How Background Checks Protect You from Insider Threats

Insider threats refer to risks to an organisation’s security, confidentiality, and integrity caused by individuals who have authorised access to sensitive information or systems. These threats arise when insiders—such as employees, contractors, or partners—intentionally or inadvertently cause harm through unauthorised disclosures, data breaches, sabotage, or fraud.

According to the 2023 Insider Threat Report, 74% of organisations reported an increase in insider threats. This alarming trend underscores the importance of protecting sensitive information. Background checks are recognised as one of the top 10 ways to prevent insider threats. They serve as a vital tool in safeguarding sensitive data, offering insights into an individual’s trustworthiness, integrity, and potential risks.

Background checks examine an individual’s history, including criminal records, employment details, and financial activities. By identifying red flags or patterns of misconduct, employers can assess whether a candidate poses any risks to sensitive information.

Verification of educational qualifications, professional licences, and employment history helps confirm an individual’s expertise and integrity. These evaluations ensure the accuracy of information provided and help employers determine whether a candidate can be trusted to handle confidential data responsibly.

Rescreening background checks for current employees ensures their ongoing suitability for handling sensitive information. It reduces risks associated with insider threats and maintains compliance with industry standards. Key reasons for rescreening employees include:

• Role Changes: Employees moving to new positions may require rescreening to ensure they remain suitable for the new responsibilities.
• Background Changes: Regular checks can identify changes in an employee’s circumstances, such as criminal activity or financial difficulties, that could impact their suitability.
• Regulatory Compliance: Industries such as financial services, healthcare, defence, and transportation are bound by strict regulations, including FCA and CQC requirements. Failing to prevent insider threats in these sectors can result in significant financial losses, data breaches, reputational damage, and regulatory penalties.

Incorporating background checks into both recruitment and ongoing employment processes signals a strong commitment to security. It fosters a culture where protecting sensitive information is a shared priority. To implement an effective insider threat programme that feels collaborative rather than punitive, consider these best practices:

• Involve Employees: Form an insider threat working group with representatives from various departments to develop reasonable and effective policies. Incorporate employee feedback to create a sense of ownership.
• Focus Messaging on Shared Values: Emphasise how insider threat measures support the organisation’s mission and principles and highlight that protecting sensitive information benefits everyone.
• Provide Clear Guidelines: Offer training and resources on handling sensitive information, such as dealing with misdirected emails, to empower employees to act correctly.
• Develop Compassionate Investigations: Train managers to address potential issues with understanding, focusing on helping employees resolve problems rather than punitive actions.
• Reward Positive Behaviour: Incentivise training participation and reporting concerns with small rewards, fostering engagement and responsibility.
• Be Transparent About Monitoring: Clearly disclose what is monitored and how insights are used to build trust.
• Learn from Mistakes: Use unintentional insider threats as learning opportunities for organisation-wide improvement, analysing and addressing weaknesses.

Conducting thorough, ongoing background checks on all employees is critical but can be time-consuming if done manually. Automating the process through third-party solutions streamlines screening and improves consistency. Key features of automated systems include:

• Integration and Monitoring: Automations initiate checks for new hires and rescreen existing employees, with notifications of status changes between periodic checks.
• Centralised Dashboards: These display background check statuses, flag issues, and provide adverse action notices when required.
• Configurable Workflows: Standardised workflows for requesting, completing, and reviewing checks ensure consistency across the organisation.
• Mobile Compatibility: Managers can review results and make decisions remotely.
• Automation saves time for security teams, ensures consistency, and promotes transparency, reinforcing background checks as a standard process rather than a sign of mistrust.

Background checks are essential for preventing insider threats, ensuring the right people are hired, and maintaining employee compliance throughout their tenure. As insider threats become more prevalent in global and remote workplaces, comprehensive screening is more critical than ever.

By utilising platforms like E2E Vetting, organisations can rescreen employees efficiently, enhance data protection, and maintain transparency. These measures safeguard against insider threats while supporting a positive workplace culture.