Every Contract Is Subject to Privacy Risk: Negotiating & Structuring Contracts and Protecting Your Business with CyberInsurance

Privacy and cybersecurity issues are quickly becoming commonplace for nearly every company, as they are no longer relegated to industry-specific sectors anymore. With the burgeoning number of states enacting general comprehensive privacy legislation, companies are having to grapple with the numerous compliance measures that need to be taken. As many as 17 states will have active privacy laws by 2026, which will require companies to create public facing disclosures, draft internal data impact assessments, formulate data breach procedures, and prepare internal procedures for processing consumer rights requests.

One critical aspect is how companies can account for these privacy and cybersecurity issues from a contractual and insurance perspective. These new laws and standards require specific contractual provisions to be included in a company’s agreements with vendors, contractors, and even business partners. But there are a number of best practices that can be followed when negotiating these contracts, including ensuring that a business partner or vendor accounts for these privacy risks by retaining appropriate cyber insurance.

This presentation will encompass these contractual obligations and best practices, how cyber insurance places a crucial role in this process, and how companies can offset the risks related to any privacy and cybersecurity issues that can arise between contracting parties.