If the answer to them ends up being "Well, it's illegal to take non-consensual nudie pictures.", then my follow-up question is "So, why isn't the failure to protect my personal information also illegal?".
To be perfectly clear, I do believe that the scenario kibwen describes SHOULD be illegal. But I ALSO believe that it should be SUPER illegal for a company to fail to secure data that it has on me. Regardless of whether they are retaining that information because there is literally no way they could provide me with the service I'm paying them for without it, or if they're only retaining that information in the hopes of making a few pennies off of it by selling it to data brokers or whoever, they should have a VERY SERIOUS legal obligation to keep that information safe and secure.
Just want to point out that the company is usually also doing what it can to get other information about you without your consent based on other information it has about you. It's a lot closer to the "taking non-consensual nudie pictures" than "fail to secure data" makes it sound.
Sure. In those cases, there are damages and that creates liability. I'm not sure what damages I've ever faced from any leak of e.g. my SSN.
The problem here is because of all these little data leaks you as an individual now bear a cost ensuring that others out there are not using your identity and if it happens you have to clean up the mess by pleading it wasn't you in the first place.
It's not like there's a "conservation of blame" law.