November 4, 2014

SAFETY Act Protections for Cyberattacks

With cyberattacks now prevalent, companies are seeking to institute whatever additional preventative measures and protections are reasonably available to mitigate their risks. In this podcast, Brian Finch of Pillsbury discusses how companies can use the Dept. of Homeland Security’s SAFETY Act  to limit or eliminate claims after a cyberattack, including:

– What is the SAFETY Act generally?
– What kinds of entities are eligible for coverage?
– What are the protections afforded by the Act, and how does a company access them following a cyber breach?
– What kinds of cyber incidents are covered?
– What does it take to apply or get certified under the Act?
– How does the SAFETY Act differ from insurance?
– Is there anything else like the SAFETY Act available today?

 See our heaps of additional resources including memos, surveys, webcasts and regulatory guidance in our “Cybersecurity” Practice Area.

Directors & Officers: Mitigating Impacts of Cyber Attacks

In this article, Pillsbury identifies five cyber security “truths” and related recommendations that will assist directors and officers in mitigating the risks and damage associated with a cyberattack, including:

  1. Preparing now for inevitable litigation following a breach
  2. Actively and regularly focusing on cybersecurity risk management
  3. Setting realistic expectations, i.e., managing – not eliminating – cyber risks
  4. Focusing on processes instead of technological fixes, which will always lag current threats
  5. Understanding cyber insurance coverage limitations, and exploring additional protections (e.g., SAFETY Act)

Cyberattack preparedness necessarily includes education and training at multiple levels. So it’s interesting to note that, in contrast to the predominantly high-level US approach, the UK has developed a comprehensive package of cyber security action steps and resources – including online training, education and guidance – aimed at businesses of all sizes to help bolster its reputation as one of the safest places world-wide to do business online. Among other things, it just launched a new free online training course for lawyers and accountants (for the benefit of themselves and their clients) on cyber security – and cyberattack preparedness and mitigation – as part of its national cyber security program.

See also this new Advisen white paper, which includes an easy-to-follow roadmap on how to optimally prepare for a data breach.

Webcast: “Reg D Offerings: What Is Happening Now”

Tune in tomorrow for the webcast – “Reg D Offerings: What Is Happening Now” – during which McCarter & English’s Joe Bartlett, Cohen Gresser’s Bonnie Roe and Davis Wright’s Joe Wallin will provide a “bring-down” of what’s happening now in the Reg D area, including what are the open issues and how are practitioners handling them – as well as provide practical guidance about what you should be doing in this area.

– by Randi Val Morrison