Understanding What Is a Vendor SIG Questionnaire

When businesses work with vendors or third-party partners, security is a big deal. That’s where the Vendor SIG Questionnaire comes in. 

Now, what is a SIG?

“SIG” stands for Standardized Information Gathering, a framework created by Shared Assessments to simplify third-party risk assessments. Instead of crafting custom security evaluations for every vendor, companies use this standardized questionnaire to check a vendor’s security practices, compliance, and potential risks—especially in areas like data privacy, cybersecurity, and business resilience.

But how does it actually work? In this blog, we’ll break down the types of SIG questionnaires and explore their key benefits so you can understand why they’re essential for vendor risk management.

Types & Common Categories of SIG Questionnaires

Now that you know what SIG is, it’s time to learn about the various categories and types of SIG questionnaires. Let’s begin!

Types of SIG Questionnaires

SIG Core – For High-Risk Vendors

SIG Core is a comprehensive questionnaire designed for vendors that handle sensitive data, critical business operations, or have a higher risk exposure. It contains over 627 questions covering a broad range of security and compliance areas, including:

• Data Protection & Privacy – How the vendor safeguards sensitive information.
• Cybersecurity Controls – Measures to prevent cyber threats and breaches.
• Business Continuity & Disaster Recovery – Plans for keeping operations running in emergencies.
• Regulatory Compliance – Ensuring alignment with laws like GDPR, HIPAA, or PCI DSS.

SIG Lite – For Low to Medium-Risk Vendors

If a vendor has limited access to sensitive data or poses a lower risk, businesses can use SIG Lite—a shorter, simplified version of the SIG questionnaire. With around 128 questions, it focuses on key security areas without overwhelming vendors with unnecessary details. It typically covers:

• Basic Security Policies – General IT security practices in place.
• Access Controls – How the vendor limits access to critical systems.
• Incident Management – How they respond to security issues.

Custom SIG

While SIG Core and SIG Lite offer structured assessments, some businesses need a more customized approach—this is where Custom SIG comes in. It allows organizations to select specific questions from the SIG Core and Lite based on their unique security, compliance, and risk management requirements. Instead of using the full questionnaire, companies can focus only on relevant areas.

Categories of SIG Questionnaires

The SIG Questionnaire is divided into different categories, each focusing on a critical area of vendor security and risk management. Let’s break them down:

1. Information Security

This category evaluates how well a vendor safeguards sensitive data and IT systems from cyber threats. It looks at:

• Security policies and procedures
• Network and system protections (e.g., firewalls, encryption)
• Employee security awareness training
• Protection against malware and cyberattacks

2. Privacy & Data Protection 

With laws like GDPR and CCPA, companies must ensure vendors properly handle personal and confidential information. This category assesses:

• How vendors collect, store, and process personal data
• User consent and data access policies
• Data retention and secure disposal methods
• Compliance with privacy regulations

3. Compliance & Regulations 

Vendors must follow industry laws and regulatory frameworks such as HIPAA (for healthcare), PCI DSS (for payment security), and SOX (for financial reporting). This section checks:

• Vendor compliance with relevant laws
• Audit and reporting capabilities
• Policies for handling compliance violations

4. Risk Management 

Every vendor poses some level of risk. This section evaluates how well a vendor identifies, assesses, and mitigates potential risks, including:

• Risk assessment processes
• Handling of third-party and subcontractor risks
• Security monitoring and reporting

5. Business Continuity

If a vendor experiences an outage, it shouldn’t impact your business. To ensure this, the category examines:

• Disaster recovery plans
• Backup strategies for data and IT systems
• Resilience against cyberattacks and system failures

6. Incident Response – Handling Security Breaches

When a cyberattack or data breach happens, vendors must act fast. This section reviews the response time and action plan, including:

• Incident detection and response procedures
• Communication plans during security incidents
• Vendor responsibilities in case of a breach

7. Cloud Security

If a vendor provides cloud-based services, strong cloud security is essential. This section evaluates:

• Encryption of cloud-stored data
• Access control and identity management
• Security measures for cloud applications and infrastructure

8. Application Security – Securing Software & Platforms

For vendors that develop or use applications, this category assesses:

• Secure coding practices
• Protection against common threats (e.g., SQL injection, cross-site scripting)
• Regular security testing and vulnerability management

Benefits of SIG Questionnaires in Third-Party Risk Management

Here are eight key benefits of using SIG questionnaires:

1. Saves Time with Standardized Assessments

One of the biggest advantages of the SIG Questionnaire is that it’s used across multiple industries—finance, healthcare, retail, tech, and more. This means vendors don’t have to fill out different security assessments for each client. This eliminates redundancy and speeds up the vendor assessment process. In fact, businesses using SIG can cut assessment time by up to 40% compared to custom-built questionnaires, according to Shared Assessments.

