Key Industry Regulations
& Standards

Compliance with industry regulations & standards is essential for legal, financial, reputational, and operational reasons. When choosing software such as cybersecurity for your business, it’s crucial to prioritize compliance to mitigate risks, protect data, maintain trust, improve efficiency, and gain a competitive edge. Regulations are legally enforceable

Regulations & Directives

Table of Contents

EU Regulations & Directives

The European Union (EU) is deeply committed to protecting its citizens and businesses from cyber threats and safeguarding their privacy.  To achieve this, the EU has implemented two key directives:

Protects services & critical infrastructure from cyber threats

The main purpose of NIS2 is to establish a high common level of cybersecurity across the EU by imposing stricter security requirements and incident reporting obligations on organizations operating in critical sectors.

NIS2 expands the range of sectors and organizations covered, now including "important" sectors like postal services and waste management alongside essential ones like energy and healthcare.

It introduces more stringent cybersecurity obligations, including risk management measures, incident reporting, and supply chain security.

NIS2 strengthens supervisory measures and introduces harsher penalties for non-compliance, emphasizing the importance of cybersecurity for all covered entities.

Regulates data privacy & consumer rights in the EU

GDPR aims to protect the privacy and data rights of individuals within the European Union and European Economic Area by regulating the processing of personal data.

GDPR grants individuals strong rights over their personal data, including the right to access, correct, delete (right to be forgotten), and port their data. Individuals can also object to certain types of processing and have the right to withdraw consent at any time.

GDPR requires organizations to report certain types of data breaches to the relevant supervisory authority within 72 hours of becoming aware of the breach. If the breach poses a high risk to individuals' rights and freedoms, those affected must also be notified without undue delay.

GDPR mandates that organizations demonstrate compliance with data protection principles through measures such as conducting Data Protection Impact Assessments (DPIAs), appointing Data Protection Officers (DPOs), and maintaining detailed records of processing activities. Non-compliance can result in significant fines and penalties.

US Regulations & Directives

The United States has a complex framework of regulations addressing cybersecurity and privacy across different sectors. Here’s a breakdown of some key legislation:

Protects patients' protected health information

HIPAA aims to protect the privacy and security of individuals’ health information. This info is held by entities such as healthcare providers.

HIPAA sets strict standards for protecting the privacy of individuals' health information. It limits how healthcare providers, insurers, and their business associates can use or disclose Protected Health Information (PHI) without patient consent.

HIPAA mandates the safeguarding of electronic PHI through administrative, physical, and technical safeguards. This includes ensuring that electronic health data is secure, confidential, and accessible only to authorized personnel.

In case of a data breach involving unsecured PHI, HIPAA requires covered entities to notify affected individuals, the Department of Health and Human Services (HHS), and, in some cases, the media. This rule ensures transparency and accountability in the event of a data compromise.

Protects the privacy of student educational records

FERPA aims to protect the privacy of students’ educational records and provide parents and eligible students with certain rights regarding their records.

FERPA grants parents and eligible students (those over 18 or attending postsecondary institutions) the right to access and control the disclosure of their education records. Schools must obtain written consent before releasing personally identifiable information from these records, with certain exceptions.

Under FERPA, parents and eligible students have the right to request the amendment of education records they believe to be inaccurate, misleading, or in violation of their privacy rights. Schools must consider these requests and, if denied, offer a formal hearing process.

Schools are required to annually notify parents and eligible students of their rights under FERPA. This notification includes information about their right to access records, request amendments, and file complaints with the U.S. Department of Education regarding potential violations.

Protects federal government info systems

FISMA aims to strengthen information security within federal agencies by requiring them to develop, document, and implement security programs.

FISMA requires federal agencies to implement a risk management framework to identify, assess, and manage security risks. This includes categorizing information systems, selecting appropriate security controls, and continuously monitoring the effectiveness of those controls.

FISMA mandates that federal agencies establish and enforce comprehensive security policies and procedures to protect their information systems. These policies must align with standards set by the National Institute of Standards and Technology (NIST).

