Certified Incident Handler (CIH) Practice Ecam

What is the risk associated with phishing attacks for organizations?

1. Financial loss due to fraud

2. Data loss or compromise

3. Both A and B

4. None of the above

The correct answer is: Both A and B

Phishing attacks pose significant risks to organizations, primarily by targeting individuals to gain unauthorized access to sensitive information. The correct choice encompasses two crucial aspects of these risks. Firstly, financial loss due to fraud is a common outcome of phishing attacks. When employees unknowingly provide their credentials or financial information to malicious actors, organizations can suffer direct monetary losses. This can involve unauthorized transactions, theft of funds, or more sophisticated cyber fraud schemes that exploit the organization's resources. Secondly, data loss or compromise is a severe consequence of phishing. Such attacks often lead to data breaches where sensitive information—such as customer data, proprietary business information, and intellectual property—is exposed to cybercriminals. The repercussions of data compromise can be extensive, including legal penalties, reputational damage, and costs associated with remediation and recovery. By correctly identifying the answer that includes both financial loss and data compromise, you acknowledge the multifaceted nature of the risks associated with phishing attacks. An effective response to these threats requires a comprehensive understanding of the potential impacts on an organization’s finances and data integrity.