{"data":{"id":"us-ky/krs-365.732","jurisdiction":"us-ky","citation":"KRS 365.732","heading":"Notification to affected persons of computer security breach involving","body":"their unencrypted personally identifiable information.\n(1) As used in this section, unless the context otherwise requires:\n(a) \"Breach of the security of the system\" means unauthor ized acquisition of\nunencrypted and unredacted computerized data that compromises the security,\nconfidentiality, or integrity of personally identifiable information maintained\nby the information holder as part of a database regarding multiple individuals\nthat actually causes, or leads the information holder to reasonably believe has\ncaused or will cause, identity theft or fraud against any resident of the\nCommonwealth of Kentucky. Good-faith acquisition of personally identifiable\ninformation by an employee or agent of the information holder for the\npurposes of the information holder is not a breach of the security of the system\nif the personally identifiable information is not used or subject to further\nunauthorized disclosure;\n(b) \"Information holder\" means  any person or business entity that conducts\nbusiness in this state; and\n(c) \"Personally identifiable information\" means an individual's first name or first\ninitial and last name in combination with any one (1) or more of the following\ndata elements, when the name or data element is not redacted:\n1. Social Security number;\n2. Driver's license number; or\n3. Account number or credit or debit card number, in combination with any\nrequired security code, access code, or password to permit access to an\nindividual's financial account.\n(2) Any information holder shall disclose any breach of the security of the system,\nfollowing discovery or notification of the breach in the security of the data, to any\nresident of Kentucky whose unencrypted personal information was, or is reasonably\nbelieved to have been, acquired by an unauthorized person. The disclosure shall be\nmade in the most expedient time possible and without unreasonable delay,\nconsistent with the legitimate needs of law enforcement, as provided in subsection\n(4) of this section, or any measures necessary to determine the scope of the breach\nand restore the reasonable integrity of the data system.\n(3) Any information holder that maintains computerized data that includes personally\nidentifiable information that  the information holder does not own shall notify the\nowner or licensee of the information of any breach of the security of the data as\nsoon as reasonably practicable following discovery, if the personally identifiable\ninformation was, or is reasonably bel ieved to have been, acquired by an\nunauthorized person.\n(4) The notification required by this section may be delayed if a law enforcement\nagency determines that the notification will impede a criminal investigation. The\nnotification required by this sectio n shall be made promptly after the law\nenforcement agency determines that it will not compromise the investigation.\n(5) For purposes of this section, notice may be provided by one (1) of the following\nmethods:\n(a) Written notice;\n(b) Electronic notice, if the notice provided is consistent with the provisions\nregarding electronic records and signatures set forth in 15 U.S.C. sec. 7001; or\n(c) Substitute notice, if the information holder demonstrates that the cost of\nproviding notice would exceed two hundred fifty thousand dollars ($250,000),\nor that the affected class of subject persons to be notified exceeds five\nhundred thousand (500,000), or the information holder does not have\nsufficient contact information. Substitute notice shall c onsist of all of the\nfollowing:\n1. E-mail notice, when the information holder has an e-mail address for the\nsubject persons;\n2. Conspicuous posting of the notice on the information holder's Internet\nWeb site page, if the information holder maintains a Web site page; and\n3. Notification to major statewide media.\n(6) Notwithstanding subsection (5) of this section, an information holder that maintains\nits own notification procedures as part of an information security policy for the\ntreatment of personally iden tifiable information, and is otherwise consistent with\nthe timing requirements of this section, shall be deemed to be in compliance with\nthe notification requirements of this section, if it notifies subject persons in\naccordance with its policies in the event of a breach of security of the system.\n(7) If a person discovers circumstances requiring notification pursuant to this section of\nmore than one thousand (1,000) persons at one (1) time, the person shall also notify,\nwithout unreasonable delay, all consumer reporting agencies and credit bureaus that\ncompile and maintain files on consumers on a nationwide basis, as defined by 15\nU.S.C. sec. 1681a, of the timing, distribution, and content of the notices.\n(8) The provisions of this section and the requireme nts for nonaffiliated third parties in\nKRS Chapter 61 shall not apply to any person who is subject to the provisions of\nTitle V of the Gramm-Leach-Bliley Act of 1999, Pub. L. No. 106 -102, as amended,\nor the federal Health Insurance Portability and Accounta bility Act of 1996, Pub. L.\nNo. 104-191, as amended, or any agency of the Commonwealth of Kentucky or any\nof its local governments or political subdivisions.","path":["KRS Chapter 365"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=43326","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:59:02Z","sha256":"c9c231c6915dea868ac2bdb65bc681d65882a06683ba939828e3cda2c7948c56","source_id":"us-ky","stale":false,"prev":"us-ky/krs-365.730","next":"us-ky/krs-365.734"},"notice":"GroundRules: Original legal text. Not legal advice."}