In this post, Thomas Ritter and I take a look at cyber security laws affecting the insurance industry and offer recommendations about how affected companies can get in good cyber shape. Thomas is a leading cyber security attorney with Thomson Burton in Nashville. He advises clients on regulatory compliance, incident response, and risk mitigation techniques.
In May of 2018, the EU’s groundbreaking privacy and cyber security regulation, the General Data Protection Regulation (GDPR), went into effect. The GDPR covers virtually every aspect of how companies handle protected data and empowers individuals with a wide range of rights over their data. Implementing these sweeping GDPR requirements has proved to be strategically and operationally challenging for affected businesses, with few expecting to have achieved full compliance by the Regulation’s May 25, 2018, effective date.
Just as companies were catching their collective breath after racing toward the GDPR deadline, Governor Jerry Brown of California signed the hastily enacted and similarly groundbreaking California Consumer Protection Act (CCPA). Like the GDPR, the CCPA also vests individuals with more control over their protected data. Although the CCPA is expected to be further clarified prior to its January 1, 2020, effective date, it also promises to create challenging strategic and operational hurdles for covered businesses. While there are a number of similarities between GDPR and CCPA — some commentators actually refer to CCPA as “GDPR light” — understanding the specific areas of overlap as well as the differences between the two standards can help companies more efficiently and effectively work towards ongoing compliance with both.
Just days before the General Data Protection Regulation (GDPR) enters into its enforcement stage, IBM has released an interesting report called The End of the Beginning, which documents the results of its survey of 1,500 business executives across various industries in 34 countries concerning the EU’s groundbreaking Regulation. The survey was conducted in February and April 2018 and demonstrates that the GDPR already is having a positive impact in terms of information governance, privacy, and data security practices in many companies. But perhaps most importantly, the survey indicates that a majority of executives view the GDPR as a catalyst for important changes within their organizations, rather than a mere compliance issue, reflecting a maturation in the approach companies are taking to privacy and security issues.
The EU’s General Data Protection Regulation goes into effect on May 25, 2018. Check out this article in LegalTech News for a pragmatic look at how the GDPR would have applied to the Equifax breach.