Best Employee Identity Theft Protection Software

What features does employee identity theft protection software provide?

What types of employee identity theft protection software exist? 

What are the benefits of employee identity theft protection software?

Who uses employee identity theft protection software?

Used by human resources (HR) and benefits teams from all types of organizations, the following industries may be especially interested due to the sensitive nature of their work:

• Corporations and large enterprises: Large businesses often provide identity theft protection as a part of their benefits package to employees, as they have a larger workforce and more resources to invest in comprehensive employee protection plans.
• Small to medium-sized businesses (SMBs): SMBs are increasingly recognizing the importance of offering identity theft protection to their employees as a means of safeguarding against the financial and reputational damage that can be caused by identity breaches.
• HR departments: HR professionals are typically responsible for managing employee benefits, including enrollment in identity theft protection programs. They use such software to help protect the personal information that they handle and to offer peace of mind to their workforce. They seek to bundle identity theft protection with other employee benefits like health insurance, retirement plans, and wellness programs.
• Government and public sector employees: Government entities also use identity theft protection for their employees to protect against the increasing incidents of cyber threats and identity fraud that can target government workers.
• Educational institutions: Universities and schools might offer identity theft protection to their employees as they handle significant amounts of personal and sensitive information.

How much does employee identity theft protection software cost?

The cost of employee identity theft protection software can vary widely based on the service provider, the level of protection, the number of employees covered, and other factors. 

Buyers should note that prices are continually changing, and it’s best to get a quote directly from providers for the most accurate information. Here are the common pricing models.

• Per-employee pricing: Many services charge on a per-employee basis, offering a straightforward, fixed fee for each individual covered by the protection plan. This model is easy to understand and scale according to the size of the workforce.
• Tiered subscriptions: Providers often have tiered offerings that provide different levels of protection. Basic plans may include standard monitoring and alerts, while premium tiers could offer more comprehensive monitoring, insurance coverage, and additional security features. Prices increase with each tier.
• Bulk purchases: Some providers offer reduced rates for bulk purchases, where organizations can buy coverage for a large number of employees at once. Volume discounts are typically tiered, with greater discounts for higher numbers of enrollees.
• Monthly billing: It is also common for providers to bill on a monthly basis, allowing companies to pay for the service over time instead of a lump sum, which can be more manageable for budgeting purposes.

The costs may fluctuate based on factors such as the inclusion of insurance coverage, credit monitoring from multiple bureaus, dark web monitoring, and other advanced features.

Requesting quotes from multiple providers and comparing their offerings is the best way to assess the cost versus the benefits provided. It's also wise to ask about any setup fees, cancellation policies, or additional costs that could impact the overall expense.

Software and services related to employee identity theft protection software

• Cybersecurity software: Some organizations may opt for broader cybersecurity solutions that offer a range of protections, which could include firewall software, intrusion detection and prevention systems (IDPS), secure email gateway software, endpoint management software, and antivirus software. 
• Identity and access management (IAM) software: IAM software prevents unauthenticated users from accessing protected company data. IAM tracks user activity and helps protect against cyber threats.
• Human resource management systems and human capital management (HCM) software: HCM software helps manage all HR-related activities under one system. This includes recruiting, employee training, reporting, and ensuring employee data is protected.
• Data loss prevention (DLP) software: DLP, also known as data leak prevention software, helps ensure that users don’t send private information outside of the business network. It helps determine who can view, change, or share any confidential data.
• Security Information and event management (SIEM) software: SIEM can be used to centralize security operations to one location. IT and security teams have access to the same information and anomaly detection.
• Security compliance software: This software helps companies evaluate and manage their security processes and understand if they are complying with the requirements.
• Virtual private network (VPN) software: A tool that creates an encrypted connection over a less secure network, such as the public internet. The VPN uses "tunneling protocols" to encrypt the data at the sending end and decrypt it at the receiving end. This encryption helps to ensure that sensitive data is safely transmitted.
• Security training software: Security training software is designed to educate employees, IT staff, and management within organizations on cybersecurity best practices and the latest security threats. The purpose of this software is to raise awareness, improve the knowledge base, and develop the skills necessary to protect personal and corporate data from a wide array of cybersecurity threats, including phishing, malware, and more.
• Password management software: A password manager helps employees generate strong, unique passwords for their various accounts and stores them securely. This practice can greatly reduce the risk of password-based breaches, which can lead to identity theft.

