Top MSP Standards Group Calls for State Cyber Immunity Legislation to Strengthen National Cybersecurity

LAS VEGAS, Dec. 11, 2024 /PRNewswire/ -- In response to the growing threat of cyberattacks, MSPAlliance^®, the International Association of Cloud & Managed Service Providers, has published a framework for recommended State Cyber Immunity Legislation. This legislation aims to incentivize organizations to adopt robust cybersecurity measures by offering liability immunity to those that adhere to best practices in cybersecurity.

The proposed legislation seeks to encourage proactive cybersecurity measures by providing legal protection against civil liabilities to companies, including their managed IT service providers (MSPs), that demonstrate a commitment to cyber hygiene.

This initiative aims to foster a safer digital environment for businesses and consumers alike, thereby enhancing public trust in digital transactions and contributing to national cybersecurity resilience.

Key Provisions:

1. Definition of Cyber Hygiene: Cyber hygiene encompasses the practices and steps that organizations undertake to ensure the health and security of their information systems. This includes regular software updates, employee training, data encryption, multi-factor authentication, and incident response planning.
2. Eligibility for Immunity: Organizations must demonstrate adherence to recognized cybersecurity frameworks such as NIST, ISO 27001, or CIS Controls. Regular third-party audits and certifications are required to verify compliance, and organizations must maintain comprehensive records of their cybersecurity practices and incident response efforts.
3. Scope of Immunity: Immunity from civil liability for data breaches or security incidents is provided, provided that the organization can demonstrate adherence to the defined cyber hygiene practices. Immunity does not extend to instances of gross negligence or willful misconduct.
4. Reporting and Transparency: Organizations must promptly report any cyber incidents to the State Cybersecurity Commission and cooperate with any subsequent investigations. Annual cybersecurity reports detailing measures taken to maintain cyber hygiene and any incidents that occurred must be submitted to the Commission.
5. Role of the State Cybersecurity Commission: The Commission will oversee the implementation and enforcement of this legislation, providing guidance and resources to assist organizations in achieving and maintaining compliance with the defined cyber hygiene practices.

Benefits of Cyber Immunity Legislation:

• Enhanced National Security: Encourages states to adopt cyber immunity legislation, reducing the overall risk of cyberattacks across the country.
• Improved Coordination and Standardization: Leads to improved coordination and standardization of cybersecurity practices across states.
• Economic Stability: Protects businesses from the financial fallout of cyberattacks, maintaining economic stability.
• Public Trust and Confidence: Enhances public trust and confidence in both state and federal governments.
• Reduction in Federal Resources: Empowers states to handle cybersecurity incidents more effectively, reducing the need for federal resources.
• Encouragement of Best Practices: Encourages businesses to adopt and maintain effective standards of cybersecurity.

Granting cyber liability immunity to companies that follow cybersecurity best practices can encourage proactive cyber risk management. This legislation will protect businesses and improve the state's overall security, fostering a safer environment for digital commerce and innovation.

If you are interested in working with MSPAlliance on these cyber legislation issues, please contact us.

About MSPAlliance 
MSPAlliance^® is a global industry association and accrediting body for the Cyber Security, Cloud Computing, and Managed Services Provider (MSP) industry. Established in 2000, MSPAlliance has been dedicated to helping MSPs become better service providers. Collaborating with corporate members worldwide, MSPAlliance works towards setting standards, policies, and best practices, benefiting its members and governments alike. For more information, visit www.mspalliance.com.

For more information, please contact:
MSPAlliance^®
1-800-672-9205
[email protected]

SOURCE MSPAlliance