Every Website Owner Needs a Compliant Privacy Policy
If you’re a website owner, you may have heard about the importance of having a privacy policy on your website. But do you know why it’s so crucial? In this post, we’ll explain why every website owner needs one, what it should include, and the consequences of not having one.
What is a Privacy Policy?
A privacy policy is a legal document that explains to visitors how a website collects, uses, and protects their personal information. Personal data is used to identify an individual, such as:
- Name
- Email address
- Phone number
- Location data
- IP address
- Credit card account information
- Other identifiers, such as cultural or social identity (e.g., social media)
The policy should outline the types of information collected, its use, and any third parties it may be shared with. There are many different ways to collect this data, including:
- Contact forms (or any form, e.g., surveys, registrations, newsletter sign-up)
- Cookies
- Any third-party service (e.g., Website Analytics, CRMs)
Why Do You Need a Privacy Policy?
Legal Requirements
In most countries, website owners are legally required to have a privacy policy if they collect personal information from their visitors.
General Data Protection Regulation (GDPR)
GDPR is a data privacy law that enforces strict penalties for companies that fail to meet its requirements. It applies to Europe, the European Economic Area (EEA), and foreign companies that do business within this region.
Personal Information Protection and Electronic Documents Act (PIPEDA)
In Canada, PIPEDA regulates how information is used, disclosed, and collected.
Children’s Online Privacy Protection Act (COPPA)
COPPA controls how information is collected online from children under 13 and is enforced by the US Federal Trade Commission.
California Consumer Privacy Act (CCPA)
CCPA addresses privacy rights and consumer protection in California.
California Online Privacy Protection Act (CalOPPA)
CalOPPA requires commercial websites and online services to have a privacy policy on their website.
Transparency
It shows your visitors that you are transparent about the information you collect and how you use it. This policy can help build trust and credibility with your visitors.
63% of Internet users believe most companies aren’t transparent about how their data is used, and 48% have stopped shopping with a company because of privacy concerns. (source)
Protection from Liability
It can help protect website owners from liability in a data breach or other legal action related to data protection laws and the collection and use of personal information.
Between January 2021 and January 2022, nearly €1.1 billion in fines were issued for a wide range of GDPR violations. This represents a 594% annual increase in fines. (source)
Adherence to Best Practices
A privacy policy is considered a best practice for website owners. It demonstrates that you are committed to protecting the privacy of your visitors and following industry standards.
64% of Americans would blame the company, not the hacker, for the loss of personal data. (source)
SEO Benefits
We are excited to announce a new service offering on Lee’s website that automatically updates his Privacy Policy, Terms and Conditions, and other policies as changes occur. Maintaining accurate and up-to-date legal documents is crucial for every website, and we understand the importance of this.
Some search engines, such as Google, may penalize websites that don’t have one by lowering their search rankings. Having a privacy policy can help improve your website’s SEO and visibility.
What Should Your Privacy Policy Include?
Your privacy policy should include the following information:
- Types of personal data collected
- Purposes for which the information is collected
- How the information is collected
- How the information is used and shared
- Third-party sites and service providers with access to the information
- How visitors can access, update, or delete their information
- How you protect visitors’ data (including children under the age of 13)
- Contact information (such as an email and phone number) for inquiries or complaints
What Are the Consequences of Not Having a Privacy Policy?
Not having a privacy policy when required by law can lead to legal penalties, fines, or other consequences. Ultimately, including this policy on your website helps build trust, protect from liability, and improve SEO.
Don’t hesitate to contact us to ensure your website has a comprehensive and compliant privacy policy.