Security News > 2022 > April > Credit agency warns weak cybersecurity defenses could hurt a company’s credit rating, even before an attack

Credit agency warns weak cybersecurity defenses could hurt a company's credit rating, even before an attack.

As cyberattacks and data breaches grow bigger and more frequent, companies that don't build strong cybersecurity defenses may feel a direct financial hit even before hackers show up.

The agency noted that most companies that have endured a cyberattack have been able to manage the impact without harming credit ratings.

The S&P analysts recommend that companies "Embed cyber security into their risk-mitigation strategies to reduce their vulnerability." If the credit agency decides that a company's cyber risk mitigation strategies are not strong enough, this could result in a lower rating than similarly positioned companies.

The credit agency said it will use NIST standards to measure a company's cybersecurity.

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News URL

https://www.techrepublic.com/article/credit-agency-warns-weak-cybersecurity-defenses-could-hurt-a-companys-credit-rating-even-before-an-attack/