Mitigating Cybersecurity Risks – Best Practices for Retirement Plan Sponsors and Fiduciaries
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By Richard Rausser
Cybersecurity is defined as the state of being protected against the criminal or unauthorized use of electronic data, or the measures taken to achieve this.
What does this mean for your employer sponsored retirement plan?
ERISA-covered plans often hold millions of dollars or more in assets and maintain personal data on participants, which can make them tempting targets for cyber-criminals. Plan fiduciaries have an obligation to ensure proper mitigation of cybersecurity risks.
Key Items
- Responsibilities to manage cybersecurity risks
- Retirement account online basic rules to reduce the risk of fraud and loss
- Responsibilities to prudently select a service provider with strong cybersecurity practices and monitor them