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Many people are of course aware of the problems created by the growing crime of identity theft, but this crime has had an incredibly large impact on large and small companies as well. In fact businesses of all sizes have spent enormous sums of money protecting themselves and their customers from identity theft, and still more replacing customer funds that were fraudulently transferred or stolen by identity thieves.

In addition, many companies have spent a great deal of money to upgrade their computer system in an attempt to stay a step ahead of those who would steal the valuable identities of others. Since so many of these attempts at identity theft have taken place via the internet, it is very important for companies of all sizes to make sure their computer systems are able to recognized attempts at fraud.

In addition to these protective measures, large and small companies alike have had to spend a great deal of money communicating with those customers whose personal information may have been placed at risk. The costs of making all these customer contacts can be enormous, and banks and other financial institutions often bear the brunt of these attempts at identity theft.

Fortunately there are steps companies are implementing to reduce the impact of identity theft on their customers, and to protect the sensitive personal data that they collect. One of the biggest threats has been the theft or loss of laptops and other computer equipment while it is in the possession of employees who are traveling or working from home. In order to protect their valuable computer equipment, many companies have implemented strict policies regarding who may and may not work from home, and who may and may not remove computer equipment from company premises.

For those employees who must use laptops, work from home or travel for business, many companies have begun to require that power on passwords be assigned. These power on passwords are required each time the laptop or computer is started, and they can provide a level of protection in the event the laptop or computer is stolen or lost.

In addition to power on passwords, data encryption can provide additional protection for those files which contain sensitive personal information. It is not unusual for banks, brokerage firms, government agencies and other companies and organizations to have databases which contain thousands, tens of thousands or even millions of Social Security numbers, account numbers, birth dates and other personal items. This information can be a bonanza to identity thieves, so it is important for the companies entrusted with this sensitive data to take the steps needed to keep it protected. A few common sense steps, along with sensible and well enforced data protection policies, can go a long way toward reducing the possibility of identity theft against their valued customers.

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