Why You Need a Third-Party Data Privacy Assessment

The key to privacy protection is determining whether a particular activity is high-risk and establishing processes and procedures to minimize that risk. A data privacy risk assessment should be conducted every year for compliance and to ensure that the rights of individuals are not infringed upon.

Several risks can affect an organization’s compliance with data protection laws. These include commercial and legal factors. Failure to meet customer expectations can lead to reputational risks. In addition, a failure to adhere to the law can result in fines.

The risk of a data breach can be significant. It can result in a financial penalty, as well as damage to an organization’s reputation. However, a successful data protection strategy can help minimize the damage that occurs from a breach. For example, you can prevent data loss by ensuring that sensitive data is only accessible to approved parties.

A third-party data privacy assessment is one way to determine whether a particular processing operation is a high risk. This is a crucial aspect of the regulation, as it helps to establish whether the processing will have a negative impact on the individuals involved.

Processing may be high risk if it involves highly personal or sensitive information, such as medical records, financial data, or location data. A DPIA helps to identify this type of processing so that an organization can take the necessary steps to minimize the risks.

Processing that is disproportionate to the purpose for which it was requested can also be high risk. The processing required by a regulatory body for a specific purpose may be a manageable effort, but an organization must still take other measures to protect people’s rights.

Vulnerable segments of the population, such as children and the elderly, can be especially at risk of privacy breaches. Some examples of such individuals are patients, asylum seekers, and people with a disability. Providing privacy to such people can be tricky since there is only sometimes a way to obtain a person’s consent. Nevertheless, such situations will occur rarely, and they should not be allowed to persist.

If an organization does not perform a DPIA, they run the risk of non-compliance with the GDPR, CPRA, LGPD, and other privacy laws. The GDPR specifies a maximum fine of EUR20 million for failure to adhere to the regulations. Additionally, organizations that do not conduct DPIAs can suffer various consequences, including erosion of trust with customers.

The GDPR gives an overview of the types of processing that are permitted. In the UK, for example, only certain circumstances are permitted to process without an individual’s prior consent. Those circumstances include automated decision-making or processing where the individual’s interests are outweighed. The ICO has published an additional list of ten processing types.

The GDPR is a complex document, and many organizations are required to stay on top of the changes. For instance, the regulation requires data processors to secure PII data. Data processors must also perform due diligence on third-party partners and vendors. And must regularly update their internal processes to account for the requirements of various data privacy regulations.

In closing, data privacy regulations are constantly changing, and because of these changes, organizations must take a proactive approach to their compliance posture. An annual DPIA is the best way for a company to protect its customers and maintain a compliant state. If you would like more information regarding GDPR24 and our data privacy services, please get in touch with me at [email protected]