2. Improves Vendor Security Screening

With cyberattacks on third-party vendors rising, businesses need stronger security evaluations. The SIG Questionnaire helps by assessing key areas like data protection, network security, and third-party risk management, ensuring vendors follow best practices like data encryption, Multi-Factor Authentication (MFA), and more before onboarding.

3. Ensures Compliance with Regulations

Many industries have strict compliance laws (e.g., GDPR, HIPAA, PCI DSS). The SIG framework aligns with these global regulatory standards, making it easier for businesses to ensure vendors meet legal and industry requirements—reducing the risk of fines and penalties.

4. Reduces Third-Party Cyber Risk

According to the Ponemon Institute, 61% of data breaches are linked to third parties. The SIG Questionnaire helps businesses identify these security gaps in vendor systems before they become a threat. By evaluating cloud security, incident response, and data encryption, companies can prevent costly security failures.

5. Provides a Clear Risk Score for Vendors

Not all vendors carry the same level of risk. The SIG Questionnaire helps businesses categorize vendors as high, medium, or low risk based on their responses. This makes it easier to prioritize high-risk vendors and apply stronger security measures where needed.

6. Enhances Business Continuity Planning

A vendor failure can disrupt operations. To help cope with this, the SIG assesses a vendor’s disaster recovery plans, backup strategies, and resilience against cyber threats, ensuring businesses work with partners who can keep services running—even in a crisis.

7. Strengthens Trust with Vendors and Customers

By using a recognized security framework, businesses show vendors and customers that they take security seriously. This builds trust, improves partnerships, and reduces risk for everyone involved.

8. Keeps Up with Evolving Cyber Threats

Cyber threats are constantly changing, and vendors must keep up. To ensure this, the SIG Questionnaire is regularly updated to address emerging risks like ransomware, AI-driven attacks, and evolving compliance laws. This ensures businesses always assess vendors using the latest security best practices.

How to Choose the Right SIG Questionnaire for Your Third-Party Risk Management Needs?

Not all vendors pose the same level of risk, so selecting the right questionnaire amidst SIG Lite and Core is vital. Here’s how to decide on how to use SIG questionnaires:

1. Data Sensitivity

• High-Sensitivity Data: If a vendor handles highly sensitive or regulated information, such as payment card details or personal health records, the SIG Core is recommended.
• Low-Sensitivity Data: For vendors accessing less sensitive information, the SIG Lite may suffice. It provides a broad overview of a vendor's internal information security controls, suitable for lower-risk engagements.

2. Vendor's Role

• Critical Service Providers: Vendors integral to your core operations or those with access to critical systems should undergo the SIG Core assessment. Its extensive scope ensures a thorough understanding of potential risks associated with essential services.
• Non-Critical Service Providers: Vendors offering ancillary services, such as office supplies or maintenance, typically pose lower risks. In these cases, the SIG Lite offers a streamlined assessment, focusing on fundamental security aspects without unnecessary depth.

3. Regulatory Requirements

• Strict Compliance Standards: Industries like finance and healthcare are subject to rigorous regulations. The SIG Core aligns with multiple standards, including ISO 27001, NIST, GDPR, and PCI DSS, ensuring comprehensive compliance coverage.
• Moderate Compliance Needs: Organizations in sectors with less stringent regulatory demands might find the SIG Lite adequate, as it addresses essential compliance aspects without delving into exhaustive detail.

4. Assessment Resources

• Resource Availability: The SIG Core's extensive nature requires significant time and effort to complete—potentially several weeks. Ensure your team has the necessary resources to manage this in-depth assessment.
• Efficiency Needs: If your organization faces time constraints or has limited assessment personnel, the SIG Lite offers a quicker alternative, typically completed in a few days, while still covering key risk areas.    

5. Vendor Relationship Duration

Long-Term Partnerships: If a vendor is a long-term strategic partner or deeply embedded in your operations, conducting an SIG Core assessment ensures a comprehensive evaluation of their security posture over time.
Short-Term or One-Time Engagements: For vendors engaged in short-term projects or one-time engagements with minimal risk exposure, the SIG Lite provides a sufficient assessment without excessive scrutiny.