The Arizona Department of Administration is requesting $22.5 million next year for a cyber risk fund that would help establish a statewide insurance and response for data breaches to state agencies.
In its budget request for the upcoming fiscal year, ADOA stated that many state agencies do not have established protocols to deal with the aftermath of a data breach. The agency is requesting that the money be transferred from it’s existing Risk Management Revolving Fund.
The fund would be run by ADOA’s risk management team and would provide insurance for if – or more likely when – a data breach occurs at a state agency. It also would pay for services that would be needed in the wake of a data breach.
Currently, ADOA risk management has no authority to pay out liability if a breach occurs. And most state agencies do not have a plan in place to respond to breaches, according to the agency’s proposal.
ADOA, the state universities, the Arizona Department of Transportation, the Arizona State Retirement System, the Public Safety Pension Retirement System, the Arizona Medical Board, Arizona Game and Fish and the State Treasury are the only agencies with plans and insurance…
