Why Title Insurance Companies Must Take Greater Data Security Measures

If you’re running a title insurance company, you probably don’t want to hear about another regulation you need to comply with, or another audit you need to endure. Who wants new rules to cope with?

However, in this instance, you may actually welcome the new oversight because it will help you add valuable encryption protection to mobile devices storing sensitive data, and it’s fairly easy to implement.

The American Land Title Association helps title insurance companies set a very high bar for their data security. Gaining membership is key for industry businesses and brings with it a host of reputational benefits.

Here are some of the reasons why seeking ALTA inclusion is MUST if you haven’t already achieved it.

Mandates

Title companies often handle large sums of money during closings, and they’re also responsible for collecting a lot of sensitive financial and personal data. These factors place high stakes on the data security regulation of title companies.

While neither HIPAA nor ALTA go so far as to specifically demand a certain level of data encryption that must be implemented by the title industry, both all but require it. Encryption is a highly recommended method for satisfying the requirements related to sensitive data.

On the Cutting-Edge

ALTA continues to get more specific about compliance guidelines. They now enforce a standard that is on par with the data security requirements faced by the healthcare industry. With each new provision introduced, ALTA member title companies are able to keep pace with the latest advancements in safeguarding information. With the increasing industry use of tablets, smartphones, USB drives, and other mobile devices, staying on the cutting-edge of protection is increasingly difficult.

Strict Compliance

ALTA auditors are always actively working to ensure member organizations are in compliance with the proper guidelines for security. Unfortunately, as many industry insiders know, far too many companies don’t even realize that they have sensitive data on mobile devices that could be vulnerable to attack.

Setting the goal of keeping up to speed with the strict ALTA standards for data security is a good first step in protecting any title insurance company from the threat of a breach.

For more advice on how to protect your title company in the new age of data security, stay tuned to the NotaryGo blog.

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