Possible Regulatory Impact Likely After Colonial Pipeline Hack

Smith Gambrell Russell
Contact

Smith, Gambrell & Russell, LLP

The May 6, ransomware attack against Colonial Pipeline is likely to increase cost for cyber insurance, and may prompt legislators to push for tougher standards for critical infrastructure resources such as pipelines, energy grids, and water systems.  The attack may prompt insurers to tighten the types of incidents covered, or to require companies looking for insurance to adopt stronger security standards before purchasing a policy.  In addition, the Biden administration is expected to direct responsible agencies such as the Cybersecurity & Infrastructure Security Agency, and the Federal Energy Regulatory Commission to take a serious look at heavier regulations for critical infrastructure industries, including energy companies.  At a minimum, it is expected that the agencies will launch a coordinated investigation into cybersecurity as it relates to infrastructure.

 

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Smith Gambrell Russell | Attorney Advertising

Written by:

Smith Gambrell Russell
Contact
more
less

Smith Gambrell Russell on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide