Hacked US companies to face new reporting requirements

Companies critical to U.S. national interests will have to report when they’re hacked or they pay ransomware

WASHINGTON -- Companies critical to U.S. national interests will now have to report when they're hacked or they pay ransomware, according to new rules approved by Congress.

The rules are part of a broader effort by the Biden administration and Congress to shore up the nation's cyberdefenses after a series of high-profile digital espionage campaigns and disruptive ransomware attacks. The reporting will give the federal government much greater visibility into hacking efforts that target private companies, which often have skipped going to the FBI or other agencies for help.

“It’s clear we must take bold action to improve our online defenses,” said Sen. Gary Peters, a Michigan Democrat who leads the Senate Homeland Security and Government Affairs Committee.

The reporting requirement legislation was approved by the House and the Senate on Thursday and is expected to be signed into law by President Joe Biden soon. It requires any entity that's considered part of the nation's critical infrastructure, which includes the finance, transportation and energy sectors, to report any “substantial cyber incident” to the government within three days and any ransomware payment made within 24 hours.