Government agencies seek to reduce consumer friction by ensuring collection of relevant personally identifiable information
Atlanta, GA-based LexisNexis Risk Solutions has released a study spotlighting why industries collect, store, and use PII (personal identification information) and what impact this makes on identity verification and consumer behavior.
LexisNexis surveyed more than 3,000 consumers about their willingness to provide their PII in low, medium, and high risk transactions in four industry segments. The study also includes in-depth interviews with executives in financial services, health care, retail, and government to better understand the current use of PII for identity verification.
Despite the media attention on data breaches, consumers place a high amount of trust in government institutions when it comes to sharing PII. This is the only industry in which consumers express a high level of willingness to share their Social Security Numbers -- particularly in high-risk scenarios. Likely due to having been conditioned to expect to provide this information when filing their federal tax returns, 71 percent of consumers report they are very willing to share their Social Security Number in this scenario.
“Incidents of data breaches and identity theft have become pervasive threats to consumer trust,” said Dennis Becker, LexisNexis Risk Solutions vice president. “Organizations need to be cognizant of how consumers’ fears and experiences affect their willingness to share sensitive data and seek ways to minimize the amount of personal information being requested.”
Industry data cited in this white paper is primarily based on in-depth interviews with 22 industry experts working in financial services (banking industry), health care (payers and providers), government agencies and retail.
Consumer data is based on a 20-minute online survey conducted in December 2013 among 3,018 U.S. adult consumers. Respondents were presented with questions to determine their willingness to share various PII under different scenarios, by industry. Each of the respective scenarios, in which the identity of the consumer must be verified, represents different overall levels of risk (i.e., compliance and fraud risk) to organizations in each industry.
LexisNexis Risk Solutions a provider of essential information that helps customers across all industries and government predict, assess and manage risk.