Maryland Cybersecurity Laws You Should Know (2025)

As cyber threats continue to rise, Maryland businesses face growing regulatory and operational pressure to strengthen their cybersecurity posture. Understanding Maryland cybersecurity laws is critical for protecting sensitive data, maintaining compliance, and building customer trust. Below, we’ll highlight the most important cybersecurity and data protection laws that apply to Maryland businesses, along with key federal regulations that influence compliance.

Maryland Cybersecurity Laws

Maryland Personal Information Protection Act (PIPA) (Md. Code Com. Law § 14-3501 et seq.)

The Maryland Personal Information Protection Act (PIPA) is the state’s core cybersecurity law. It requires businesses to implement reasonable security measures to protect personal information and to notify affected individuals “as soon as reasonably practicable” after discovering a data breach. If more than 1,000 residents are affected, the Maryland Attorney General must also be notified.

Maryland Identity Theft Protection Act (Md. Code Com. Law § 14-3504)

This act safeguards consumers against identity theft by requiring businesses to protect personal data from unauthorized access. It also regulates the destruction of records containing personal information and governs the use of social security numbers and electronic identifiers.

Maryland Computer Crimes Act (Md. Code Crim. Law § 7-302 et seq.)

The Maryland Computer Crimes Act criminalizes unauthorized access to computer systems and networks. It covers hacking, phishing, malware deployment, and data theft. Businesses are encouraged to implement network monitoring and access control policies to remain compliant.

Maryland Uniform Electronic Transactions Act (Md. Code Com. Law § 21-101 et seq.)

This act recognizes electronic records and digital signatures as legally valid in Maryland. Businesses must adopt security controls to authenticate and preserve electronic records securely.

Federal and Industry-Specific Cybersecurity Regulations That Affect Maryland Businesses

Payment Card Industry Data Security Standard (PCI DSS)

PCI DSS applies to any Maryland business that processes or stores credit card payments. Compliance helps prevent data breaches through encryption, secure access, and periodic vulnerability testing.

Health Insurance Portability and Accountability Act (HIPAA)

HIPAA governs the handling of personal health information (PHI) for healthcare providers and associates in Maryland. It requires administrative, physical, and technical safeguards to ensure data privacy and integrity.

Gramm-Leach-Bliley Act (GLBA)

Financial institutions in Maryland must comply with GLBA, which mandates the protection of nonpublic personal information and requires privacy disclosures to customers.

General Data Protection Regulation (GDPR)

Although a European Union law, GDPR applies to Maryland businesses that collect or process data from EU residents. It requires user consent for data collection and gives individuals the right to access, correct, or delete their data.

Cybersecurity Requirements for Financial Services Companies (NYDFS 23 NYCRR 500)

Maryland financial institutions operating in New York must adhere to NYDFS cybersecurity standards, including requirements for encryption, risk assessments, and multi-factor authentication.

NIST Cybersecurity Framework

The NIST Cybersecurity Framework is widely used across Maryland’s industries, particularly in defense and technology sectors. It provides guidance on identifying, protecting, detecting, responding to, and recovering from cyber threats.

Federal Trade Commission (FTC) Act

Under the FTC Act, Maryland businesses must avoid unfair or deceptive practices related to cybersecurity. The FTC can enforce penalties against companies that fail to protect consumer data or make misleading security claims.

Children’s Online Privacy Protection Act (COPPA)

If your Maryland business collects personal data from children under 13, COPPA applies. It requires parental consent and restricts the use of minors’ personal information.

Sarbanes-Oxley Act (SOX)

Publicly traded companies in Maryland must comply with SOX, which strengthens internal data security and financial reporting controls.

Family Educational Rights and Privacy Act (FERPA)

FERPA protects the privacy of student records for Maryland schools and educational service providers. Schools must obtain written parental consent before releasing personally identifiable student information.

Cyber Incident Reporting for Critical Infrastructure Act (CIRCIA)

Under CIRCIA, critical infrastructure entities in Maryland must report substantial cyber incidents to the Cybersecurity and Infrastructure Security Agency (CISA) within 72 hours.

CAN-SPAM Act

The CAN-SPAM Act regulates commercial email communications nationwide. Maryland businesses must include clear sender information, accurate subject lines, and an opt-out option for all marketing emails.

Defense Federal Acquisition Regulation Supplement (DFARS)

Maryland companies contracting with the U.S. Department of Defense must meet DFARS cybersecurity requirements, including compliance with NIST SP 800-171 standards.

Section 5 of the FTC Act (Unfair or Deceptive Practices)

This provision prohibits businesses from misrepresenting their cybersecurity measures or failing to adequately protect customer data.

More Maryland Cybersecurity Laws to Be Aware Of

While the laws above represent Maryland’s most important cybersecurity obligations, additional rules may apply depending on your sector. Organizations in healthcare, energy, and defense must follow industry-specific frameworks such as HIPAA, FERC, and DFARS.

Maryland also maintains strong ties to federal cybersecurity initiatives through the Maryland Cybersecurity Council, which provides guidance to improve statewide digital resilience and protect public infrastructure.

To remain compliant, businesses should perform regular cybersecurity risk assessments, conduct employee training, and stay informed about emerging threats and regulatory changes.

Conclusion

Complying with Maryland cybersecurity laws is essential for businesses of all sizes. By understanding these regulations and implementing best practices aligned with frameworks like NIST or ISO 27001, you can reduce the risk of breaches, protect sensitive data, and demonstrate due diligence to regulators and clients.

If your business needs help navigating Maryland’s cybersecurity compliance landscape, we offer solutions that protect data, streamline reporting, and strengthen your overall security posture.

Frequently Asked Questions About Maryland Cybersecurity Laws

  1. What is Maryland’s main cybersecurity law?
    The Maryland Personal Information Protection Act (PIPA) is the state’s primary cybersecurity law, requiring businesses to safeguard personal data and issue breach notifications promptly.
  2. How quickly must Maryland businesses report a data breach?
    Notifications must be issued “as soon as reasonably practicable” after determining that a breach occurred. If over 1,000 Maryland residents are affected, the Attorney General must be notified.
  3. Does Maryland require businesses to follow a specific cybersecurity framework?
    Maryland does not mandate a specific framework but encourages adherence to widely recognized standards like the NIST Cybersecurity Framework or ISO 27001.
  4. Who enforces cybersecurity laws in Maryland?
    The Maryland Office of the Attorney General enforces state data protection and breach notification laws, while federal agencies such as the FTC and CISA oversee national compliance.
  5. Do small businesses in Maryland have to comply with these laws?
    Yes. Any business or organization, regardless of size, that collects or stores personal information about Maryland residents must comply with PIPA and related state regulations.

Read More Cybersecurity Laws by State:

Florida Cybersecurity Laws You Should Know (2025)

Ohio Cybersecurity Laws You Should Know (2025)

Virginia Cybersecurity Laws You Should Know (2025)

North Carolina Cybersecurity Laws You Should Know (2025)

Disclaimer: This article is for informational purposes only and does not constitute legal advice. Readers should consult qualified legal counsel for advice specific to their organization or situation.

Mitch Wolverton

Mitch, Marketing Manager at PivIT Strategy, brings over many years of marketing and content creation experience to the company. He began his career as a content writer and strategist, honing his skills on some of the industry’s largest websites, before advancing to specialize in SEO and digital marketing at PivIT Strategy.