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Downstream Data Coverage® Launched – Introductory Webinar Scheduled

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On Tuesday, August 23rd, NAID announced the launch of Downstream Data Coverage®, a professional liability insurance policy created specifically for the unique risks of vendors that provide data protection services to third party clients.

According to NAID CEO Bob Johnson, “Other professional liability insurances aimed at the risks of third-party data service providers have language that shows they were created for the risks of primary data controllers, such as financial and healthcare organizations.  In the absence of a thorough understanding of the data protection regulations, those insurers simply applied the same policy to exposures that actually have significant differences.”

Availability of Downstream Data Coverage is restricted to the approximately 850 NAID Certified organizations across the US providing physical or electronic data destruction services. The coverage itself also covers professional liabilities for records storage and imaging services provided the service provider is NAID Certified for its destruction services.

Johnson adds, “Because clients are also protected by the service provider’s professional liability coverage, ultimately we expect they will favor vendors who are properly covered, especially as the HIPAA mandatory fines come into effect this fall.”

For complete details, visit the Downstream Data Coverage website.

For information and access to the Downstream Data Coverage free webinars, visit Upcoming Events on the NAID website.