In 2018, the General Data Protection Regulation, or GDPR, went into effect, prompting a mass review of privacy policies for companies throughout the EU. Today, the GDPR is one of the leading privacy regulatory organizations.
In the United States, several laws mandate privacy policies for any company that collects personal data from its consumers. These include:
- California Online Privacy Protection Act (CalOPPA)
- Children's Online Privacy Protection Act
- Controlling the Assault of Non-Solicited Pornography and Marketing Act
- Electronic Communications Privacy Act
- Fair and Accurate Credit Transactions Act
- Gramm-Leach-Bliley Act
- Health Insurance Portability and Accountability Act (HIPAA)
States can set their own rules regarding collecting, using, and protecting people’s personal data on an app or website. However, the Federal Trade Commission (FTC) regulates many privacy laws companies must comply with in their privacy policies and user agreements.
A company in America must consistently comply with federal and state laws at every level of operation.
Companies need to ensure that their customers fully understand the following:
- What data they gather from customers
- How they use the data
- W here the data is stored
E-commerce companies, for example, collect highly sensitive information, including customers’ full names and mailing addresses. Therefore, ensuring that their data is safe is a fundamental aspect of customer service.
Here is an article about how often your business should review and update its privacy policies.
- Overview of customer data you collect : Specify which personal details and data your organization collects from its customers.
- Data usage policies : An explanation of how your company uses its customers’ data.
- Data storage and protection: Describe how your business stores its customers’ data and what measures are in place to prevent data theft or unauthorized access.
- Use of tracking tools: You must disclose what tracking tools your company uses to collect users’ data, such as cookies and log files.
- Opt-out option: You are legally required to give every user the right to opt-out of data collection, to receive a copy of the data you have, and to request the removal of their data from your company’s database.
- Information related to marketing
- Third-party access
- Frequently asked questions
Consider a marketing company that provides a SaaS solution for businesses. These companies store their customers’ data on the platform, meaning the marketing company has their customers’ data and thousands of other people’s information.
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