Which companies should buy employee identity theft protection software?

Companies across nearly every sector can benefit from employee identity theft protection software. 

• Financial institutions: Financial institutions manage vast amounts of sensitive financial data, not only for customers but also for employees. They are prime targets for cybercriminals looking to commit identity theft and fraud. Implementing identity protection for employees helps maintain a high-security standard and can be critical in preserving trust and integrity, which are foundational to this sector.
• Healthcare organizations: In healthcare, protecting patient data is not only a matter of privacy but also a legal requirement under laws like HIPAA in the United States. Healthcare employees have access to protected health information (PHI), making them and the organization they work for potential targets for identity theft. Employee identity protection can serve as an additional layer of defense against breaches.
• Legal firms: The legal sector is built on confidentiality and the secure handling of sensitive client information. Lawyers and their staff are at a high risk for identity theft, which can lead to confidential information being compromised. Protection software can help safeguard personal information, thereby reinforcing the sanctity of attorney-client privilege.
• Government agencies: Government employees often have access to confidential information and systems that, if compromised, could pose a threat to national security or public welfare. Identity protection services can be necessary to maintain integrity within these agencies and assure the public that personal information is secure.
• Educational institutions: These institutions store personal data for both the staff and students, and the impact of identity theft in such environments can be far reaching. Identity protection software can help prevent the misuse of this information and support the institution's accountability in managing data responsibly.

Disadvantages of employee identity theft protection software

While the benefits of employee identity theft protection software are considerable, rolling out and managing these systems effectively requires continuous maintenance. Some disadvantages are as follows. 

• Employee participation: Not all employees may see the value in identity theft protection and may not utilize the software to its fullest extent. Encouraging participation often requires ongoing education about the risks of identity theft, thorough training, and clear communication regarding security benefits.
• Privacy concerns: Employees may be wary of sharing personal information with a third-party service, fearing misuse. Trust must be established by ensuring the identity theft protection provider has strong security practices, increasing transparency regarding data collected and how it will be used.
• Cost: The expense of deploying comprehensive identity theft protection can be significant. This requires a cost-benefit analysis to determine the financial feasibility, considering the potential costs of identity theft incidents and prevention.
• Complexity of managing tools: Implementing these services at an organizational level involves technical setup, integration with existing systems, training, and ongoing management. These tasks can be resource intensive and require careful planning.
• Evolving cyber attacks: Software must be updated regularly to combat new threats effectively, and employees must be kept informed about emerging scams and cyber criminals.
• Legal and compliance issues: Businesses must comply with various regulations regarding data privacy, such as General Data Protection Regulation (GDPR) or Health Insurance Portability and Accountability Act (HIPAA). Ensuring that identity theft protection services adhere to these regulations requires input from legal experts.
• Cross-border challenges: For multinational organizations, different regions may have varying privacy laws and cultural norms around data security. Identity theft protection software and policies must be versatile enough to accommodate these differences.

How to choose the best employee identity theft protection software?

Choosing the best employee identity theft protection software for a company involves a thorough evaluation of the organization's needs, the features offered by the software, and the credibility of the provider. Here's a guide to help make an informed decision.

