TL;DR
A Written Information Security Program (WISP) is a roadmap for managing cybersecurity risk and is increasingly required by regulators, insurers and clients. This article explains why you need a WISP, outlines its key components and offers best practices for creating and maintaining one.
Developing a WISP (Written Information Security Program): A Legal Checklist
The concept of a Written Information Security Program (WISP) might sound like industry jargon, but it simply means having a documented plan for protecting data. Federal and state regulators now expect businesses—especially those handling financial or health information—to adopt comprehensive security programs. WISPs originated with HIPAA in 1996 and the Gramm–Leach–Bliley Act (GLBA) in 1999 and have been reinforced by the Federal Trade Commission's Safeguards Rule. In 2023, the IRS began requiring tax practitioners to confirm that they have a WISP as part of renewing their preparer tax identification number. The Rightworks article notes that the Safeguards Rule's updated breach‑notification requirements took effect in 2024, underscoring the urgency of compliance.
Why a WISP Is Essential
Legal compliance – Having a WISP is often mandatory. The FTC Safeguards Rule requires covered financial institutions to "develop, implement, and maintain" an information‑security program, and the IRS has made WISPs a condition for tax preparers to obtain or renew their credentials. Many states have adopted laws requiring written security programs for businesses that collect personal data.
Business continuity and reputational upkeep – Cyber incidents are a matter of when, not if. A WISP ensures your organization can identify and address threats, contain breaches, and recover quickly. Rightworks notes that having a WISP aids survival by guiding breach response and demonstrating diligence to regulators and clients.
Insurance and liability protection – Cyber insurers may refuse claims if a company lacks a documented security program. A well‑crafted WISP shows that your company took reasonable steps to protect data, which can mitigate liability.
Client trust and competitive advantage – Clients want to work with businesses that take security seriously. Demonstrating that you have a WISP can be a differentiator in competitive markets.
Goals of a WISP
According to Rightworks, a WISP should achieve several objectives:
Identify and evaluate risks – Understand what information you hold and the threats you face.
Implement technical and administrative controls – Use encryption, access controls, and security policies to reduce risk.
Monitor security measures – Continuously test and assess the effectiveness of your controls.
Respond to incidents – Document procedures for containing and reporting breaches.
Document compliance – Demonstrate adherence to regulations and industry standards.
Assign responsibilities – Designate individuals responsible for each aspect of the program.
Build client trust – Show stakeholders that you prioritize data protection.
Components of a WISP
Rightworks outlines key elements of a strong WISP:
Objective, purpose and scope – Define the goals of the program and the types of data covered.
Designated personnel – Identify a Data Security Coordinator responsible for overseeing the WISP and a Public Information Officer for communications.
Risk assessment – Evaluate risks posed by data storage and transmission methods, employee access and third‑party vendors.
Hardware and software inventory – Maintain an up‑to‑date list of all devices and systems that store or process data.
Security safeguards – Include policies such as:
- Access control and authentication – Limit access based on job roles and use multi‑factor authentication.
- Encryption – Protect data in transit and at rest.
- Incident response procedures – Define steps for detecting, reporting and responding to breaches.
- Employee training – Provide regular training on security policies and best practices.
- Procedures for removing access when employees leave the organization.
Implementation clause – State that the organization will comply with applicable laws, such as GLBA and the FTC Safeguards Rule.
Best Practices for Developing and Maintaining a WISP
Designate a qualified individual – Appoint someone with appropriate expertise to manage the WISP. Rightworks emphasises the importance of having a competent security coordinator.
Use templates but customize – Starting with a proven template saves time, but tailor it to your organization's specific risks and regulatory requirements.
Review regularly – Update your WISP at least annually or whenever there are significant changes in technology or legal requirements.
Leverage technology providers – Work with IT and cybersecurity vendors that understand regulatory requirements. Rightworks suggests leaning on providers to support compliance and to ensure controls are properly implemented.
Foster a culture of security – Security isn't just about documents; it's about behavior. Promote awareness across the organization and include security considerations in strategic planning.
Align with recognized frameworks – Consider referencing standards such as NIST's Cybersecurity Framework or the NIST AI Risk Management Framework for AI‑enabled systems to ensure comprehensive coverage.
Secure Your Business's Digital Future
Navigate cybersecurity compliance with confidence. Contact Castroland Legal for expert WISP development that protects your digital assets and ensures regulatory adherence.
The IRS now requires tax preparers and financial firms to have a Written Information Security Program (WISP) to renew credentials. Financial institutions, healthcare providers, and many other businesses must also maintain documented cybersecurity plans under federal law. A proper WISP includes: risk assessment procedures, designated security coordinator, access controls & encryption, incident response protocols, employee training requirements. Don't wait for a cyber incident or regulatory penalty. Castro Land Legal specializes in creating customized WISPs that protect your business and ensure compliance. Ready to secure your business legally? Schedule your cybersecurity consultation today and sleep better tonight knowing you're protected.