Data collection and management are vital parts of how modern businesses gather information to learn more about how to better serve their customers. However, collecting this data can lead to breaches that expose the personally identifiable information (PII) of employees and customers. Keeping PII protected should be a priority for businesses in all industries. Certain protections are required by law, and failure to adequately protect customer data can lead to substantial fines, loss of customers, and reputation damage.
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By learning more about PII and the laws relating to PII compliance, you can better protect your customer data. If you would like to learn more about how to manage personally identifiable information and stay compliant, reach out to our team today.
PII Compliance Laws & Consent Management
Our consent management platform is designed to enhance the protection of PII by ensuring that all data collection processes are transparent, compliant, and secure. By obtaining explicit consent from users before collecting their data, our platform not only adheres to regulations like GDPR and CCPA but also empowers customers to control their own information. We provide robust audit trails and reporting features that help businesses demonstrate compliance and accountability in their data practices. Additionally, our platform employs state-of-the-art encryption and security measures to safeguard sensitive information, ensuring that PII remains protected throughout its lifecycle. This not only helps mitigate the risks associated with data breaches but also fosters trust between businesses and their customers.
The Definition of PII (Personally Identifiable Information)
PII is an acronym for Personally Identifiable Information. The U.S. Department of Labor defines personally identifiable information as “any representation of information that permits the identity of an individual to whom the information applies to be reasonably inferred by either direct or indirect means.” If information can be used to identify an individual, it’s considered PII. This includes direct personal data, information that can be used to contact the individual, or data that can indirectly reveal the identity of the individual it’s related to. PII can include information printed on paper, electronic data, or information found on other media sources.
What Types of Data Qualify as PII?
Wondering what PII looks like in the real world? While some types of PII might be easy to recognize, others are more discreet. Some types of data can even be combined to enable threat actors to identify the person it pertains to. The most common examples are:
- Name
- Address
- Social Security Number
- Telephone Number
- Email Address
- Employee HR or financial records
- Combinations of indirect information (like gender, race, birth date, and other descriptors)
What Sorts of Laws Are in Place Relating to PII Compliance?
Laws relating to PII compliance can be industry-based, federally or state-regulated, or even related to your customer base. For example, if you sell products or services internationally, you’ll likely be required to follow regulations from other countries.
The Most Widely Encountered PII Compliance Laws Include:
- Payment Card Industry Data Security Standards (PCI DSS): This regulation applies to any business that stores payment card details (including credit and debit cards).
- Health Insurance Portability and Accountability Act (HIPAA): This standard applies to data about people in the U.S. and is related to health and insurance information.
- The General Data Protection Regulation (GDPR): Companies are usually subject to these regulations if they serve customers in the EU. The rules state that personally identifiable information can only be held and used for specific circumstances.
- State Regulations: Some states have specific laws about protecting PII. These regulations must be followed if you serve customers in the states, no matter where your headquarters are located.
How to Protect PII Data: Best Practices
Protecting personally identifiable information is the law. It’s also the only way to conduct ethical business practices. In an era when information is so readily available (and many threat actors work to exploit it), protecting PII can be challenging. These best practices can help you protect your customer and organizational PII.
- Invest in a comprehensive software solution designed to help you protect sensitive data.
- Develop practices of least privilege, where employees only have access to data that is relevant to their job roles.
- Partner with a third-party security company that uses tools and helps you adopt processes to protect all business data.
- Only work with vendors, business partners, and supply chain participants who use strong PII protection and compliance measures.
Who/What Businesses Should Care About PII?
All individuals and businesses should care about PII. If you have customers or track your website visitors, you likely have information about them. The loss of PII can result in substantial harm to the people affected. It’s a common cause of identity theft and other fraudulent uses of information. As a business, failure to protect PII can result in strict penalties and large fines. A serious infraction could be enough to temporarily close your business or force you to shut your doors permanently.
When your customers trust you with their personal information, you have an obligation to protect it. Get in touch with the team here at V Audience Labs to learn more about how we help you use customer data and maintain PII data privacy standards to ensure you maintain industry and regulatory compliance.
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