Why Should You Seek a SOC 2-Compliant MSP?

SOC 2 compliance shows that a managed IT service provider follows strict security standards to protect customer data. By choosing a SOC 2-compliant provider, you’re showing that same level of commitment to your information security.

“Prioritizing SOC 2 compliance is an effective way to help your team verify that you are choosing a secure MSP. Still, remember always to pair that with a solid cybersecurity strategy.” – Jeremy Wanamaker, CEO of Complete Network.

SOC 2 reports also give you transparency into your provider’s security controls. These reports detail how the provider manages data protection and risk. Knowing what their security measures are is vital information for certain compliance frameworks.

For example, PCI DSS requires businesses to manage and monitor third-party service providers with access to cardholder data to ensure they comply with security measures. SOC 2 reports help you verify that your managed service provider (MSP) is following requirements.

The rest of this article will take a closer look at this idea. We’ll explore what SOC 2 compliance means, what you should expect to see on an MSP’s SOC 2 reports, and what the biggest benefits of choosing a SOC 2-compliant IT partner are.

What is SOC 2 Compliance?

SOC 2 (Service Organization Control 2) compliance is a set of standards for managing and securing customer data. Developed by the American Institute of Certified Public Accountants (AICPA), this framework outlines criteria to assess how system and organization controls handle data privacy, security, and confidentiality.

SOC 2 compliance is centered around the 5 Trust Service Criteria (TSC).

What Should You See on an MSP’s SOC 2 Report?

Overview of Security Controls

A SOC 2 report’s security section typically outlines the MSP’s core protections, such as firewalls, intrusion detection systems, and access controls. The report provides details about these measures and may include notes on how effectively they perform.

Look for clear descriptions of access control policies, network security measures, and any proactive steps taken to identify and block potential threats. A thorough explanation of how the MSP tests and updates these controls shows a strong commitment to security.

Results of Risk Assessments

This section provides findings from the MSP’s latest risk assessment. It might include identified risks, the likelihood of each risk happening, and the MSP’s strategies for reducing or managing these risks.

A comprehensive risk assessment section shows the MSP takes proactive steps to understand and reduce risks. Look for documented actions taken in response to identified risks, as well as regular, scheduled assessments.

Incident Response Protocols

The incident response section describes the MSP’s steps for managing security incidents. It details how the MSP identifies, responds to, and resolves incidents. Look for a well-defined incident response plan with clear roles, communication steps, and response times. You should also look for any mentions of regular incident response plan testing.

Audit Logs & Monitoring Practices

This section lists the MSP’s monitoring tools and methods for tracking activity within its systems. It may show what kinds of data they log, how long they retain it, and how frequently they review logs.

Look for consistent log reviews, with timelines that show regular checks. The report should mention automated alerts for specific events or unusual activity, as these systems help detect issues quickly.

Data Encryption & Protection Policies

The report will likely describe encryption practices, such as whether data is encrypted both during transmission and when stored. It may also cover other data protection measures, like user access limitations and data backup protocols.

Clear descriptions of access control policies and data backup procedures are good indicators of good data security. Frequent policy updates and testing of encryption methods suggest the MSP stays current with security best practices.

Business Continuity & Disaster Recovery Plans

This section describes the MSP’s plans for continuing operations during unexpected events, such as natural disasters, data breaches, or major system failures. It may detail backup procedures, recovery times, and alternative processes to maintain services.

A strong disaster recovery plan includes regular tests of backup and recovery procedures, along with clear recovery timelines. Look for evidence that the MSP updates and reviews these plans frequently. 1 in 4 companies with a disaster recovery plan never test it, so you need absolute certainty that your MSP is not one of them.

6 Key Benefits of Choosing a SOC 2-Compliant Provider

1. Build Trust With Your Clients

SOC 2 certification demonstrates that your MSP has been independently audited to meet industry-recognized criteria for handling data. Therefore, your clients are more likely to trust your data management processes. More trust means a better competitive advantage.

2. Documented & Auditable Security Practices

A non-SOC 2-compliant MSP may not have the same documentation standards, which may make it harder to verify whether their security practices are actually followed. That lack of documentation may limit how much insight you have into how your MSP handles your data.

3. Third-Party Vendor Accountability

A SOC 2-compliant MSP not only follows its own standards but also evaluates and monitors third-party vendors’ security practices. This requirement ensures that any external services your MSP relies on meet the same high security standards.

4. Controlled Data Access

SOC 2 compliance enforces strict access controls. Therefore, without compliance regulations, access controls may be weaker or inconsistent. Strong, consistent access controls mean strong, more consistent data security.

5. Continuous Process Validation

Without SOC 2, an MSP may not have structured processes for ongoing validation. This lack of regular testing may allow vulnerabilities to persist. Continuous process validation ensures your data protection remains strong over time, giving you confidence that your provider is actively managing risks rather than relying on outdated practices.

6. Defined Security Framework

SOC 2 compliance requires MSPs to establish a defined security framework. A defined security framework ensures that your MSP’s security practices are comprehensive and reliable. This consistency helps your business reduce risk and meet other compliance requirements.

Will Choosing a Non-Compliant MSP Affect My SOC 2 Certification?

Choosing an IT provider without a SOC 2 certification may impact your own organization’s SOC 2 compliance. That’s because your provider will have access to the same information as your employees. Therefore, their data security practices must also meet the same standards if you intend to maintain SOC 2-compliant data protection.

Choose Complete Network as Your SOC 2-Compliant MSP

60% of companies are planning to invest more in both cybersecurity and compliance enhancements. If you’re one of them, it’s important to ensure that you get the best results from that increased investment. Partnering with a SOC 2-compliant IT provider means that you’re choosing a secure partner and someone who can guide you toward better security decisions.

Complete Network employs a seasoned team of cyber professionals who already manage over 160 companies and 10,000 endpoints. We are a SOC 2-certified MSP, and we are well-versed in the latest best practices to maintain your cybersecurity and operational effectiveness.

Reach out today for your consultation.