Privacy concerns could create new insurance market: Judge Napolitano
Privacy regulations that may be passed in the wake of Facebook’s privacy scandal that exposed the personal data of more than 50 million users could open up a new market for insurance companies, according to Judge Andrew Napolitano.
“I want my privacy, and I’m willing to pay for it,” Napolitano, a Fox News commentator, told FOX Business’ Neil Cavuto during an interview on Wednesday. “If I have to pay for an insurance company to surveil the market for me, they will do it for other people as well. We will split the cost. I will pay the premium.”
The issue of privacy came into the spotlight again after it was revealed that Facebook inadvertently allowed the political consulting firm Cambridge Analytica to collect the data of 50 million users, which was then reportedly used to influence the 2016 presidential election. That occurred despite a Federal Trade Commission consent decree signed in 2011 by Facebook, which required the company to obtain informed consent before sharing people’s personal data.
When Facebook discovered what the United Kingdom-based firm had done with the material, it ordered the software company to destroy the data, but did not follow-up to ensure the data was truly gone. Because privacy violations are so hard to address and to detect, an insurance market is probably needed to safeguard users’ privacy, Napolitano said.
“It’s a difficult thing to address,” he said. “Because if you don’t know that your privacy is being violated, then you’re not going to bring a cause of action.”
Embattled CEO Mark Zuckerberg will testify under oath before the Senate Judiciary Committee at its April privacy hearing regarding the data breach, according to The Wall Street Journal. It’s unclear whether he will testify in front of the House Judiciary Committee.