Information Destruction Laws
Identity theft and information fraud is at an all-time high. The federal government has enacted over 40 information destruction laws to protect consumers. These are the three most significant pieces of consumer information protection legislation:
The Health Insurance Portability and Accountability Act (HIPAA) sets national standards for the protection of personal health information. HIPAA, which went into effect in 1996, requires all healthcare providers, including any organization that transmits personal health information, to maintain the confidentiality of this information and to destroy the information before it is discarded.For more information about HIPAA click here.
Total Security Breaches Nationwide Tops 355 Million!
Think a security breach can’t happen to your organization? Think again! Since they began tracking security breaches in Jan. 2005, PrivacyRights.Org reports that as of this writing, over 355 million confidential files, in every imaginable industry, have been compromised. For a comprehensive list of these information security breaches, click here.
The Fair and Accurate Credit Transaction Act (FACTA) requires that any individual or business that maintains personal consumer information must take reasonable care to protect against unauthorized access to this information, and they must also destroy personal consumer information before it is discarded. Violation of FACTA, which went into effect in 2005, can mean fines and penalties of up to $2,500 for each consumer record compromised.
For more information about FACTA click here.
The Gramm-Leach-Bliley Act requires that all financial institutions protect the confidential information of their clients. Banks, credit unions, mortgage companies, investment and financial services firms and insurance underwriters are among those affected. Fines for violating GLB can be severe. American United Mortgage Company was fined $50.000 for violating GLB (learn more).
For more information about GLB click here.
From On-Site Shredding To Recycling … What You Need To Know About Your Information Destruction Options. Here are the options from which you can choose. You can:
Hire a shredding service.
Purchase an office shredder.
The cost of each option varies, as does the level of security. Here is a review of each:
Mobile Shredding Services
Done at your facility
Certificate of Destruction
All material recycled
Material Taken to an unknown location to be shredded
Desk Side Shredding
Most strip-shred materials
Shredders break down
Confidential material not secured prior to shredding
Difficult to shred disks/CD’s
Material not recycled
Recycling and Disposal
Potential loss of confidential company information
Potential loss of employee and customer information.
Violation of numerous Laws and regulations resulting in fines and penalties