Cybercrime costs Canadians US$3 billion last year

If statistics included in Norton’s latest cybercrime report holds true, Canadians are being victimized as never before whenever they go online.

According to the security company’s annual survey, the 2013 Norton Report, cybercrime cost Canadians US$3 billion last year, more than double the $1.4 billion recorded the previous year. The average cost-per-victim also rose 127 per cent, to $372 – far above the global $298, which rose “only” 50 per cent.

Over two-thirds – or 68 per cent – of Canadian adult respondents reported being victims of cybercrime in their lifetime, 42 per cent within the last year. Norton estimates over 7 million Canadians were victimized online last year.

Blame mobile – and Canadians

The fourth annual report surveyed 13,022 people in 24 countries. The company explains this year’s higher cost figures are at least partially driven by the boom in mobile device use.

“The surveys show 50 per cent of people are sleeping within arms reach of their mobile phones,” Lynn Hargrove, Director of Consumer Solutions for Symantec Canada, told CTV’s Canada AM. “So it’s part of your everyday life now. It’s really an extension of who you are.”

Are you doing enough to protect yourself?

As individuals become ever more dependent on mobile devices for everyday computing tasks, however, cybercriminals are increasingly shifting their focus. The security company says smartphone- and tablet-toting Canadians aren’t doing their part to stay safe.

The report suggests Canadian mobile device users often fail to behave in a security-conscious manner. If they use passwords at all, they’re often weak and easily-guessed, rarely if ever updated, and frequently reused for multiple accounts and devices. Security software is either not installed or not used properly, and data backups are rarely done.

Marian Merritt, an Internet safety advocate with Symantec, Norton’s parent company, says almost half of all mobile device users fail to take even basic precautions.

"If this was a test, mobile consumers would be failing," Merritt wrote in a release. "While consumers are protecting their computers, there is a general lack of awareness to safeguard their smartphones and tablets. It's as if they have alarm systems for their homes, but they're leaving their cars unlocked with the windows wide open."

Risky social media behaviours

Growing use of social media and other online services is also contributing to the cybercrime epidemic – and again Canadians aren’t doing everything they can to protect themselves, with 42 per cent failing to log off after a social media session, 35 per cent connecting with strangers via social media, and 28 per cent sharing their passwords. Unsecured Wi-Fi network use is another common theme, with 60 per cent of Canadians admitting they’ve used them. Half of them accessed their email over unsecured wireless networks, and almost a quarter even used them to do their online banking.

These numbers fall far short of security practices for traditional computers, where compliance with even the basic best practices is significantly higher.

“People really look at those smartphones not in the same way as they look at their PCs as far as security is concerned,” Hargrove said. “They’re not securing them as much.”

The risks of Canadians’ low online security IQ can be significant, including identity theft, outright theft from credit and debit cards and bank accounts, and data recovery costs.

The damages can be more than just personal, however. As the bring your own device (BYOD) trend results in more devices being used both at home and at work, corporate data and infrastructure are also increasingly vulnerable. The lack of properly documented acceptable use policies can give employees carte blanche to do whatever they want with their devices.

Whatever the root cause, it’s a recipe for disaster, and the costs continue to escalate.

Carmi Levy is a London, Ont.-based independent technology analyst and journalist. The opinions expressed are his own. carmilevy@yahoo.ca