What are the legal requirements for securing networks?

In Michigan, businesses that use computer networks to store, access, or transmit data are legally responsible for protecting that data. This includes complying with Michigan’s cybersecurity law, which sets forth rules for safeguarding sensitive data. The law requires entities that collect and store data to take reasonable steps to protect the data from unauthorized access or use. Specifically, the law requires businesses to provide reasonable administrative, technical, and physical safeguards to protect stored data. This includes having up-to-date antivirus software and firewalls on their networks, as well as implementing policies that limit data access to specific individuals. If a breach does occur, the business must also notify the Attorney General’s office and any individuals whose data was compromised. The law also sets forth specific requirements for those who handle credit card data. Businesses must encrypt or otherwise protect all stored cardholder data, implement internal monitoring of their networks, and use secure payment processing services. Businesses must also create written data security policies and procedures and make sure that all employees are familiar with them. They must also keep records of any data security breaches and provide them to the Attorney General’s office as requested. By taking these steps, businesses in Michigan can ensure that their networks are secure and compliant with cybersecurity laws.

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