Kara Sears
In the United States, cybersecurity laws exist at both the federal and state levels, with each state having its own data breach law. While the federal government has issued sector-specific guidance for critical infrastructure operators, states like California and Oregon have cybersecurity laws for connected devices that require security measures to protect the device and its information. The federal government has also been working to improve cybersecurity by allocating more resources to research and collaborating with the private sector to write standards. The Streamlining Federal Cybersecurity Regulations Act aims to harmonize regulatory regimes in the United States relating to cybersecurity. States like Maryland and Kentucky have also enacted laws to enhance cybersecurity, such as expanding training programs and requiring licensed insurers to implement and report cybersecurity and data privacy standards annually.
| Characteristics | Values |
|---|---|
| Number of states with cybersecurity laws | 23 |
| States with cybersecurity laws for connected devices | California and Oregon |
| States with the most cybersecurity laws enacted in 2022 | Kentucky, Virginia, Maryland, and Florida |
| States with no cybersecurity-related legislation in 2022 | About half of the states in the U.S. |
| States with proposed new laws but did not pass any | Oregon |
| States with laws enacted less frequently | Texas |
| Federal laws | Computer Fraud and Abuse Act, Gramm-Leach-Bliley Act, Cyber Incident Reporting for Critical Infrastructure Act, and Streamlining Federal Cybersecurity Regulations Act |
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What You'll Learn
State laws on cybersecurity for connected devices
In the United States, cybersecurity laws exist at both the federal and state levels, with each of the 50 states having its own data breach laws. While the federal government provides sector-specific guidance for critical infrastructure operators, states have the flexibility to enact their own cybersecurity legislation. Notably, in 2022, four states were responsible for enacting nearly half of all new cybersecurity laws across the country.
For example, Kentucky's licensed insurers are mandated to report their cybersecurity and data privacy standards annually to the state and notify the state of any cybersecurity events within three days of discovery. Virginia has also passed laws requiring public sector agencies to report all cybersecurity incidents.
Maryland's cybersecurity laws focus on expanding training programs and allocating public funds to safeguard digital and information technology infrastructure, including setting standards for its 911 emergency telephone system. Additionally, the state has imposed new requirements on healthcare and insurance providers.
In Florida, municipalities are required to adopt cybersecurity standards, report ransomware incidents, and impose steep fines on perpetrators of attacks. Notably, government agencies are prohibited from paying ransomware demands.
These state-level initiatives demonstrate a proactive approach to addressing the evolving landscape of cybersecurity threats and protecting critical infrastructure and residents' personal information. While states have the autonomy to craft their own cybersecurity laws, they must also align with federal statutes, such as the Computer Fraud and Abuse Act (CFAA) and the Cybersecurity Information Sharing Act (CISA Law).
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Federal vs. state laws on data breach notifications
In the United States, data breach notification laws exist at both the federal and state levels. While federal laws provide a general framework, each state has its own data breach laws, which can vary significantly. All 50 states, Washington, DC, and most US territories, including Puerto Rico, Guam, and the Virgin Islands, have passed breach notification laws. These laws require organisations to notify state residents in the event of a security breach involving sensitive information such as Social Security numbers, financial account numbers, health information, and online credentials.
The federal government has issued sector-specific guidance for critical infrastructure operators and certain sectors such as nuclear, chemical, electrical, and transportation, with detailed statutory and regulatory requirements. Additionally, the Cybersecurity Information Sharing Act (CISA Law) enables companies to monitor network traffic and encourages the sharing of cyber-threat information between companies and the government. The CISA Law also established the Cybersecurity and Infrastructure Security Agency (CISA), a federal agency within the Department of Homeland Security, responsible for protecting critical infrastructure.
At the state level, the specific data breach notification laws can differ. For example, in Kentucky, licensed insurers must report cybersecurity and data privacy standards annually to the state and notify the state of cybersecurity events within three days of discovery. In Virginia, public sector agencies are required to report all cybersecurity incidents. Maryland's laws focus on expanding training programs and allocating public funds to protect digital and information technology infrastructure, while Florida's laws mandate municipalities to adopt cybersecurity standards, report ransomware incidents, and prohibit government agencies from paying ransomware demands.
While there is a degree of variation among state laws, certain commonalities exist. Many states require notification to state residents when a security breach involves sensitive information. Additionally, nearly half of the states mandate notification to state Attorneys General or other officials in the event of certain data breaches. These laws empower states to take proactive measures to protect their residents' personal and digital information.
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Federal and state laws on cybersecurity training
In the United States, cybersecurity laws exist at both the federal and state levels, and these laws vary across commercial sectors. While the federal government has issued sector-specific guidance for critical infrastructure operators and other sectors, each state has its own data breach law.
At the federal level, the Computer Fraud and Abuse Act (CFAA) is the primary mechanism for prosecuting cybercrime, including hacking. The Cybersecurity Information Sharing Act (CISA Law) enables companies to monitor network traffic and encourages the sharing of cyber-threat information between companies and the government. The Cyber Incident Reporting for Critical Infrastructure Act of 2022 (CIRCIA) requires "covered entities" in critical infrastructure sectors to report substantial cybersecurity incidents to the Cybersecurity and Infrastructure Security Agency (CISA) within 72 hours of the incident.
Regarding training, the Federal Information Security Modernization Act (FISMA) of 2014 mandates that all federal employees and contractors participate in annual cybersecurity training. Additionally, the Health Insurance Portability and Accountability Act (HIPAA), in place since 1996, is a federal law issued by the US Department of Health and Human Services (HHS) that also includes training requirements. The role and level of responsibility of an individual determine the specific training requirements they need to fulfil. For example, a privileged user such as a system administrator may have different requirements compared to a standard user or an executive.
