There’s a cost for not validating your security program. As cyberattacks increase, and everyone from the federal government to your vendors and clients are getting cyber tired. The result? Penalities, fines, and lawsuits like the situation faced by a Virginia consulting firm that was fined $7.6 million under the False Claims Act for claiming they had all the right cybersecurity in place when they had no evidence of it.
You see, cyber liability is not about right and wrong. It is about proving you’re that you did everything, i.e. that you’re not the one to blame. Proof in a legal system that knows nothing about technology requires evidence - LOTS of evidence. So, if you aren’t validating your security program with 3rd party assessments, you’re putting your MSP and your clients at risk.
The game has changed, and today, compliance means demonstrating that you’ve done everything possible to protect your organization and your clients. If something goes wrong, like a ransomware attack or a business email compromise, having evidence of your efforts might be your only defense.
It’s not enough to be compliant with standards - you need to prove it. In the case of a security incident, blame flies in every direction, and the burden of proof often lies on the shoulders of the MSP. The winner? The party with the most compelling, evidence-backed case.
Evidence Wins the Day
The likelihood of facing a business email compromise, ransomware attack, or even a minor data breach is high. When these incidents happen, everyone starts pointing fingers. Whether it’s your client blaming you or a third-party looking for someone to hold accountable, the MSP with the best documentation and validation stands the best chance of avoiding liability.
Think of it like a courtroom battle. Judges aren’t cybersecurity experts. They won’t look at the nuances of technical arguments. Instead, they’ll assess the case based on the evidence. That’s where the game is won or lost—not in technical prowess, but in the ability to present solid, clear documentation proving that you’ve followed best practices, implemented the right controls, and ensured compliance.
It’s not about who’s right or wrong. It’s about who has the proof to back up their actions. If you can’t show clear evidence that your security program is not only in place but also working effectively, you might be the one found liable—even if you didn’t directly cause the breach.
An Evidence-Based Security Program
What does it take to develop an evidence-based security program that will cover both you and your clients? It boils down to three critical elements: documentation, validation, and ongoing oversight.
1. Documentation: This is the cornerstone of your defense in the event of an incident. It’s not just about having a security policy—although that’s a great start—it’s about keeping a paper trail of everything you’ve done to ensure compliance. This includes:
- Detailed records of security controls implemented
- Logs showing the regular review and updating of those controls Incident response plans and their testing
- Employee training records for both your staff and your clients
This documentation needs to be thorough and consistent. Missing records or incomplete logs can raise questions about your overall security program, putting you at risk of being blamed.
2. Validation: It’s not enough to document your processes—you need to validate that they’re working. Think of this as an internal audit of your security measures. Are your firewalls configured correctly? Are your backup systems tested regularly? Has your team walked through incident response scenarios?
Validation helps ensure that your security measures aren’t just theoretical but are functioning in the real world. And it provides a layer of assurance for both you and your clients that your systems will hold up under pressure. More importantly, validated systems give you proof that, when the heat is on, you’ve done your due diligence.
3. Ongoing Oversight: Compliance is not a “set it and forget it” situation. Cyber threats evolve, regulations change, and what worked last year might not cut it this year. Regularly review and update your security policies, controls, and incident response plans. Make sure your documentation and validation processes stay up-to-date. Continuous oversight not only ensures that you’re ready for the next attack but also provides a robust paper trail of your ongoing efforts to protect your clients.
What Happens When the Worst Occurs?
Let’s say your client experiences a ransomware attack, and they’re looking for someone to blame. Maybe it was a phishing email that slipped through, or a vulnerability in their system that you weren’t directly responsible for. But when the lawyers get involved, it’s not about whose fault it is in a technical sense—it’s about whose legal team can present the best case.
If you’ve been diligent about documentation, validation, and oversight, you’ll be able to show that you’ve followed industry best practices, responded to threats, and done everything within reason to protect your client. Without this level of evidence, you’re left trying to explain away gaps, which can be difficult under legal scrutiny.
Your Takeaway
Compliance is no longer just a matter of following the rules. It’s about building a rock-solid case that shows you’ve done everything in your power to secure your organization and your clients. The best way to do that is through a well-documented, validated, and continuously updated security program.
Today, the MSP with the best evidence comes out on top. Be proactive, not reactive, and ensure that when something happens, you’re prepared with the documentation to prove your case.
