Cyber Security Exposures for Cloud Based Storage
Companies that have moved their data management systems to a cloud-based platform or who are contemplating moving to a cloud-based platform need to consider the implications, challenges and exposures. “There is jurisdictional ambiguity surrounding the technology, both in terms of data security and breach of notification laws, as well as contract law regarding service provides.” This presents challenges for Risk Managers and owners of companies to consider when making the “cloud” decision. The lack of regulatory cohesion among developed nations has made it difficult to determine whether third party cloud service providers have assumed an appropriate percentage of the financial and legal liability in the event of a service outage, accidental loss of data or data theft. There is very little control over security of data when operating within the cloud.
The information in this post was sourced from Business Insurance publication in their recent article titled “Cloud-Based storage greatly increases cyber security exposures: Panel”. March 6th, 2013.
For more information regarding Cyber Liability and related insurance products please contact our office for more information.
Mitchell Sandham Insurance Brokers