Travelers Blames Web Designer In Bank Website Data Breach
Law360, New York (January 22, 2015, 4:19 PM EST) -- Travelers Casualty and Surety Co. of America on Wednesday sued an Illinois-based Web design company, saying the company's negligence in designing and maintaining a community bank's website contributed to a data breach for which the insurer was left on the hook.
Travelers accuses Ignition Studio Inc. of allowing hackers to access Alpine Bank's website by not sufficiently protecting the server where the website was hosted. The bank was then required to spend more than $150,000 to comply with data breach notification obligations, which the insurer ultimately paid under a policy it had issued to the bank.
"Defendant holds itself out as...
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