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Privacy and Security of Personal Information

Privacy and Security of Personal Information . Emily Hackett, Executive Director Voice: 202-861-2476 Cell: 202-329-0017 emilyh@internetalliance.org. Internet Alliance Members. Why State Relations?. States act first. They are nimble and can move quickly.

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Privacy and Security of Personal Information

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  1. Privacy and Security of Personal Information Emily Hackett, Executive Director Voice: 202-861-2476 Cell: 202-329-0017 emilyh@internetalliance.org

  2. Internet Alliance Members

  3. Why State Relations? • States act first. They are nimble and can move quickly. • California law passes notice legislation in 2002 well before the ChoicePoint breach. • Congress is sluggish. • Bills have been pending in the last two Congresses. .

  4. Your Hair is on Fire

  5. Security Breach “Security breach is the number one Internet and information industry issue in the states this year.”

  6. Public Databases are a Target for Reform?  March 22, 2005   Hackers Steal Personal Information of 59,000 People Affiliated with California University

  7. Lawmakers Respond: Security Breach Bills Pending in the States in 2005

  8. Security Breach: California • California law passes notice legislation in 2003 before the ChoicePoint breach. • Companies must notify customers directly or via a notice on their Website if credit card information or other sensitive customer data has been compromised. • Failure to disclose will allow California residents to sue offending companies.

  9. Security Breach Bills Pending • California Model (SB 1386/Ch. 915) - 39 bills in 19 states. • More restrictive or more broadly defined than California - 27 bills pending in 14 states. • State Government – 6 bills pending in 5 states.

  10. Good Uses of Open Information: • Instant credit and loans • Cheaper interest rates • More accurate, informative investing • Access to online bank accounts • More government accountability

  11. Federal Reserve Board Chairman Alan Greenspan says: • A critical component of our ever more finely hewn competitive market system has been the plethora of information on the characteristics of customers both businesses and individuals. • The free-flow of information allows the market to adjust to meet consumers' needs. Market participants are able to detect and to respond to finely calibrated nuances in consumer demand. • Avoid legislative or regulatory solutions that artificially shape markets and influence behavior, especially when information technology is moving at a pace that renders previous regimes obsolete at an increasingly rapid pace. • The market will respond to the needs of consumers for greater privacy protection without legislation/regulation.

  12. Emily Hackett, Industrious political woman Voice: 202-861-2476 Cell: 202-329-0017 emilyh@internetalliance.org

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