Compliance Crackdown: What Law, Accounting, and Finance Firms Should Know Heading Into 2026

Regulators are tightening the reins — and professional services firms are squarely in the spotlight. As we approach 2026, law firms, accounting practices, and financial institutions are facing new requirements, more audits, stricter reporting, and harsher penalties for security and governance failures.

The message is clear: Compliance is no longer a box to check. It’s becoming a year-round discipline.

Here’s what your firm needs to know now to avoid surprises — and how to prepare strategically for the year ahead.

1. SOC 2 Is Becoming the “Minimum Standard”

Even if your firm isn’t formally required to obtain SOC 2, clients are increasingly expecting it — especially in finance, investment management, and high-value litigation.

Heading into 2026, expect:

• More client RFPs requiring SOC 2 reports
• Larger matters requiring SOC 2 Type II proof
• Vendor risk reviews asking deeper security questions
• Increased pressure to formalize controls, policies, and documentation

Firms without a clear SOC 2-aligned posture may lose competitive opportunities.

2. GLBA and SEC Rules Are Tightening for Investment & Finance Firms

The financial sector is facing one of the most aggressive compliance shifts in years.

New guidance and enforcement trends emphasize:

• Mandatory cybersecurity incident reporting
• Documented risk assessments
• Clear asset inventories
• Role-based access controls
• Stronger vendor oversight
• Evidence of continuous monitoring

Investment advisors and finance teams should expect more frequent audits and significantly less tolerance for “informal” security practices.

3. Law Firms Are Under Increased Scrutiny Too

Law firms may not be federally regulated the way banks are, but 2025 has seen a rise in:

• State-level data privacy requirements
• Client-mandated cybersecurity questionnaires
• Third-party audits from insurers
• Higher cybersecurity insurance standards

In short: your clients' regulators are becoming your regulators.

4. HIPAA & Health-Adjacent Matters Are Getting Stricter

Any firm dealing with medical records (employment cases, personal injury, benefits, workers comp, etc.) should anticipate:

• More rigorous HIPAA Business Associate Agreement (BAA) enforcementMandatory encryption and MFA
• Privacy tracking and audit logs
• Regular security awareness training requirements

Even accidental mishandling of PHI can trigger significant penalties — and lost client trust.

5. “Evidence” Will Matter More Than Policies

A binder full of policies won’t satisfy auditors in 2026.

Regulators and insurance providers now want proof of ongoing implementation, such as:

• Logs showing regular access reviews
• Patch management reports
• Endpoint monitoring alerts
• Audit trails for user provisioning/de-provisioning
• Annual risk assessments
• Cloud configuration reports

The shift is from “What policies do you have?” to “Show us that you’re actually enforcing them.”

How Firms Should Prepare Before 2026

Forward-thinking firms should prioritize:

• ✔ Comprehensive Risk & Compliance Assessments
• Identify gaps before an auditor or client does.
• ✔ Documented Processes and Systematized Controls
• Automate and standardize wherever possible.
• ✔ Cloud Configuration Reviews (Microsoft 365, Azure, GCP)
• Misconfigurations remain the top cause of audit failures.
• ✔ Stronger Identity Controls
• MFA everywhere, access reviews twice a year, and role-based permissions.
• ✔ Continuous Security Monitoring
• Real-time visibility is now expected, not optional.

Where TEKMARK Helps

TEKMARK specializes in supporting law firms, accounting practices, and finance/investment firms with:

• SOC 2-aligned control frameworks
• Compliance automation
• Risk assessments and policy development
• Identity and access governance
• Cloud security hardening
• 24/7 monitoring and incident readiness
• Vendor due diligence and audit preparation

We help firms build a compliance posture that is defensible, auditable, and client-ready — without overwhelming internal teams.

2026 will reward the firms that prepare, and penalize the ones that don’t. If your firm wants a clear, actionable roadmap, TEKMARK can guide you every step of the way. Let’s get ahead of the compliance crackdown — before it hits.