Model Law. New Kid on the Block. 9 Selling Points for Insurance Cyber Security Regulation.

 National Association of Insurance Commissioner’s approved Insurance Data Security Model Law to improve cyber risk management in the U.S. insurance market.

What does the model law do?

  • establish industry standards for data security
  • applies to insurers, brokers, and agents
  • requires companies to have written information security program protecting sensitive data
  • requires annual cetification to state insurance commissioners
  • requires notification of data breaches within 72 hours
  • encourages insurers to incorporate cybersecurity into their overall enterprise risk management & corporate governance practices
  • minimum practices of board and senior management reporting
  • oversight of information security practices
  • monitoring of third party service provider
    arrangements

Reinsurance News |  NAIC’s new security model to improve U.S. insurance sector’s cyber risk management: Fitch