you don't bend the knee? Are you gonna have to pay a fine?

We'll get to all that in due time. Let's start at the beginning!

In May 2022, the Federal Trade Commission (FTC) issued a new guidance on the revised Safeguards Rule, which introduced a new set of requirements for auto dealers. The deadline to comply with the latest amendments is December 9th, 2022 - so you better not waste time.

Because yes, you could pay a pretty steep fine if you don't comply.

Luckily, compliance is much easier - and much cheaper! - than you think.

2Secure Corp provides a Safeguards Rule compliance service to help car dealership owners and managers avoid the fines and risks that come with non-compliance.

But how much can it really cost you?

Well, according to the latest research from Ponemon Institute, the average cost of non-compliance is around $1.9 million for fines and penalties alone. And when you add expenses like loss of productivity and business disruption, you're looking at a grand total of $14.8 million. Probably not the kind of money you can afford to lose, which is why you need to act now and hire a cybersecurity expert!

With 2Secure Corp, you get a comprehensive compliance service tailored to the needs of your auto dealership business. The firm will implement all necessary steps to ensure you're in compliance and avoid unnecessary costs and risks.

You will get your very own Qualified Individual - a 2Secure cybersecurity expert - who will design and carry out your information security system. The firm will also conduct all other tasks, as stipulated in the revised Rule. This includes risk assessments to identify and address any vulnerabilities in your system. 2Secure conducts a range of assessments, such as malware, ransomware, and penetration testing - so you can rest assured your network and data are protected.

In line with FTC's requirements, the firm will implement safeguards to manage risks, train your staff - often considered the weakest point in a company’s cybersecurity program, monitor your third-party providers, keep your company's information security program up-to-date, develop a written incident response plan, and deliver annual reports to your board of directors or senior management.

You get the full package and it won't cost you nearly as much as a single non-compliance incident! Not to mention you will protect your customer and company data, and your reputation - because data breaches won't reflect well on your business.

While all this security compliance stuff may sound scary and complicated at first, it doesn't really have to be. You just need to hire the right people who will stay on top of everything - and 2Secure is a great choice!

But you don't have to take my word for it, check out this 5-star review: “I rely on Yigal and his team to keep our company up-to-date, secure, and protected. He continually delivers what I need - even before I know I need it. Five stars.”

Better safe than sorry is always a smart approach. Visit https://www.2secure.biz/ftc-safeguards-financial-institutions-rule to book a consultation!