When Rite Aid announced that hackers had accessed the personal information of millions, their response was predictable: apologies, credit monitoring services, and vague promises to do better.

But let’s be honest—how many times have we heard this before? In a world where data breaches are becoming routine, it’s hard not to wonder if companies like Rite Aid truly care about protecting consumers or if they’re simply waiting for the news cycle to move on.

This breach is more than just a breach in cybersecurity, it’s a symptom of a corporate culture that values shareholder profits over public trust.

The Immediate Fallout

When sensitive personal information—such as names, dates of birth, addresses, and government-issued identification numbers—is exposed, victims face an immediate risk of identity theft. Cybercriminals can use this data to:

  • Open fraudulent financial accounts in victims’ names.
  • Take out loans or credit lines, leaving victims with damaged credit scores.
  • File false tax returns to claim refunds fraudulently.
  • Use stolen identities to access government benefits or healthcare services.

These actions can lead to significant financial losses for victims.

For example, unauthorized transactions may go unnoticed until substantial damage has been done. Victims often bear the burden of proving their innocence in cases of fraud, which can involve lengthy disputes with financial institutions and credit bureaus.

The Long-Term Consequences: A Lifetime of Vigilance

Unlike a stolen credit card number that can be canceled and replaced, many forms of personally identifiable information (PII) are immutable. Social Security numbers and government-issued IDs cannot be easily changed, leaving victims perpetually vulnerable to future exploitation. This creates a scenario where individuals must remain vigilant for years—if not their entire lives—monitoring their financial accounts and credit reports for signs of misuse.

Additionally, the resale of stolen data on the dark web extends the timeline of risk indefinitely. Criminals often trade this information among themselves, meaning that even if a victim avoids immediate harm, they may still face threats years later.

Emotional and Psychological Toll

The emotional impact of a data breach is often overlooked but is no less significant than the financial consequences. Victims frequently report feelings of anxiety and helplessness as they grapple with the uncertainty of how their stolen information might be used. The constant need to monitor accounts and take preventive measures can lead to stress and sleeplessness.

For some individuals, particularly those from marginalized communities who may already face systemic challenges, this added burden can exacerbate existing inequalities. The time and resources required to address identity theft are not equally available to everyone, further deepening social divides.

The Hidden Financial Burden

While companies like Rite Aid may offer basic credit monitoring services in response to breaches, these measures are often insufficient given the scope of potential harm. Victims frequently incur additional out-of-pocket expenses for:

  • Comprehensive identity theft protection services.
  • Legal fees to resolve disputes stemming from fraudulent activities.
  • Costs associated with freezing and unfreezing credit reports.
  • Lost wages due to time spent addressing issues related to the breach.

For low-income individuals, these costs can be particularly devastating, forcing difficult choices between safeguarding their identities and meeting basic needs.

Erosion of Trust in Institutions

Data breaches also have broader societal implications by eroding trust in institutions.

When companies fail to protect sensitive information, it undermines public confidence not only in those specific organizations but also in the broader systems that rely on digital data.

This loss of trust can have cascading effects, discouraging individuals from engaging with digital services or sharing necessary information for fear of future breaches.

The Need for Systemic Change

The Rite Aid breach highlights systemic issues within corporate cybersecurity practices. Despite handling sensitive consumer data, many companies fail to implement robust protections such as encryption or real-time intrusion detection systems.

These failures are often driven by a corporate culture that prioritizes cost-cutting over consumer safety—a hallmark of neoliberal capitalism where shareholder profits take precedence over public welfare.

1. Regulatory Gaps

Current regulations often lack the teeth needed to compel meaningful change. Penalties for non-compliance are frequently seen as a cost of doing business rather than a deterrent. Stronger laws mandating proactive cybersecurity measures and imposing significant fines for breaches are essential.

2. Transparency and Timely Notification

Rite Aid’s delay in notifying victims further compounded the harm caused by its breach. Immediate disclosure is critical for allowing individuals to take preventive actions such as freezing their credit or monitoring accounts more closely.

3. Investment in Cybersecurity

Companies must view cybersecurity not as an optional expense but as a fundamental responsibility akin to workplace safety or environmental stewardship. This includes regular audits, employee training on security protocols, and investments in advanced technologies to detect and prevent intrusions.

Empowering Consumers Through Advocacy

In the absence of sufficient corporate responsibility or regulatory oversight, consumer advocacy plays a critical roll in holding companies accountable.

Class-action lawsuits like those filed against Rite Aid serve not only to seek compensation for victims but also to pressure corporations into adopting better practices. Unfortunately, a class action lawsuit by itself won’t be enough to force change. We also need grassroots movements.

Grassroots movements can amplify these efforts by raising awareness about data privacy issues and advocating for stronger protections at both corporate and legislative levels.

What now?

The financial losses, emotional toll, and erosion of trust experienced by victims underscore the urgent need for greater corporate accountability and stronger regulatory frameworks.

As members of society, we must demand better from the companies we entrust with our most sensitive information.

As a society, we must recognize that data privacy is not merely a technical issue but a fundamental human right that deserves robust protection at every level.