At the state level, the picture is more varied, with some states mandating cybersecurity training for state employees and others providing voluntary training or no training at all. For instance, Colorado, Connecticut, Delaware, Florida, and Georgia mandate cyber training for state employees, while Alaska, Arizona, Arkansas, Hawaii, and Idaho do not have mandatory training requirements. Some states, like Maryland, have expanded their training programs and dedicated public money to protecting digital and information technology infrastructure. Others, like Kentucky, require licensed insurers to implement and report cybersecurity and data privacy standards annually, aligning with federal laws like the Gramm-Leach-Bliley Act of 1999.
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Federal and state laws on cybersecurity for government agencies
Federal and state laws on cybersecurity are constantly evolving in response to emerging cyber threats. While the federal government has overarching authority in this area, states also play a crucial role in enacting and enforcing cybersecurity laws, particularly in sectors like insurance and healthcare.
At the federal level, the Computer Fraud and Abuse Act (CFAA) is the primary mechanism for prosecuting cybercrime, including hacking. The Cybersecurity Information Sharing Act (CISA Law) enables companies to monitor network traffic and encourages the sharing of cyber-threat information between companies and the government. CISA also established the Cybersecurity and Infrastructure Security Agency (CISA), a federal agency within the Department of Homeland Security (DHS), tasked with protecting critical infrastructure. The Cyber Incident Reporting for Critical Infrastructure Act of 2022 (CIRCIA) mandates that "covered entities" in critical infrastructure sectors report significant cybersecurity incidents to CISA within 72 hours of becoming aware of them.
Additionally, the federal government has issued sector-specific guidance and regulations for critical infrastructure operators in areas like nuclear, chemical, electrical, and transportation. The Federal Trade Commission (FTC) is the primary federal privacy regulator for most for-profit businesses, while the Securities and Exchange Commission (SEC) regulates financial institutions.
At the state level, all 50 states have data breach notification laws, and some states are taking the lead in enacting comprehensive cybersecurity laws. For example, Maryland has expanded training programs and dedicated public funds to protect digital and information technology infrastructure across state and local governments. Florida's laws require municipalities to adopt cybersecurity standards, report ransomware incidents, and prohibit government agencies from paying ransomware demands. Kentucky requires licensed insurers to implement and report cybersecurity and data privacy standards annually, while Virginia mandates that public sector agencies report all cybersecurity incidents.
While states have the authority to enact contradicting cybersecurity laws that go beyond federal requirements, they must not contravene federal laws. For instance, a state may pass a law requiring companies to report cybersecurity incidents to the state within 72 hours, which is more stringent than the federal requirement of reporting within a "reasonable" timeframe. In conclusion, while the federal government sets the baseline for cybersecurity standards, states have the flexibility to adopt more stringent laws and regulations to address the specific needs and challenges of their jurisdictions.
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Federal and state laws on cybersecurity for critical infrastructure
In the United States, cybersecurity laws exist at both the federal and state levels, with the former taking precedence in the event of a conflict between the two. The federal government has issued guidelines for critical infrastructure operators in sectors such as nuclear, chemical, electrical, transportation, and government contracting, with detailed statutory and regulatory requirements.
The Cybersecurity and Infrastructure Security Agency (CISA), a component of the Department of Homeland Security, is responsible for safeguarding critical infrastructure in the US. CISA works with government and private sector organisations to protect critical infrastructure and shares information on cybersecurity vulnerabilities, incident response, and risk management. The Cyber Incident Reporting for Critical Infrastructure Act of 2022 (CIRCIA) mandates that "covered entities" in critical infrastructure sectors report significant cybersecurity incidents and ransom payments to CISA within 72 hours of becoming aware of the incident. Victims of ransomware attacks must disclose within 24 hours of making a payment.
While states may have their own cybersecurity laws and regulations, they cannot contradict or override federal law. States play a crucial role in implementing and enforcing federal cybersecurity standards and addressing specific local needs. For instance, Kentucky requires licensed insurers to report cybersecurity and data privacy standards annually, while Virginia mandates that public sector agencies disclose all cybersecurity incidents. Maryland has expanded training programs and allocated public funds to safeguard digital and information technology infrastructure, including its 911 emergency phone system. Florida's laws require municipalities to adopt cybersecurity standards, report ransomware incidents, and prohibit government agencies from paying ransom demands.
The federal Computer Fraud and Abuse Act (CFAA) is the primary mechanism for prosecuting cybercrime, including hacking, at the national level. The Cybersecurity Information Sharing Act (CISA Law) enables companies to monitor network traffic and encourages the exchange of cyber-threat information between businesses and the government. The federal government also has sector-specific guidelines for critical infrastructure operators, ensuring the protection of vital sectors.
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Frequently asked questions
Yes, states can have their own cybersecurity laws that differ from or contradict federal laws. The federal government has issued sector-specific guidance and requirements for critical infrastructure operators and various commercial sectors. However, each state also has its own data breach laws and cybersecurity regulations.
California, Oregon, Kentucky, Virginia, Florida, and Maryland have enacted their own cybersecurity laws. For instance, California's Notice of Security Breach Act mandates companies to disclose security breaches, while Oregon and California have laws requiring security measures for connected devices and personal information protection. Kentucky requires licensed insurers to report cybersecurity standards annually, and Virginia mandates public sector agencies to report all cybersecurity incidents.
Contradicting state and federal cybersecurity laws can create a complex legal landscape. Federal laws may preempt state laws, as seen in the case of H.R. 8152, which would override the existing laws of 23 states requiring businesses to protect personal information. However, in some cases, state laws may continue to apply, especially when they impose obligations on state and local government agencies, as the federal bill may not cover these entities.
