According to the Financial Services Authority (FSA), Zurich UK has been fined a whopping £2.28 million when it lost the personal data of around 46,000 insurance customers.

The personal details of thousands of customers were present in a tape and during the routine transfer process two years ago, the data got lost in South Africa and until October last year, the officials didn’t have a clue of the missing data.

According to the FSA, Zurich UK has put the customers’ personal details at risk and was unable to secure its customers’ data that it outsourced to Zurich Insurance Company South Africa Limited.

FSA also added that the Company also couldn’t assure the insurance holders that it has competent systems to prevent the usage of lost data for any monetary crime.

On the other hand, Zurich said that there are no evidences that the lost data have been misapplied.

Margaret Cole, Director of Enforcement and Financial Crime at the FSA said that the customers have lost faith in the insurer after this incident and to add insult to injury, the Zurich UK was totally unaware of the situation.

Margaret further added that other Companies should take a note of the Zurich UK’s mistakes and ensure complete safety of their customer’s personal data.