Willis report sees added complexity for cyber claims with government involvement

By Erin Ayers on August 2, 2016

The “dynamic” landscape of cyber liability continues to expand and change, as battles between tech companies and law enforcement raised questions about how government authority affects privacy and security earlier this year, according to a new report from Willis Towers Watson.

The firm’s most recent briefing on cyber claims found that the process could become increasingly complicated by the interplay between organizations holding consumer data and investigators seeking that data. The briefing also discussed the rise in cyber extortion, the need to train employees better to avoid breaches, and the implications of the European Union’s data privacy directive.

“Recent criminal investigations have brought law enforcement into conflict with technology companies over the encryption of customer data. Most notably, earlier this year, as part of its investigation into the San Bernardino shooting that killed 14 people, the Federal Bureau of Investigation (FBI) sought to force Apple to unlock an iPhone used by Syed Rizwan Farook, the alleged gunman. Apple resisted, arguing that once such a backdoor was created, ‘the technique could be used over and over again, on any number of devices,’ putting its customers’ data at risk,” stated authors of the report Seth Harrington, Esq., Kevin Angle, Esq., and Lisa Nabipour-Sheldon.

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erin.ayers@zywave.com'

Erin is the managing editor of Advisen’s Front Page News. She has been covering property-casualty insurance since 2000. Previously, Erin served as editor-in-chief of The Standard, New England’s Insurance Weekly. Erin is based in Boston, Mass. Contact Erin at [email protected].