This question can be further broken down to 3 basic questions –

1) How safe is the web today?
2) What are the right questions to ask your web application provider (gmail, facebook etc) ?
3) Is safe?

1) How safe is the web today?

In the past 10 years, web based solutions & technologies have come a long way. They have evolved wonderfully to provide a better solution for storage, backup and access of data vis-a-vis client/server systems. This can be attributed to, to name a few, the below.

Advanced web browsers like Google Chrome, Mozilla Firefox have made browsing the web safer and faster
Better encryption techniques like SSL, 256 bits encryption that ensure higher levels of security
Higher bandwidth allows better security measures to be employed
– Mainstream commerce like booking movie / railway tickets has to a phenomenal extent, moved to the web. This has underlined the need for more online payments which in turn has brought in more investment and research into security

2) Questions to ask your web service provider?

Here’s what you should be concerned about, when you sign up for a web service.
Data Security: Where is my data being stored? Who is the provider? What are the security measures provided by them?
Encryption: Are my username, password being encrypted? Are 256 bit SSL certificates being used for login?
Backup: Are backups taken every day, hour, minute? Data warranty?
Uptime: What is the guarantee on the availability of the website? What is the track record of the website?
Privacy Laws: To whom does the data belong? Can any party other than myself access the data I upload on to your servers?

3) Is Safe ?

– Data Security : Data is maintained on the world class secure servers of RackSpace, more about RackSpace
– Encryption : Not only is all access to the application is through an encrypted username and password, but also role based. Meaning the primary user can decide how much of data he wants to share with the other users(eg: office staff) of his own account.
– Backups are taken every day and we provide 100% data warranty. Your data is never lost.
– Uptime : We have a 99.99% uptime guarantee. Here’s the proof
– Privacy laws : You are the owner of your data and no one else can access the data

Today, your data is safe online if the providers adopt the right measures and technologies. Your data is safe and secure with, you have not a single thing to worry about.