Category: Insurance

Insurance

Part 5: A Game of “Who’s Who” Under the CCPA

This is our fifth blog post in a multi-part series addressing what insurers need to know about the California Consumer Privacy Act (CCPA). This post focuses on the differences between data collectors, service providers, and third parties. We also discuss data brokers and their specific obligations under the CCPA. While this post does not require any background on the CCPA, if you would like the benefit of our preliminary discussions before diving into this post we invite you to start with Part 1: The California … Continue Reading
Cybersecurity / Insurance

Everybody’s Buying Cyber… Why Aren’t You?

A recent market survey shows companies are getting the message that purchasing cyberinsurance is a corporate imperative today. According to a recent AM Best Market Segment Report, direct premiums written for U.S. cyberinsurance policies from 2015 to 2018 have doubled to $2 billion. Three million cyberinsurance policies were in force in 2018, an increase from 2.6 million in 2017. Admittedly, premium growth has slowed to 12.6 percent in 2018, although that may be due in part to the number of companies using captives for their… Continue Reading
Cyber Attacks / Insurance / Legislation

First Circuit Finds There is No Expectation of Privacy for IP Address Information

In an important holding regarding an individual’s constitutional right to protection from unreasonable searches, the United States Court of Appeals, First Circuit, held that a criminal defendant did not have a reasonable expectation of privacy in internet protocol (IP) address data that was acquired by the government from a smart phone application company without a search warrant. In U.S. v. Hood, — F.3d. –, 2019 WL 1466943 (1st Cir. 2019), a user of the smart phone messaging application Kik, who went by the username… Continue Reading
Cybersecurity / Insurance

Advisen Cyber Risk Insights Conference

I, along with three of my partners in Goldberg Segalla’s Cybersecurity and Data Privacy Practice Group, recently attended the Advisen Cyber Risk Insights Conference in New York City and came away with some terrific nuggets.  They include the importance of “silent cyber” to reinsurers and regulators, the fragmentation of the cyberinsurance market and the difficulty in driving change even for industry leaders, and continuing perceptions about coverage for cyber-related losses under stand-alone cyberinsurance policies and traditional insurance policies. One of the best resources I picked… Continue Reading
Insurance / Lawsuit

Sixth Circuit Uses Every Tool in the Box To Build Case for Coverage for Defrauded Policyholder

July 12, 2018, we reported on the Medidata decision handed down by the Second Circuit in which the court found coverage for a claim resulting from social engineering fraud. We suggested the ruling in Medidata lacks persuasive power due to its unusual factual circumstances and atypical policy language. The Sixth Circuit’s decision in American Tooling Center, Inc. v. Travelers Casualty & Surety Co. of America, No. 17-2014, 2018 WL 3404708 (6th Cir. July 13, 2018), will have more persuasive power, but due to… Continue Reading
Cybersecurity / Insurance / Regulation

NYDFS Notifies Federal Regulators of New Potential Cyber Security Regulations

On November 9, 2015, the New York State Department of Financial Services (NYDFS) sent a memorandum entitled Potential New NYDFS Cyber Security Regulation Requirements to several federal and state financial services regulators, including banking, securities and insurance regulatory, administrative and supervisory  bodies. These potential regulations are based on results of two sets of surveys of financial entities about their “cyber security programs, costs and future plans.” NYDFS surveyed 150 banks and 43 insurance companies. The results of the May 2014 banking industry survey are here… Continue Reading
Cybersecurity / Insurance

NAIC and CSIS Host Cyber Risk Conference

On September 10, 2015, the National Association of Insurance Commissioners (NAIC) and the Center for Strategic and International Studies (CSIS) hosted a conference entitled “Managing Cyber Risk and the Role of Insurance.” Over 300 individuals attended, including more than 30 insurance regulators, senior representatives from the U.S. Departments of Treasury and Homeland Security, and representatives from the private sector. The primary focus of the conference was to explore how the insurance industry can assist in mitigating the damages that result from a cyber… Continue Reading
Cyber Risk / Cybersecurity / Insurance

ACE Group and The Institutes Launch Dedicated Cyber Risk Programs

This week, two major industry players announced the launch of dedicated cyber risk programs. ACE Group, one of the world’s largest multiline property and casualty insurers, announced the launch of its new dedicated cyber risk business unit in response to internal research showing that cyber risk is a “top three” emerging issue among European risk managers.  ACE first established its global cyber practice in 2014, and is seeking to strengthen its leadership in this new risk area with the addition of full-time dedicated cyber underwriting… Continue Reading
Cyber Attacks / Cybersecurity / Insurance

Digital Cloning: Hacking Your Fingerprints

While your biometrics may be as unique as a snowflake, they can still be digitally captured, copied and used to gain access to your “secure” computer network and data storage facilities.  Using standard photos taken during a press event in October and commercially available software, a 31-year-old member of Europe’s largest association of hackers successfully re-created a digital fingerprint of German defense minister Ursula von der Leyen.  The digital print could then be used not only to fool security software, but with the increasing sophistication… Continue Reading