Lege Trend. Anatomy of a Strict Data Breach Notification State Bill.

  • 30 days to provide notification to consumers
  • Greater disclosures to consumers about data collected and where it is stored
  • Free credit freezes and unfreezes for a year
  • 4 years of credit monitoring- free
  • Applies Deceptive Trade Practices Act penalties to Businesses (these accrue daily and per incident)

Who is backing this bill: North Carolina  State Attorney General 

What impact does this have to businesses?

  • healthcare comapnies would see their notifcation timeline cut from 60 days to 30 days

Have other states shortened notification timelines? Yes, in 2018 Colorado also went to 30 days. Iowa went to 45 days.

Health IT Security | North Carolina Reintroduces Strict Data Breach Notification Law

 

Procurement Opportunity State Employee Cyber Security Training

What are states doing to train their employees to protect data?

  • Michigan, Oklahoma and Wyoming encourage but don’t require training
  • Idaho Governor Excutive order requires training for all executive staff
  • Illinois in 2017 made cybersecurity training mandatory for state employees
  • Indiana’s CIO has authority to make training mandatory for state employees
  • Utah sends out phony phishing emaisl to state employees to test them
  • CT offers voluntary training every 2 months
  • Alabama offers daily cybersecurity trivia games with prizes to employees, 1000 employees play a day

 

GCN  | As states lag on cyber training, agencies are fertile phishing grounds

Lege TREND. Refresher Insurance Data Security Bills.

SB273 (OH |2018) does the following:

  • Adopts the National Association of Insurance Commissioners’ (NAIC) Insurance Data Security Model Law
  • OH becomes the 2nd state after South Caroline to adopt the model law
  • Requires licesees develop, implement, and maintain a comprehensive information security program that contains administrative, technical, and physical safeguards to protect nonpublic information and the licensee’s information system within 1 year of the effective date of the Act;
  • Perform a risk assessments 
  • Develop a formal incident cyber response plan 
  • Require their third-party service providers to implement security measures within 2 years
  • Report data breaches to the head of its Department of Insurance  within 3 business days after determination tof a cyber event;
  • Certify compliance to the  the head of its Department of Insurance
  • 5 year retention of all records supporting the certificate of compliance 

 

New hacking target: Construction Equipment

Anatomy of a white hacker on construction equipment:

  • Accessed 14 construction locations
  • hacked into devices that not only controlled:
    • cranes
    • excavators
    • scrapers
    • other large machinery

The solution: Move equipment away from “esoteric custom protocols” and to “modern, standardized tech” that can be easily upgraded for security

Forbes | Exclusive: Hackers Take Control Of Giant Construction Cranes

3 Ways States Benefit from a State Data Officer.

 

  • data helps create more efficient permitting processes
    • CT allows local governments to get occupational licensing data directly form the state
  • overdose data helps first responders and hospitals prepare for epidemics
  • Prevent fraud 
    • IN adopted its Indiana’s Management and Performance Hub to “integrate” data from several agencies to build custom analytics solutions.” Its addressing issues from car crashes and infant mortality to Medicaid optimization.
    • TX shared data across agencies during Hurricane Harvey. Data was shared in real time to support first responders, law enforcement and others. 

StateTech | How States Benefit from Appointing a Chief Data Officer

Lege TREND. Business Email Protections.

Why is statutorily protecting business email correspondence increasingly important to law makers?

Data.

What does the FBI data say about business email hacking?

  • 136% increase in identified global losses between December 2016 and May 2018
  • losses from business email total  $12.5 billio

Are there other terms I need to watch for in legislation/from clients?

  • cyber-enabled financial fraud

National Law Review | Privacy and Cybersecurity Issues to Watch in 2019

Attorney General. Data Broker Law. To write your states law with Business Guidance.

IN 2018, Vermont became the first state to regulate data brokers.

What is a data broker? 

  • A business that
  • knowingly collects and sells or licenses to third parties
  • brokered personal information of a consumer
  • with whom the business does not have a direct relationship

What business guidance did the Vermont Attorney General offer?

  • If Vermont courts do not have jurisdiction, then this law does not apply to a business
  • Does it establish an opt out requirement for consumers? no
  • Will businesses have to change their practices to opt out? no
  • A business that collects data for its own use only is not a data broker