Australian health insurer: customers' data hacked

Australia's largest health insurer Medibank said on Wednesday a cybercriminal had hacked the personal data of all its 4 million customers, as the government introduced legislation that would increase penalties for companies that fail to protect clients' private information.

The government has been planning urgent legislative reforms on cybersecurity regulation since a hacker stole the personal data of almost 10 million current and former customers of Optus, Australia's second-largest wireless telecommunications carrier.

The penalties for serious breaches of the Privacy Act would increase from 2.2 million Australian dollars now to AU$50 million under the proposed amendments. A company could also be fined the value of 30% of its revenues over a defined period if that amount exceeded AU$50 million ($32 million).