We’re proud to announce that Needl.ai has achieved SOC 2, type 2 compliance. This cybersecurity compliance framework developed by the American Institute of Certified Public Accountants (AICPA) recognizes our commitment to protecting sensitive information of our customers, and our ongoing efforts to ensure the security of our infrastructure and operations. At Needl.ai, we are a B2B SaaS provider, thus the security and confidentiality of the information that we collect from our customers is of utmost importance to us.
But what exactly is SOC 2 compliance, and why is it important for a solution like ours? This blog article will go further into what it means to be SOC 2 compliant, how we achieved it, and what it implies for our customers.
What is SOC 2 Compliance?
SOC 2 compliance is an independent audit that evaluates the efficacy of a company's information security policies and practices against the Trust Services Criteria (TSC) developed by the American Institute of Certified Public Accountants (AICPA). This compliance is especially important for a SaaS companies like ours, as our customer’s security sits at the heart of our architecture. To make our customers feel confident in our services, we have taken sufficient precautions to secure their sensitive data.
Why is compliance with SOC 2 important?
SOC2 compliance is essential for businesses that manage sensitive consumer data. Customers are given reassurance that the business has put in place the necessary safeguards to secure their data. Although it is not required, SOC 2 compliance is becoming more and more important, particularly for businesses that operate in highly regulated sectors like healthcare and finance.
Five Trust Services Criteria (TSC) are the main focus of the SOC 2 certification:
- Security: Unauthorized physical and logical access is prevented from the system.
- Availability: The system is accessible for usage and operation in accordance with commitments or agreements.
- Processing integrity: System processing is approved, authorized, full, accurate, and timely.
- Information that is marked as confidential is guarded as committed or agreed.
- Privacy: In accordance with the organization's privacy notice, personal information is gathered, utilized, shared, maintained, and deleted.
Difference between SOC 2 Type 1 and Type 2
Though we were SOC 2, type 1 compliant already, Listed below are some of the reasons that made us consider getting SOC 2, Type 2 compliant:
The difference: A Type 1 report reviews the design of your internal controls at a ‘point in time’ as per SOC 2 requirements. The Type 2 report, on the other hand, checks their design and operating effectiveness over 3-12 months.
External review: It’s one thing to follow the best security practices and another to have a third-party credible authority vouch for it. SOC 2 Type 2 stands testimony to our organization’s cyber security information best practices in keeping with the framework requirements.
Customers’ preference: Enterprise customers prefer the more comprehensive type 2 report for their vendor contracts. A Type 2 report gives them more assurance on your data security and internal controls.
This achievement demonstrates our dedication to maintaining a solid security posture, and offering trustworthy and secure services to our clients. We can guarantee our clients that their sensitive data is not only compliant but also safe by obtaining SOC 2 Type 2 certification.
What We Did to Comply with SOC 2
Satisfying the criteria for SOC 2 type 2 compliance indicates that Needl.ai has shown that it is capable of maintaining its controls over time, which is essential for establishing confidence with its customers.
Here’s how we did it:
We started by assessing our present systems and procedures against the five TSCs that were previously highlighted. We found places that required development and gaps. We then put in place the appropriate safeguards to close those gaps and enhance our procedures.
We also hired a third-party auditor to evaluate our controls and provide comments. The auditor examined our systems and controls and produced a report on the efficiency of the controls. The auditor also offered suggestions on how to strengthen our controls even further.
SOC 2 compliance was not a simple task. It took a tremendous commitment of time, resources, and skill from our Needl.ai team. Here's a deeper look at how we achieved SOC 2 compliance:
- Setting out our domain: We identified the systems and procedures that the SOC 2 audit covered. Our online application, data storage, cloud infrastructure, and other parties all have providers.
- Performing a risk assessment: To find any potential threats or vulnerabilities to our systems and data, we performed a thorough risk analysis. This included doing penetration tests and vulnerability assessments as well as an analysis of our existing security policies and procedures.
- Creating policies and procedures: We created information security policies and processes based on the findings of our risk assessment and the SOC 2 standards. These rules covered access control, data protection, incident response, and other topics. We also developed training materials to ensure that all staff understood our security rules and best practices.
- Controls implementation: To limit risks and assure compliance with SOC 2 requirements, we developed a variety of technological and administrative controls. Multi-factor authentication, data encryption, network segmentation, frequent backups, and monitoring and logging were among the steps used.
- Audits conducted in-house: We conducted audits in-house to validate that our controls were efficient and operating in accordance with the plan. We carried out regular evaluations of our policies and processes, in addition to conducting internal audits, in order to identify any gaps or vulnerabilities that may exist in the overall security posture of our company.
- Having an independent audit carried out: We employed the services of a third-party auditor who was independent to carry out a SOC 2 audit on our company's processes and systems. The auditor evaluated the controls and processes that we have in place against the SOC 2 criteria, and then they provided us with a report that outlined our level of compliance.
What SOC 2 Compliance Means for Our Customers
SOC 2 compliance ensures that our clients may put their faith in us to handle any sensitive information that they provide. This demonstrates that we have put in place a comprehensive set of controls and procedures to protect personal data from being accessed, used, or disclosed without their permission.
The SOC 2 evaluation further provides our customers with the confidence to make use of Needl.ai’s services without any hesitation. They are offered the opportunity to safely store and administer their sensitive data, which enables them to more effectively carry out the regulatory responsibilities that have been imposed on them. In addition to this, businesses are in a position to show their customers that the service provider they are using conforms with legislation and maintains a secure environment. This is something that may be done for them by the service provider.
Needl.ai complies not only with SOC 2 standards but also with the requirements of ISO 27001:2013. Another indication of our dedication to the safety of our customers is the adoption of this internationally recognized standard for information security management systems.
If you have any questions concerning our company's SOC 2 compliance or the services we offer, You can contact us here. We would be delighted to respond to any questions you may have at this time.