During the ten years since the Department of
Homeland Security was created, there has been much to cheer and boo about this
newest federal agency. As members of the
private security community, we can easily cite The SAFETY Act as being a big
reason to cheer.
As recently reported in The Washington Times by former Rep. J. Dennis Hastert,
former Rep. Pete Hoekstra and Brian Finch, all of Dickstein Shapiro LLP.
liability protections have been granted to more than 500 technologies and
services by the department. These protections have ranged from security-guard
services to engineering standards.
The authors go on to point out an important fact many companies don't realize:
the SAFETY Act applies equally to cybersecurity products and services. The
authors go on to say, "Applying these safeguards to cybersecurity was a
deliberate decision in 2002. Everyone knew full well that cyberattacks were a
possibility, and the Safety Act was drafted specifically so that it would
encompass cybersecurity technologies and so that the defenses could be asserted
in court after a cyberattack. It even included the definition of an "act
of terrorism" (the trigger for the liability protections) so that there
was no need to identify who conducted the attack or their motivation. So long
as the attack was intended to cause damage to U.S. persons, property or
economic interests, the liability protections are available for use."
Should your insureds seek SAFETY Act protections? The answer is "Yes," if they manufacture,
sell, or otherwise deploy a product or service that can be used to combat
terrorism. This includes physical security services, explosive detection
devices, background screening services, electronic security services,
engineering services and cybersecurity products.
The Mechanic Group is the leading MGA writer of
Security Guard, Private Investigation, Intelligence, Electronic Security, Alarm
and Background Screening insurance. We deliver quick and
reliable responses to all quote requests.