The correct answer is to implement encryption because it directly addresses the vulnerability of unencrypted data in transit. While perimeter controls like firewalls and intrusion detection systems defend the network boundary, they cannot protect data confidentiality once packets leave that boundary and travel across untrusted networks. Encryption, such as TLS or IPsec, provides end-to-end confidentiality by rendering intercepted data unreadable, thereby mitigating the root cause of the high risk. On the CRISC exam, this scenario tests your understanding of defense-in-depth and the critical distinction between preventive controls (encryption) and detective or deterrent controls (perimeter defenses). A common trap is overvaluing strong network boundaries while ignoring the data’s exposure on the wire. Remember the mnemonic: “Perimeter stops the intruder, encryption stops the eavesdropper.”
CRISC IT Risk Assessment Practice Question
This CRISC practice question tests your understanding of it risk assessment. The scenario asks you to isolate a root cause — eliminate options that address a different problem before choosing. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
You are the risk manager for a healthcare provider. A risk assessment identified that patient data is transmitted over unencrypted connections between clinics and the data center. The existing controls include strong network perimeter defenses. The risk is rated as high. Management is concerned about the cost of implementing encryption. You have proposed a control that encrypts data in transit. However, the network team argues that the perimeter controls are sufficient. What is the MOST appropriate response?
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Implement encryption as recommended because it addresses the vulnerability directly.
Option D is correct because encrypting data in transit directly addresses the vulnerability of unencrypted connections, which is the root cause of the high risk. Perimeter controls like firewalls and IDS/IPS do not protect the confidentiality of data once it leaves the protected network boundary, as they cannot prevent interception on the wire. Implementing encryption (e.g., TLS 1.2/1.3 or IPsec) ensures end-to-end confidentiality regardless of perimeter strength.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
✗
Transfer the risk to a third party by outsourcing data transmission.
Why it's wrong here
Unnecessary and may introduce new risks.
✗
Accept the risk because perimeter controls are in place.
Why it's wrong here
Perimeter controls do not fully mitigate data exposure.
✗
Reduce the risk rating to medium since perimeter controls provide compensating security.
Why it's wrong here
Compensating controls do not eliminate the need for encryption.
✓
Implement encryption as recommended because it addresses the vulnerability directly.
Why this is correct
Provides necessary protection for data in transit.
Related concept
Read the scenario before looking for a memorised answer.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates may overestimate the effectiveness of perimeter controls (e.g., firewalls) as a compensating control for data-in-transit encryption, failing to recognize that they operate at different OSI layers and cannot prevent interception of unencrypted traffic after it leaves the network boundary.
Detailed technical explanation
How to think about this question
Unencrypted data in transit is vulnerable to passive attacks like packet capture using tools such as Wireshark or tcpdump, and active attacks like ARP spoofing or SSL stripping. Encryption protocols like TLS 1.3 use ephemeral Diffie-Hellman key exchange to provide forward secrecy, ensuring that even if a private key is compromised, past sessions remain secure. In a healthcare context, failing to encrypt violates HIPAA Security Rule requirements for transmission security (45 CFR § 164.312(e)(1)), which mandates encryption as an addressable implementation specification.
KKey Concepts to Remember
Read the scenario before looking for a memorised answer.
Find the constraint that changes the correct option.
Eliminate answers that are true in general but not in this case.
TExam Day Tips
→Watch for words such as best, first, most likely and least administrative effort.
→Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
How this comes up in practice
A small business has 20 workstations on the 192.168.1.0/24 network and one public IP from its ISP. The router uses PAT (NAT overload) so all 20 devices share one public address using different source ports. NAT questions test whether you understand the four address terms and which direction each translation applies.
What to study next
Got this wrong? Here's your next step.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
IT Risk Assessment — This question tests IT Risk Assessment — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Implement encryption as recommended because it addresses the vulnerability directly. — Option D is correct because encrypting data in transit directly addresses the vulnerability of unencrypted connections, which is the root cause of the high risk. Perimeter controls like firewalls and IDS/IPS do not protect the confidentiality of data once it leaves the protected network boundary, as they cannot prevent interception on the wire. Implementing encryption (e.g., TLS 1.2/1.3 or IPsec) ensures end-to-end confidentiality regardless of perimeter strength.
What should I do if I get this CRISC question wrong?
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
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Question Discussion
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