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Businesses to encrypt data under new law
Category: Data compliance
11 September, 2008
Businesses in a US state are required from October to encrypt data in a bid to increase data security and data compliance.Nevada follows California which passed the law in 2002 that requires businesses to safeguard personal information and notify clients if this data becomes compromised.
Information protected includes Social Security numbers, account numbers and passwords to gain access into accounts, the law states.
The law may be of interest to businesses in the UK in light of the firm TK Maxx being hacked into last year.
Details from 45.7 million cards were stolen, which was thought to include those belonging to customers in the UK.
TK Maxx told the BBC at the time that in 2003, 100 files from its UK computer system had been moved, with a further two stolen at a later date.
A survey found that 48 per cent of UK businesses polled felt that data security was threatened by employees neglecting data compliance policies and 58 per cent of the businesses said laptops had been stolen in the previous 12 months.
Costs of security breaches were said to be over £250,000 claimed 14 per cent of businesses in the survey by technology market research specialist Vanson Bourne.
