Cybersecurity: Third-Party Vendor Security – Lane Report
Cybersecurity: Third-Party Vendor Security – Lane Report
https://www.lanereport.com/187756/2026/05/cybersecurity-third-party-vendor-security-2/
Publish Date: 2026-05-20 09:55:00
Source Domain: www.lanereport.com
Third-party vendor data breaches and cyberattacks are increasing, as is the risk to organizations like businesses and nonprofits small or large when their sensitive information becomes compromised.
Whether managing the company payroll, facilitating health and wellness benefits, providing order fulfillment, or managing a call center, companies rely on outside vendors to operate. Sensitive information flows seamlessly through supply chains, making it fair game along the way.
The Annual Third-Party Risk Management Study conducted by Prevalent found that 61% of companies experienced a third-party data breach or cybersecurity event in 2023. According to a report by KPMG, 73% of organizations have experienced at least one significant disruption caused by a third party within the past three years. According to Venminder, the most significant impacts of a third-party cybersecurity incident were financial damage, reputational damage and regulatory scrutiny.
Third-party vendors have an obligation to keep your information protected. However, gaps in their security protocols can have a devastating effect on your business. To reduce risk, do your homework, ask targeted questions and choose to work with reliable and trustworthy vendors.
Critical questions to ask a third-party vendor
Do you conduct regular security audits and vulnerability assessments? A Vulnerability Management Program should be in place to identify, classify, remediate/mitigate and continuously monitor for security vulnerabilities. Without it, your company could be left with weaknesses that internal or external bad actors could exploit. Ask for a copy of a recent cybersecurity risk assessment or audit report. That helps verify that the vendor is truly following best practices for protecting your data.
How do you handle security patches and updates for your systems? Regular security patches and updates are crucial to protecting your business. They are the frontline defense against exploits…
