A privacy policy document states whether and how a site collects, uses, distributes, or monetizes the personal data of its visitors. This document is mandatory under most laws, such as GDPR, CPRA, and LGPD.
What is a privacy policy?
A privacy policy outlines how personal data is collected, processed, disclosed, and protected and is legally required under most privacy laws around the world.
Privacy policies aim to increase transparency, trust, and accountability in the processing of personal data.
Various terms have the same meaning as “privacy policy.” It may also be called:
- Confidentiality Agreement
- Privacy Notice
- Privacy page
- Privacy clause
- Privacy Policy Statement
In addition to being legally required, privacy documents may also be mandatory under the terms of third parties such as app platforms (e.g. App Store) and e-commerce platforms – as these companies require their partners to comply with applicable laws.
What is a standard privacy policy?
A standard privacy policy typically refers to a general document that describes how an organization collects, uses, stores, and protects users’ personal data. It is important to note that this is only a foundation or starting point, often only complying with general privacy practices and legal requirements. A standard privacy policy is designed to be broadly applicable, covering the core aspects of privacy, without being tailored to the specifics of a given business or industry.
As a general rule, it is always advisable to create a professional document that reflects your unique situation, with detailed clauses. After all, this is a legal document that by law must be specific and accurately inform users of all your activities that are in any way related to data.
Do I need a privacy policy?
Yes, if you have a website or app, it is not only highly recommended, but often mandatory to have a data protection document. Here’s why:
- Legal Compliance: Many countries and regions have privacy laws and regulations that require website owners to have a privacy policy in place to protect the personal information of their citizens. For example, the General Data Protection Regulation (GDPR) in Europe, the LGPD in Brazil, and the CPRA, CCPA, CalOPPA, and others in the United States have specific privacy policy requirements.
- Data Collection and Use: Your policy allows you to clearly communicate the types of information you collect from users, such as names, email addresses, or browsing behavior. It also describes the purposes for which you collect that information. For example, to improve site functionality or to provide a personalized experience. This helps users understand how their information will be used.
- User Rights and Choices: The Privacy Policy informs users of their rights and choices regarding their personal information. It explains how users can access, update, or delete their data, as well as opt out of certain data collection or marketing activities. This gives users control over their personal information and allows them to make informed decisions about their privacy.
- Transparency and Trust: A policy helps build trust with your site visitors and users. It shows that you value their privacy and are transparent about how you handle their personal information. When people know how their information will be used and protected, they are more likely to feel comfortable sharing it with you.
In conclusion, having a privacy policy is not only recommended, but essential. It helps you comply with legal requirements, build trust with users, and clearly communicate your data collection and use practices.
What happens if you don’t have a privacy policy?
Here’s what can happen if you don’t have a privacy policy:
- Legal issues and fines: There are laws that require such a document, such as GDPR in Europe, LGPD in Brazil, and state law in the United States. If you don’t have such a policy, you could be subject to significant fines and legal issues.
- Loss of Trust: Users expect to see a privacy policy on your website or app. If you don’t have one, they may not trust you or think you don’t care about their privacy.
- Bad reputation: Lack of a privacy policy can make users and other businesses think badly of you. This can damage your reputation.
- Business issues: Some services and partners may not be willing to work with you if you don’t have this document, which could affect the performance of your website or app and your revenue.
In summary: Not having a privacy policy can lead to legal issues, fines, loss of trust, damaged reputation, and problems with business operations and revenue. It’s important to have one to avoid these issues and show your users that you care about their privacy.
Privacy policy and cookie policy: what’s the difference?
In short, both privacy policies and cookie policies contain information related to data privacy. However, they have different purposes in terms of the information they provide. Privacy policies contain general information about the processing of personal data, how and why it is used, user rights, and more. Cookie policies specifically address the use of cookies, trackers, and similar technologies and the rights of users in relation to them.
It is also important to note that a privacy policy may often contain a cookie policy as a separate section dedicated exclusively to the legal terms required for the use of cookies.
Let’s look at the differences between privacy policies and cookie policies in more detail:
- Privacy Policies: A privacy policy describes how personal information and data is collected, used, disclosed, and protected. It informs individuals about their privacy rights, the types of data collected, the purposes of data processing, data sharing practices, security measures, user rights, and other relevant information. Privacy policies are required by law in many jurisdictions to ensure compliance with privacy regulations.
- Cookie Policies: On the other hand, a cookie policy specifically addresses the use of cookies (and similar technologies) on a website. Cookies are small text files that are stored on a user’s device when they visit a website. These files contain data that helps improve the functionality of the website, track user behavior, and provide personalized experiences. A cookie policy explains the types of cookies used, their purpose, how long they are stored, and whether they are first-party or third-party cookies. It also informs users of their ability to manage and control cookie preferences, including the option to give or refuse consent if they wish.
Both policies are important for informing users of their privacy rights and providing transparency about a website’s data practices.
Is it illegal to copy a privacy policy?
Copying a privacy policy from another website can be illegal as it may be considered a copyright infringement. It is also risky from a legal perspective.
