Many businesses understand that certain types of documents are confidential and must be shredded rather than just placed in the recycling. Still many don’t realize how many different types of documents are confidential and that there are laws in place to ensure that confidentiality is maintained. Below are brief descriptions of some of the applicable laws and regulations.
HIPAA - Health Insurance Portability and Accountability Act of 1996:
HIPAA requires any organization or individual who retains or collects health related information to have a documented policy defining the reasonable measures taken to safeguard Protected Health Information (PHI). Technically, every employer with completed health insurance applications or injury reports on file regardless of the size of the business must have a policy defining what they will do to prevent unauthorized access. Destroying PHI before it is discarded is an important portion of HIPAA compliance. Types of information in need of protection and destruction include X-rays, Insurance Information, Medical History, Billing Information, Notes, Sign-in Logs, other Images and Insurance Claim Forms.
GLBA - Gramm-Leach-Bliley Act of 1999:
GLBA requires banking and financial institutions to design, implement, and maintain methods of protecting consumer information. This law does not just apply to banks and insurance companies but also includes services such as lending, brokering, transferring or safeguarding money, preparing tax returns, and even those who provide financial advice or credit counseling. Again regardless of the size of the institution specific plans must be in place to safeguard this information.
FACTA - Fair and Accurate Credit Transactions Act of 2003:
FACTA is geared towards reducing fraud and identity theft from discarded confidential material. It applies to almost every person and business in the United States. It requires “any person who maintains or otherwise possesses consumer information for a business purpose” to properly destroy consumer information before it is discarded.
The main theme of these laws is to maintain the safety of sensitive documents while in your facility and making sure that when documents are discarded they are done so in a manner that protects the information that your customers, employees, and vendors have entrusted you with. Shred Tec staff would be happy to answer any questions you might have about how to maintain the security of your documents.