Last year, the broker trade group dubbed it a “fraud apocalypse,” but this year the Federal Motor Carrier Safety Administration has taken it a step further by calling freight fraud a “public safety crisis.” With approximately $800 billion in losses annually due to fraud, it’s evident that the trucking industry is facing a significant challenge.
The avenues for fraud in the trucking industry are numerous, ranging from identity theft scams to cyber threats in the fast-paced spot market. John Williamson, VP of sales at SOCRadar, a cyber intelligence firm, shed light on the dark side of cybercrime during a presentation at the Mid-America Trucking Show in late March. Williamson highlighted how overseas criminals are using advanced technology, such as AI, to mimic legitimate companies and steal valuable information.
One of the biggest load boards in the country, DAT, constantly faces cyber threats and hacking attempts from bad actors. Williamson emphasized that no one is safe from cybercriminals, and truckers and brokers, in particular, are prime targets due to their reliance on outdated technology and legacy systems. As technology evolves and becomes more distributed, the opportunities for cybercriminals to infiltrate the supply chain increase.
The methods employed by cybercriminals vary, but the end goal remains the same – to deceive individuals into divulging sensitive information. From imitating email addresses to creating fake profiles of employees, cybercriminals are becoming increasingly sophisticated in their tactics. Williamson likened their craftiness to a UPS delivery person showing up at your door, only to be a clever imposter.
Despite the prevalence of cybercrime, many trucking businesses remain vulnerable due to inadequate cybersecurity measures. SOCRadar offers a solution by monitoring the dark web for compromised credentials and taking action to secure them. For a nominal fee, businesses can protect themselves from cyber threats and prevent their data from falling into the wrong hands.
In an era where cybercrime is on the rise, taking proactive steps to safeguard your business is crucial. By investing in cybersecurity measures and staying vigilant against potential threats, trucking companies can mitigate the risk of fraud and protect their valuable assets. As the industry grapples with the challenges posed by cybercriminals, it’s essential for businesses to adapt and fortify their defenses to ensure long-term success.