House subcommittee OKs data breach bill

25 July 2011 13:35:59

Signaling the government's commitment to improving data protection practices, a U.S. House of Representatives subcommittee recently approved a bill that would introduce new standards for businesses throughout the country.

The Secure and Fortify Electronic Data Act, or SAFE Data Act, is designed to consolidate the patchwork data breach notification laws currently in place around the country. If enacted, the SAFE Data Act would require businesses to notify customers of a data breach within 48 hours, and it would give the Federal Trade Commission the authority to establish new security rules for companies that handle sensitive information.

The bills opposition asserted that the proposed bill does not provide a clear definition of what constitutes as personal information. Henry Waxman, the ranking Democrat on the House Energy and Commerce Committee's trade subcommittee, said the bill does not go far enough to protect consumers, asserting that it does not cover personal emails, photographs or videos, among other data.

Consumer data security has received significant attention in government recently. For example, the White House has supported a Democrat-introduced bill that would also consolidate current data breach notification laws and enhance practices.

-McAfee Cloud Security