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Storage Clips: Senate panel passes data breach act

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Senate panel approves data-breach act
A Senate panel has approved the bill on data-breach notification requiring companies holding personal data on more than 10,000 Americans to implement privacy and security policies.

The Personal Data Privacy and Security Act, authored by Sens. Arlen Specter, R-Pa., and Patrick Leahy, D-Vt., comes in the wake of some high profile data security breaches in the past year including Bank of America, LexisNexis and ChoicePoint.

According to the new Act, data brokers would have to let people know what information about them is held and provide an opportunity for people to correct false data. When there is significant risk of harm to an individual whose data is compromised, the data holder must notify the individual, law enforcement and credit reporting agencies.

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