“Technology and Cybersecurity Best Practices for Community Associations” – FLCAJ Magazine
Cyberattacks have become more common and sophisticated across all sectors, including community associations. Because these associations often collect and handle personally identifiable information (PII), it is essential that they properly maintain and protect it. Many community associations require residents to fill out detailed applications that include not only basic information (such as name, address, phone number, and email) but also sensitive data such as driver’s license numbers, social security numbers, and financial details. Once accessed, this data may be sold, encrypted and held for ransom, or copied and used to extort the association or its residents.
Under Fla. Stat. §501.171, a business entity that experiences a security breach is required to notify all affected Florida residents, the Department of Legal Affairs, and the three major U.S. credit bureaus if the breach affects more than 1,000 individuals. As such, it is more important than ever for community associations to implement robust cybersecurity measures.
Although Florida law does not provide specific data-handling requirements for community associations, many general best practices can and should be applied. Cyber Florida, an initiative of the University of South Florida, offers a useful overview of cybersecurity fundamentals for local governments—many of which are relevant for community associations. Key practices include the following:
1. Audit The Data
Understanding what data is being collected is a critical first step. A data audit worksheet can help associations determine what types of PII they store and where it is located—whether in the cloud, on local servers, or on external hard drives. Once identified, data can be prioritized based on its sensitivity. High-value data, such as banking and credit card information, requires the highest levels of protection as it is the most attractive to cybercriminals.
2. Keep Safeguards In Place and Updated
Maintaining up-to-date systems, networks, and software is critical. As technology evolves, so do cyberthreats. Software updates often include important security patches that address new vulnerabilities. Associations should also use strong, unique passwords for each system and change them regularly. Multi-factor authentication (MFA) should be implemented wherever possible to provide an extra layer of protection beyond passwords.
3. Manage Access To Data
Limit access to sensitive data to only those employees who absolutely need it. Provide thorough training on data-security policies, and ensure employees can recognize and report suspicious activity. Regular cybersecurity training should be mandatory for all staff who handle PII.
4. Cyber Insurance
Cyber liability insurance is an important part of a layered security approach. These policies cover expenses related to data breaches, including system repair, data restoration, legal fees, customer notification, and credit monitoring. However, insurance is not a substitute for strong preventive measures. Associations should regularly review and update their policies to ensure they remain covered against emerging threats.
5. Consult Legal and Management Professionals
Associations should collaborate with their management company and legal counsel to stay informed on best practices and evolving compliance strategies for privacy and data protection.
How Cybercriminals Are Using AI To Target Community Associations
Artificial intelligence (AI) is transforming the cybersecurity landscape—not only for defenders but also for attackers. Cybercriminals are increasingly leveraging AI tools to automate, accelerate, and amplify their malicious efforts. Community associations, due to their sensitive data and often limited cybersecurity infrastructure, are becoming easier targets for AI-enabled cybercrime.
AI-Enhanced Phishing and Social Engineering
AI tools can analyze public records, social media, and association websites to craft highly personalized phishing emails that appear legitimate. These messages often mimic trusted vendors, property managers, or board members. Some AI models can even generate human-like text that adapts to a target’s tone and language patterns. This increases the chances that recipients will click on malicious links or unknowingly provide sensitive information.
Deepfake and Voice-Cloning Attacks
AI can now generate convincing deepfake videos and synthetic voices. In one emerging tactic, cybercriminals use AI to mimic the voice of a board member or manager in a phone call, requesting an urgent wire transfer or password reset. Because these audio deepfakes can sound authentic, especially in high-pressure situations, even well-trained staff may fall victim.
Automated Vulnerability Scanning
AI-powered bots can rapidly scan websites, email servers, and cloud storage for weaknesses. If a community association’s website or database has outdated software or misconfigured access controls, these bots can identify and exploit vulnerabilities without human intervention.
Ransomware With AI Targeting
Some AI-based malware can learn how a network operates over time, allowing it to identify high-value files, disable backups, or select the most damaging time to strike. For example, it might wait until just before a community board meeting or billing cycle to encrypt data and demand ransom, maximizing pressure on the association to pay quickly.
Data Mining For Extortion
Once inside a system, AI can sift through stolen files to identify compromising or sensitive information about residents or board decisions. Cybercriminals may then use this data to blackmail individuals or the association, threatening to leak the information unless payment is made.
Final Thoughts
As AI becomes more sophisticated, so do the threats facing community associations. The same technologies that improve efficiency and communication can also be weaponized by those seeking to exploit digital vulnerabilities. To stay ahead, community associations must not only follow best practices in data management and cybersecurity but also recognize the growing role AI plays in cybercrime.
Regular training, proactive audits, legal consultation, and up-to-date software are essential components of a strong cybersecurity posture. As threats evolve, so too must our defenses.
To read the original FLCAJ article, please click here.
Michael Góngora is the lead community association litigator in the Miami office. His experience representing community associations includes handling various contracts, association declarations, litigation, and disputes that may arise from these and other issues. He was a partner in his own firm in Miami Beach for several years before joining Becker. Mr. Góngora is a fully bilingual (Spanish/English) attorney and was previously a certified family mediator by the Florida Bar. Mr. Góngora is also one of only 190 attorneys statewide who is a board-certified specialist in condominium and planned development law.