• Assess the company’s requirements: Users must understand the specific risks and needs of their company. Is it an industry that is highly targeted by cybercriminals? Does the company handle particularly sensitive information?
• Evaluate the level of protection offered: Different plans offer varying levels of monitoring, resolution services, and insurance. Users must consider whether the service includes credit monitoring, dark web scanning, SSN alerts, and restoration services.
• Consider ease of integration: The software should be user-friendly for both the administration and employees. Users should check if it can integrate seamlessly with their current systems and workflows.
• Look for comprehensive support: An ideal provider should offer thorough support in case of identity theft, including dedicated case managers and legal support if necessary.
• Review privacy policies: Given that identity theft protection services handle sensitive data, users must ensure the provider adheres to strict privacy policies and uses secure methods to protect employee information.
• Analyze the cost structure: Users should identify the overall cost, including any set-up, subscription, or service fees, and balance it against the benefits provided. They must determine if the cost aligns with their budget and whether it is worth the investment.
• Ensure legal compliance: Users should make sure the service complies with local and international privacy and data protection laws, particularly if their company has a global presence.
• Trial periods and demos: If available, buyers can take advantage of trial periods or request demos to test the software firsthand.
• Training and educational resources: Access to training materials and resources can be valuable in helping employees understand the importance of identity protection and how they can actively participate in safeguarding their information.

How to implement employee identity theft protection software? 

Implementing employee identity theft protection software involves several steps to ensure its effectiveness and integration into an organization's systems and processes. Here's a general guide:

• Assessment of needs: Buyers must conduct a thorough assessment of their organization's needs regarding identity theft protection. They must identify the sensitive information they need to protect, such as employee personal data, financial records, etc.
• Research and select software: Buyers should research various identity theft protection software options available in the market. They can look for features such as real-time monitoring, credit monitoring, identity theft insurance, and resolution services. Buyers must choose software that best fits their organization's requirements and budget.
• Vendor evaluation: Buyers can evaluate potential vendors based on factors like reputation, reliability, customer support, and compliance with relevant regulations (such as GDPR, California Consumer Privacy Act (CCPA), etc.).
• Customization and Integration: Buyers can work with the chosen vendor to customize the software according to their organization's specific needs and integrate it with their existing systems and processes. This may involve collaboration between the IT department and the vendor's technical team.
• Training and education: Users should conduct training sessions to educate employees about the importance of identity theft protection and how to use the software effectively. They must provide guidelines on safeguarding sensitive information and recognizing potential security threats.
• Implementation plan: Users must develop a detailed implementation plan outlining the steps involved, timelines, responsibilities, and resources required. They should ensure that all stakeholders are aware of their roles and responsibilities during the implementation process.
• Testing and quality assurance: Before fully deploying the software, users must conduct thorough testing to identify any potential issues or vulnerabilities. They should perform quality assurance checks to ensure the software functions as intended and meets their organization's security standards.
• Deployment: Once testing is complete and any issues are resolved, users should deploy the identity theft protection software across their organization. They can monitor its performance closely during the initial rollout phase.
• Ongoing monitoring and maintenance: Users must continuously monitor the software's performance and effectiveness in protecting employee identities. They should stay updated on new threats and vulnerabilities and implement necessary updates or patches provided by the vendor.
• Regular reviews and improvements: Users should conduct regular reviews of their identity theft protection measures to identify areas for improvement. They can solicit feedback from employees and stakeholders to ensure that the software remains relevant and effective over time.
• Compliance and regulation: Users must ensure that their identity theft protection measures comply with relevant laws and regulations governing data privacy and security, such as GDPR, CCPA, HIPAA, etc. They should stay informed about any changes in regulations that may impact their organization's obligations.

Employee identity theft protection software trends

• Increased integration with comprehensive cybersecurity solutions: Instead of standalone services, identity protection features are increasingly becoming a part of a unified security strategy that might include network security, endpoint protection, and data loss prevention. Such integration allows for more cohesive monitoring and response mechanisms, which can be more effective in identifying potential threats across different vectors.
• Artificial intelligence (AI) and machine learning (ML) used to enhance software capabilities: AI and ML are being increasingly deployed to improve identity theft protection software's ability to detect fraud. As the machine learning algorithms process more data, they become better at predicting potential security incidents, enabling a proactive approach to protecting employees' identities.
• Part of a comprehensive employee benefits package: More employers understand that financial wellness is a critical aspect of overall employee well-being. As a result, identity theft protection is becoming a more common component of employee benefits packages. By including such services, employers can provide additional value to their employees, enhancing their appeal as a workplace.

Researched and written by Lauren Worth

Reviewed and edited by Jigmee Bhutia