Password Policy Template

1. Purpose

• To establish guidelines for creating, managing, and protecting passwords to ensure the security of organizational systems and data.

2. Scope

• This policy applies to all employees, contractors, and third-party users who access organizational systems, applications, or networks.

3. Password Creation Requirements

• Length: Passwords must be at least 12 characters long.
• Complexity: Passwords must include a mix of uppercase letters, lowercase letters, numbers, and special characters (e.g., !, @, #, $).
• Uniqueness: Passwords must be unique and not reused across multiple accounts or systems.
• Prohibited Passwords: Avoid using easily guessable information, such as names, birthdays, or common words (e.g., "password," "123456").

4. Password Management

• Password Changes: Passwords must be changed every 90 days or immediately if a breach is suspected.
• Password History: Users cannot reuse their last 5 passwords.
• Password Storage: Passwords must not be written down or stored in plain text. Use a secure password manager.
• Sharing Passwords: Passwords must not be shared with anyone, including colleagues or IT support.

5. Multi-Factor Authentication (MFA)

• Requirement: MFA must be enabled for all accounts that support it.
• Methods: Use a combination of something you know (password), something you have (e.g., a mobile device), and something you are (e.g., biometrics).

6. Account Lockout and Recovery

• Account Lockout: Accounts will be locked after 5 failed login attempts.
• Recovery Process: Users must follow the account recovery process to regain access, which may include identity verification.
• Password Reset: Passwords must be reset immediately if an account is compromised.

7. Employee Training and Awareness

• Training: Provide regular training on password best practices and cybersecurity awareness.
• Phishing Awareness: Educate employees on recognizing phishing attempts and avoiding password theft.
• Policy Updates: Communicate updates to the password policy to all employees.

8. Enforcement and Compliance

• Audits: Conduct regular audits to ensure compliance with the password policy.
• Penalties: Non-compliance with this policy may result in disciplinary action, up to and including termination.

9. Exceptions

• Approval: Any exceptions to this policy must be approved by the IT Security Team.
• Documentation: Exceptions must be documented and reviewed periodically.

10. Review and Updates

• Review Frequency: This policy will be reviewed annually or as needed to address emerging threats.
• Updates: Updates to the policy will be communicated to all employees and stakeholders.

Conclusion

A strong password policy is essential for protecting organizational systems and data from unauthorized access and cyber threats. By following this template, businesses can establish clear guidelines and best practices for password management. Regularly review and update the policy to ensure it remains effective in addressing evolving security challenges.

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