Why Unmanaged Privileged Accounts
Are a Ticking Time Bomb

Imagine waking up to the news that your organization has been breached, with sensitive data stolen and critical systems compromised. The culprit? Not a sophisticated hacker, but a malicious insider exploiting an unmanaged privileged account.

In a digital environment, privileged accounts are the keys to your kingdom, but when left unsecured, they become the Achilles' heel of your security. In this blog, we'll explore the hidden dangers of unmanaged privileged accounts and discover how Privileged Access Management solutions can safeguard your organization against both insider threats and external attacks.

Risks of Unmanaged Privileged Accounts

Unmanaged privileged accounts pose a dual threat to your organization: they can be exploited by malicious insiders or compromised by external attackers.

Insider Threats

Insider threats are often overlooked but can be just as damaging as external attacks. Malicious insiders, who may be current or former employees, contractors, or partners, can misuse privileged accounts for personal gain, sabotage, or revenge. These individuals already have access to your sensitive systems and data, making it easier for them to carry out their activities without detection.

For instance, in 2023, Tesla suffered a major data breach orchestrated by two former employees who leaked sensitive personal data, including names, addresses, phone numbers, employment records, and social security numbers of over 75,000 current and former employees. This incident highlights how insider threats can lead to significant financial and reputational damage.

External Attacks

External attackers also target privileged accounts as a primary entry point for gaining access to 

your organization's network. Once compromised, these accounts provide attackers with the keys to your kingdom, allowing them to move laterally within your network, steal sensitive data, and disrupt operations.

Phishing attacks are a common tactic used to compromise privileged accounts. Attackers may send targeted phishing emails to IT administrators or other high-privilege users, attempting to trick them into revealing their login credentials. Once an attacker gains access to a privileged account, they can exploit its elevated permissions to carry out activities, often without being detected for months.

Recent cyber attacks, such as those in February 2025, underscore the urgency of securing privileged accounts. A hacker stole a record $1.46 billion from Bybit ETH cold wallet, and data breaches impacted millions of customers across various industries. These incidents show the harmful consequences of compromised privileged accounts.

Consequences of Compromised Privileged Accounts

The consequences of compromised privileged accounts can be severe and far-reaching:

• Data Breaches: Compromised accounts can lead to unauthorized access to sensitive data, resulting in costly data breaches. The average cost of a data breach is $4.88 million dollars, not to mention the loss of customer trust and reputation.
  

• Operational Disruptions: Attackers can use compromised accounts to disrupt critical systems, causing downtime and significant financial losses. For example, a ransomware attack on a healthcare provider could result in life-threatening delays in patient care.

• Compliance Issues: Organizations that fail to manage privileged accounts properly may also face compliance issues. Regulatory bodies require strict controls over access to sensitive data, and failure to comply can result in hefty fines and legal penalties.

The Role of Privileged Access Management

Privileged Access Management is a security solution designed to protect, control, and monitor privileged accounts. Effective PAM strategies focus on four key pillars: Discover, Secure, Audit, and Automate.

• Discover: Identify all privileged accounts within the organization, including user accounts, service accounts, application accounts, and shared accounts. This step is crucial for gaining visibility into who has access to what resources.

• Secure: Implement strict access controls and secure these accounts with strong authentication mechanisms like multi-factor authentication (MFA). Regularly rotate and update passwords, and enforce the least privilege principle to limit permissions.

• Audit: Monitor and record all privileged sessions in real time to ensure accountability and compliance. Detailed audit trails help organizations demonstrate regulatory adherence.

• Automate: Automate routine tasks such as password rotations and access approvals to reduce the workload on IT teams and minimize human error.

PAM solutions should offer a powerful set of capabilities to mitigate the risks associated with unmanaged privileged accounts, such as:

• Just-in-Time Access: Grant temporary access to privileged accounts only when needed, reducing the attack surface.

• Credential Vaulting: Securely store and manage privileged credentials to prevent unauthorized access.

• Session Monitoring: Monitor and record all privileged sessions in real time for visibility and compliance.

Benefits of Implementing PAM Solutions

• PAM helps automate identity lifecycle management, ensuring that access rights are regularly reviewed and certified and that third-party access is secured with limited permissions. This addresses concerns about over-permissions and "ghost" accounts.

• PAM enhances security by providing a comprehensive view of risks and controls, aiding in the development of robust incident response processes, and ensuring compliance across multiple frameworks. This helps balance security with usability in complex ERP environments.

• PAM supports regulatory compliance by providing detailed audit trails and reports, making it easier to demonstrate adherence to governance policies and maintain audit readiness. This aligns ERP operations with corporate policies and ensures data governance.

• PAM streamlines security operations by automating tasks and providing real-time monitoring of privileged activities, helping to maintain compliance with security standards.

Unmanaged privileged accounts are a ticking time bomb in your organization. SafePaaS crushes Privileged Access Management risk to enhance your security and improve your efficiency.

Ready to safeguard your most valuable assets? Reach out to SafePaaS to assess your Privileged Access Management setup and uncover potential weak points.