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Today’s businesses have opportunities to broaden their reach and efficiencies with e-commerce, multi-emedia advertising, and cloud computing.  These innovations also pose challenges with new legislation tightening privacy and data security obligations.  As privacy and data security risks continue to grow, they burden American businesses in addition to the normal risks associated with products and services.  Businesses must continuously assess the increasingly complex risks assumed with internet opportunities.


Under growing privacy legislation, most internet and wireless transmissions from devices are in non-compliance should “restricted” information be discussed or transmitted over easily (or accidentally) intercepted channels.  It appears that few people understand the statutes, including law enforcement, police and fire, the  attorney general’s offices, the federal government, and most lawyers.  Ugly consequences such as litigation, fines, and unwanted publicity are issues senior management must work to address.


All enterprises conducting on-line transactions are prudent to purchase insurance coverage “modules” for protection of “sensitive” data, both electronic and hard-copy.  Most businesses with experienced management are looking at the cost-benefit of privacy and network security insurance for both client and employee data together with implementing rigorous security measures.