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The Push for Data Encryption
33 million records.
That's the amount of records on consumers that have been exposed so far in 2008, according to the Identity Theft Resource Center, which tracks breaches reported by U.S. organizations. And that count may only be the tip of the iceberg; without a federal requirement for organizations to quantify the amount of consumers affected by data breaches, the real figure is likely much higher. Since over 80 percent of these breach events were due to electronic data breaches, it's no surprise that States throughout the U.S. are pushing to enact strong data security regulations.
Which states have taken on encryption laws? Earlier this fall, a new law in Nevada went into effect, requiring that businesses encrypt electronic transmissions of personal information to protect the security of consumers confidential data. Massachusetts recently enacted a data privacy and security measure, and Michigan and Washington are also considering similar regulations. At the same time, companies based outside of these states may need to take heed of the new regulations - since the laws apply to out of state companies that operate or have customers within the states limit, even specific state regulations have the potential to affect many.
While this push for encryption is ultimately a positive step for consumers, the laws are also presenting unexpected hardships for many. Charity organizations, which often store vast amounts of confidential information - including client names and addresses, as well as donor credit card information - are among those which face the most repercussions. With that in mind, Lavasoft is taking steps to reach out to organizations struggling most to answer to these new data encryption laws. Learn more.