FISMA requires federal agencies to conduct annual reviews of their information security programs and report the results to the Office of Management and Budget (OMB). These reviews help ensure compliance with security standards and identify areas for improvement.

Grants California consumers control over their personal information.

CCPA aims to enhance consumer privacy rights and control over their personal information by imposing obligations on businesses that collect or sell personal information.​

The CCPA grants California residents several rights regarding their personal data, including the right to know what personal information is being collected, the right to delete that information, and the right to opt out of the sale of their personal data to third parties.

Under the CCPA, businesses must provide clear and transparent information about their data collection practices. They are required to disclose the categories of data collected, the purposes for collection, and with whom the data is shared. They must also implement measures to respond to consumer requests regarding their data rights.

The CCPA is enforced by the California Attorney General, with businesses facing fines for non-compliance. Consumers also have a private right of action if their personal information is compromised due to a business's failure to implement reasonable security measures, leading to potential lawsuits and statutory damages.

Protects the privacy of financial information

GLBA aims to enhance consumer privacy and data protection by regulating how financial institutions collect, use, and disclose consumers’ personal information.​

The GLBA requires financial institutions to provide customers with privacy notices explaining their information-sharing practices. Customers have the right to opt out of some sharing of their personal financial information with non-affiliated third parties.

The GLBA mandates that financial institutions implement robust security measures to protect the confidentiality and integrity of customer information. This includes developing, implementing, and maintaining a comprehensive written information security program.

The GLBA prohibits the practice of pretexting, where someone tries to gain access to personal information under false pretenses. Financial institutions must take measures to prevent unauthorized access to personal financial information by deceitful means.

SOX

Ensures financial reporting accuracy and prevents fraud.

SOX aims to improve corporate governance and financial reporting transparency to protect investors and the public from accounting fraud and errors.​

SOX mandates that publicly traded companies must maintain accurate and transparent financial records. CEOs and CFOs are required to personally certify the accuracy of financial statements, making them directly accountable for any misrepresentations or fraud.

SOX requires companies to establish and regularly assess internal controls over financial reporting. This includes implementing procedures to detect and prevent fraud, ensuring the reliability of financial data, and requiring annual audits by independent external auditors to verify the effectiveness of these controls.

SOX provides protections for whistleblowers who report fraudulent activities or violations within their company. Companies are prohibited from retaliating against employees who provide evidence of fraud, and SOX establishes a process for confidentially submitting concerns about accounting or auditing irregularities.

Global Security Standards

Standards are guidelines and best practices. They are not legally enforced but often adopted due to industry requirements or for demonstrating good security practices.

Provides cybersecurity standards and guidelines

NIST develops and promotes standards and guidelines for various industries to ensure quality, safety, and efficiency. Its primary goal is to enhance innovation and competitiveness.

NIST developed the widely used Cybersecurity Framework, which provides organizations with guidelines to manage and reduce cybersecurity risk. The framework focuses on five core functions: Identify, Protect, Detect, Respond, and Recover, helping organizations strengthen their security posture.

NIST sets critical standards and guidelines for various industries, especially in information security and technology. These include the NIST Special Publication 800 series, which covers topics such as encryption, risk management, and cloud security, providing best practices for federal agencies and private sector organizations.

NIST plays a key role in developing cryptographic standards that ensure secure communications and data protection. This includes the establishment of encryption algorithms like the Advanced Encryption Standard (AES) and guidelines for implementing secure cryptographic systems, crucial for protecting sensitive information.

Protects cardholder data and information

PCI DSS aims to protect cardholder data by establishing security standards for organizations that handle branded credit cards.​

PCI DSS requires organizations that handle credit card information to implement strong data protection measures. This includes encrypting cardholder data, protecting stored data, and ensuring secure transmission of sensitive information.

PCI DSS mandates strict access control measures to ensure that only authorized personnel can access cardholder data. This includes implementing unique user IDs, restricting physical access, and maintaining detailed logs of who accesses sensitive information.

Organizations must regularly monitor and test their networks to identify vulnerabilities and ensure compliance with PCI DSS. This includes conducting vulnerability scans, penetration testing, and maintaining security policies to protect cardholder data.

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