New US laws require data encryption

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Iowa joins states that require encryption and notification of customers should information be compromised.

The state of Iowa has passed a data breach law that requires companies to encrypt customer details.

It joins other states that require encryption and notification of customers should information be compromised.

According to Jerome Wendt, president and lead analyst at computer consultancy DCIG Inc., some states do not consider encryption alone to provide sufficient security. For example, Pennsylvania has added a stipulation that companies must have proper encryption key management policies in place.

This will guarantee that encrypted data on tape cannot be decrypted should someone manage to get their hands on both the tape and the key used to encrypt it.

Wendt says that laws like this “open up a loophole as to what constitutes proper encryption key management policy, as it is no secret that encrypting data stored to tape can be done at a number of points in the backup process.”

He says that it is unclear whether providing a one-word password to the software to encrypt the data is a proper key management policy.

But as encryption is becoming a part of the corporate landscape, companies should check appropriate jurisdictions to determine what level of security each should adhere to, he says.

See original article on scmagazineus.com
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