In practice, privacy policies should reflect an organization’s specific data processing practices, which will always be different from another company’s practices. This means that by copying, you risk having a document that is not compliant and could lead to problems.
How do I create a data privacy policy?
There are different ways to create a data privacy policy, and you will need to consider which option is best for your business, taking into account important factors such as cost, required knowledge, and practicality.
Here are the main options:
- Online Templates: There are many privacy policy templates available online. Keep in mind that these templates only provide a basic structure with standard clauses. They should be used as a starting point. The downside is that they are not customized for your specific operations and do not comply with all the laws relevant to your business.
- Privacy Policy Generators: Online generators like GDPR Protect are more advanced and professional than templates. They offer customizable options based on your business type, location, and specific data practices. Generators typically have thousands of pre-written clauses to customize the document to your needs. They also have dynamic features for easily integrating your privacy policy into your site and updating the document at any time.
- Consult with a lawyer: For the most complete and professional policy, consulting with a lawyer is a good choice, especially for the most complex cases. Of course, this comes with a cost and can become quite expensive as your document will require updates in the future.
Can I use a privacy policy template?
Privacy regulations can be complex and creating a privacy policy can be challenging. A privacy policy template should take into account factors such as your location and the privacy-related activities of your site, and can be difficult to manage since there are many things that need to be addressed on your site.
As the owner of your site, you have the best understanding of your practices. You know whether you use Google Analytics, Mailchimp, contact forms, Facebook Like buttons, or other practices related to user data.
Lawyers can take care of the details and create a policy that is customized for your site. They will review your site, handle the legal issues, and create a solid policy for your site. Clearly, this process requires a significant investment of time and money.
There are other tools, such as generators, that can help you with this task without being too expensive.
What should a privacy policy contain?
The exact requirements for the content of a privacy policy depend on applicable law and may need to meet requirements that cross geographical boundaries and legal jurisdictions.
Typically, data and privacy laws apply to any service intended for residents of a given region, effectively meaning that a law can apply to your business whether it is located in the region or not.
For this reason, it is always advisable to approach your (legally required) policy with the strictest applicable regulations in mind.
The most basic elements in the privacy policy:
- Who owns the site/app?
- What data is collected? How is this data collected?
- What is the legal basis for collecting the data? (e.g. consent, required for your service, legal obligation, etc.) – This is more specifically related to GDPR and EU law, however, even if you are not covered by GDPR obligations, it is likely that under many other laws you will need to state why you are processing users’ personal data.
- For what specific purposes is the data collected? Analytics? Email marketing?
- Categories of sources from which you collect users’ personal information. – This is more specifically related to the upcoming CCPA in the US.
- Which third parties will have access to the information? Will there be a third party collecting data through widgets (e.g. social buttons) and integrations (e.g. Facebook Connect)?
- Where applicable, details of cross-border/international data transfers and what measures are in place to ensure that such transfers are carried out safely and lawfully. (This information is specifically required under EU and Australian law. In addition, there are additional requirements for cross-border transfers under the GDPR in the EU and APPs in Australia.)
- What rights do users have? Can they ask to see the data you have about them, can they ask to correct, delete or block their data? (Under European regulations, most of these requirements are mandatory).
- A description of the process for notifying users and visitors of policy changes or updates.
- Policy effective date.
Examples of privacy policies
Examples of privacy policies can vary greatly depending on the industry, the type of data collected, and the geographic location of both the business and its users. Here are some examples that illustrate this diversity:
- E-commerce websites: These policies typically focus on how customer data (such as names, addresses, payment information) is collected, used, and protected during online transactions. They also address data sharing with third parties, such as shipping and payment processing companies.
- Healthcare providers (subject to HIPAA in the US): Because they collect sensitive personal information, these policies are more stringent, detailing how patient health information is protected, used, and disclosed. They comply with specific regulations, such as HIPAA.
- Mobile Apps: Mobile app privacy policies address the data collected through the app, including location data, device-specific information, and user behavior. They also cover the permissions the app requires, such as access to the camera, microphone, or contacts.
Example of a privacy policy
The example privacy policy serves as a practical illustration of how this document can be structured and what information it should contain.
See the document below, which was automatically generated by our tool. It is a sample privacy policy that shows what the key elements are and how they are grouped:
How GDPR Protect can help you create and manage a privacy policy document
GDPR Protect generates privacy policies that comply with best practices in various jurisdictions.
- With thousands of clauses available, our privacy policies contain all the elements commonly required across many regions and services, applying the strictest standards by default – giving you the ability to fully customize as needed.
- Our policies are created by lawyers, monitored by our legal staff, and hosted on our servers to ensure they are always up to date with the latest legal requirements.
- Our privacy policies are easily customizable and also offer the option to include a cookie policy (which is required if your website or app uses cookies).
With our generator, the policy creation process is easy and intuitive:
- Select the website, fill in the name or URL, select a language and click Start generating;
- Click Generate now under Privacy and Cookie Policy;
- Select and add all relevant services to your website (e.g. Google Analytics, social widgets…);
- Generate your privacy policy with one click (all clauses are pre-prepared by lawyers);
- Finally, copy and paste the code to add the document to the footer of your website.
