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ARTICLE · 19 MAY 2015

UPDATE: A Data Breach By Any Other Name

The Connecticut Supreme Court on Monday affirmed the lower courts' decisions in Recall Total Information Management, Inc. v. Federal Ins. Co., a case on which we have previously commented.

United StatesPrivacy

The Connecticut Supreme Court on Monday affirmed the lower courts' decisions in Recall Total Information Management, Inc. v. Federal Ins. Co., a case on which we have previously commented. Agreeing with the courts below, the high court held that there was no coverage under the insured's CGL policy for costs incurred by the insured in connection with the loss of computer tapes containing IBM employees' personally identifiable information. The tapes had fallen out of a van and were retrieved by an unknown individual, but there was no evidence that that individual, or anyone else, had actually accessed the information on the tapes or that their loss caused injury to any IBM employee. The court held that these facts did not trigger the CGL policy's coverage for injury caused by "electronic, oral, written or other publication of material that . . . violates a person's right of privacy."

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