risks

Can I Use Email for Communicating with My Dental Accountant?

In the electronic age, it’s easier for many small dental practice owners to conduct business through electronic means of communication, email in particular. While it may be tempting to conduct as much of your business through email as possible, there are inherent risks in doing so.

The biggest risk is significant. That is, the risk that your private, personal and financial information could fall into the wrong hands. If you’re using an accountant for your family taxes, for example, email makes personally identifying information not only about yourself and your spouse vulnerable, but your children too.

What Kind of Information is Available?

  • Social Security Numbers
  • Addresses
  • Dates of Birth
  • Banking Information
  • And more

This information is highly valuable to hackers and identity thieves who will pay premium prices to get their hands on it. They’re not afraid to break a few laws to get that information either.

How Can You Enjoy the Convenience of Email without the Risks?

The Gramm-Leach-Bliley (GLB) Act, protects the non-public personal information (NPI) of consumers. The act provides the Federal Trade Commission with the responsibility of implementing the law. Under that authority, the FTC has created the following rules.

  • Safeguards Rule - As an important rule, it requires the secure transmission, receipt and storage of data containing any NPI at all times that includes passwords, encryption and physical protection. The email platform used should have 256-bit encryption. A 256-bit encryption is more powerful than a 126-bit encryption to protect sensitive information and files communicated through email. Further protection should be afforded in the form of a written information security plan.
  • Privacy Rule – This rule requires businesses to provide privacy statements to anyone engaging with their appraisers directly. The statement must include how NPI is gathered, shared and secured as well as methods consumers might use in order to opt out of that information being shared with outside parties. Emails that contain personal or financial information between yourself and your accountant should always be encrypted in order to safeguard that sensitive information under the GLB Act.

What Does this Mean for Convenience?

One popular and effective method dental practices and other businesses are turning to in order to comply with the rules of standing law, as well as further laws that are anticipated, is through the use of secured client portals.

These portals serve as alternatives to email that hold sensitive client information in a secure online storage area. With portals, accountants can upload information to the portal, which then sends an email to the client letting you know that you have new information waiting for you. You then log in with your password and retrieve the information.

The risks involved in email communications today are simply too big for such vital information. Take precautions to use 256-bit encryption when transmitting sensitive information and files to your dental accountant or use the accountant’s secure portal. Keep this in mind and avoid those risks completely.

What are Asset Protection Services?

Asset protection services exist to help place your dental practice’s assets in a position where they are all but untouchable by those you do not wish to have access to them. In the world you live in, one that’s rich with dangers and potential financial pitfalls, protecting your dental practice’s assets and wealth is more important than you may realize – whether you have a large sum of assets or not.

What Risks Impact Your Assets?

Most people are surprised to learn about the wide range of risks they face when it comes to securing and protecting assets. These risks include:

  • Unemployment
  • Disability
  • Death
  • Age
  • Health
  • Divorce
  • Retirement
  • Layoffs
  • Injury
  • Medical Expenses
  • Litigation
  • Judgments
  • Legal Expenses

The list goes on and on. There are hundreds of risks, large and small, that place your practice’s assets at risk every day. That’s why it’s so important to consult with a financial planner or dental accountant that has experience providing asset protection services.

How Can You Protect Your Assets Through Asset Protection Services?

First and foremost, consider using asset protection services from a professional experienced in protecting wealth and assets. Asset protection services involve a blend of financial planning and insurance using specialists such as dental CPAs, attorneys, estate planners, insurance experts, financial planners and/or asset protection specialists.

Careful financial planning is the most important thing you can do to protect your practice’s assets now, and in the future. This is putting your head together with a professional who specializes in asset protection services, developing a plan to manage your existing assets, accumulate future assets, minimize risks and sustain growth over time. Important tools in your arsenal for your goals of financial growth and asset protection include insurance, proper planning and attention to detail.

Insurance

There are many types of insurance products on the market today. There is insurance coverage that protects your dental practice’s assets themselves. There is also insurance coverage that protects you from liability in the event that someone is injured by or on one of your assets. There’s even insurance to cover liability related to professional dental services you offer. In other words, there’s a type of insurance for many different contingencies and you should carefully consider which types of insurance serve to best protect your assets today and in the future. Having adequate insurance, however, is an asset protecting contingency that must be covered. Other insurance to consider includes medical insurance, loss of income insurance, life insurance and disability insurance.

Financial Planning

Financial planning includes components designed to reduce your risks, increase the value of your assets and sustain growth as time goes by. It involves estate planning, wealth protection, tax minimization strategies and wealth recommendations to maximize return. It’s important to work with qualified financial planners with specific experience in asset protection services for this critical task.

You want to know that your future is protected and assured. One way to increase that likelihood is by taking steps today to protect your dental practice’s assets and wealth for the long term by considering the use of asset-protection professionals. Life takes unexpected turns all the time. You can rest much easier knowing that you’re covered for most of the contingencies that could ever come your way.