Every website and app that collects personal information needs a privacy policy—but simply having a policy isn't enough. Privacy policies must meet specific legal requirements, accurately describe your practices, and be accessible to users. Understanding these requirements helps you create compliant, effective policies.
Why Privacy Policies Are Required
Multiple laws require privacy policies for businesses collecting personal information. California's CalOPPA requires policies for commercial websites collecting Californians' data. The CCPA mandates detailed disclosures. GDPR requires comprehensive privacy notices. Sector-specific laws like HIPAA and COPPA have additional requirements.
Even without specific legal mandates, the FTC can pursue businesses whose practices don't match their (or absence of) privacy disclosures.
Core Policy Elements
Effective privacy policies should clearly explain what personal information you collect, how you collect it (directly, automatically, from third parties), why you collect it (purposes), who you share it with, how users can exercise their rights, and how you protect the information.
Policies that don't reflect actual practices create liability—accuracy is essential.
Plain Language Requirements
Privacy policies should be understandable to average users. Avoid dense legal jargon. Use short sentences, clear headings, and everyday language. Some regulations specifically require policies be "clear and conspicuous" or written in "plain language."
Consider using layered notices—short summaries with links to detailed information.
Information Collection Disclosures
Describe the types of information you collect. Categories typically include identifiers (name, email, IP address), commercial information (purchase history), internet activity (browsing, search history), geolocation data, professional information, and sensitive categories if applicable.
Explain collection methods: direct submission, automatic collection (cookies, analytics), and third-party sources.
Use and Sharing Disclosures
Explain why you collect data—providing services, improving user experience, marketing, analytics, legal compliance. Be specific enough that users understand actual uses.
Disclose third parties receiving data: service providers, analytics companies, advertising partners, affiliates. Many laws require identifying categories of recipients.
Consumer Rights Disclosures
Explain what rights users have and how to exercise them. Depending on applicable law, rights may include access, deletion, correction, opt-out, and data portability. Provide clear instructions for making requests—email addresses, online forms, phone numbers.
Cookie and Tracking Disclosures
Explain your use of cookies, pixels, and other tracking technologies. Describe what tracking occurs, what third parties receive data, and how users can control tracking. Many jurisdictions require cookie consent mechanisms.
Data Security Statements
Describe your security practices in general terms. Avoid specific technical details that could help attackers, but explain you use reasonable measures to protect data. Consider disclaiming absolute security—no system is perfectly secure.
Data Retention
Explain how long you keep personal information or the criteria for determining retention. Many privacy laws require retention disclosures. Keeping data indefinitely creates risk and may violate regulations.
Children's Privacy
If you collect information from children under 13, COPPA imposes strict requirements including parental consent. If you don't knowingly collect children's data, say so. If you do, detail your COPPA compliance.
Policy Updates
Explain how you'll notify users of policy changes. Include the date of your current policy. Some laws require notice of material changes before they take effect.
Accessibility and Placement
Policies must be easy to find—typically linked in website footers, app settings, or account creation screens. Links should be clearly labeled. The policy should be accessible before users submit personal information.
Getting Legal Help
Privacy attorneys draft policies that meet legal requirements and accurately reflect your practices. They ensure your policy covers applicable regulations and provides appropriate protections. Template policies often don't match actual business practices.