Government Is a Major Source of Data Breaches

If you don't trust the government to protect your personal and financial information, then you shouldn't be surprised or disappointed with this recent report. According to a Consumer Reports investigation, the government is one of the biggest sources of ID leaks. Consumer Reports analyzed data reported by the nonprofit Privacy Rights Clearinghouse. They found that more than 230 security lapses of federal, state, and local government resulted in the exposure or loss of more than 40 million consumer records (the data covers dates from 2005 to mid-2008).

Unfortunately, it seems that few of these data breaches get publicized because there is no financial incentive to do so. The number of data breaches that result in identity theft is unknown because consumers don't usually know that their information has been compromised or the thief may not use the stolen information right away.

The full report can be read in the September issue of Consumer Reports or can be bought from ConsumerReports.org. While we are all responsible, to a certain extent, for protecting our own personal financial information, we should be able to trust our government not to expose our information, making us possible identity theft victims.