Understand the importance of suitability for data protection in small and medium-sized insurance brokers

What Is the Opportunity Cost

We know that data leaks can become an increasing problem for companies if the LGPD is not followed by the letter. The number of customers directly affects the entire profit of the organization. This can cause her to lose a lot due to carelessness.

But, this can also be an even bigger problem for small and medium-sized businesses. There are situations that large organizations take time to reverse; imagine if it happens with a small or medium-sized company.

In this context, we are going to talk a little about how data leakage can also harm small and medium-sized insurance brokers, reinforcing the use of LGPD so that greater problems do not occur. Follow the content to learn more!

Data leakage: how does it affect small and medium-sized brokers?

With less than a year of validity, the General Data Protection Law (LGPD) has already supported about 600 legal judgments of people who question the use of their data within organizations. Although the Law has already entered into force, the sanctions provided for will only take effect from August 1, 2021.

Among the applications that are provided for in this Law, there is one that is causing great concern to companies, those that generate some type of fine. However, it is not just a simple fine; there are cases that can reach up to R$ 50 million.

In fact, this for small and medium-sized businesses can be a big problem. As it directly affects the financial performance of the organization if a fine comes close to that mentioned value.

The LGPD is here to stay, so understanding how these data protection works is essential for any company. In this case, the broker needs to be aware of possible scenarios so that there are no penalties or lead the brokerage to bankruptcy.

Adequacy and compliance: what is the correct handling of data?

According to Deborah Sousa, responsible for the Legal/Compliance area at Quiver, with the LGPD, organizations that work with personal data, whether small, medium, or large, must adopt rules of good practices and governance, preventive and mitigating security measures. , educational and other actions for the correct processing of personal data.

Thus, it is essential that any organization understands and identifies the journey of personal data from the conception of its products or services to the end of data processing. Understanding the purpose of treatment of each personal data collected, how the data is stored and for how long, who within the organization accesses this data and for what purposes, with which third parties the organization shares personal data and why, if there is an international transfer of data and so on.

Based on this understanding, the organization must start taking actions to comply with the Law, improving or creating processes, adopting policies that ensure compliance with the Law, improving security systems and tools, restricting system access, among others.

The process of compliance with the Law is particular within each organization. That is why it is important that all companies initiate actions as soon as possible to avoid surprises such as a data leak, which in addition to administrative or judicial sanctions, can lead to loss of business and customers.

This is an issue that involves everyone, especially small and medium-sized brokerages. That is, from the individual who must be aware of how their data can be used, as well as from the companies that participate in an ecosystem that uses personal data for the execution of their enterprise.

Quiver with an eye on changes in relation to LGPD

Here at Quiver, we are carrying out several actions to adapt our flows and process against the LGPD. All to provide our customers with greater security.

Among them, we can mention:

  • Appointment of a Data Officer;
  • Mapping of personal data processing activities in the company;
  • The review of our Internal Policies and the Privacy and Cookies Policy of our websites;
  • Review of Contracts with service providers and business partners;
  • Review of Contracts for our solutions;
  • Adaptation in our applications to enable customers to execute and respond to Data Subject Rights (art.18). Such as confirmation of the existence, data query, issuance of a Simple and Complete Declaration, deletion, alteration, anonymization of data, including a tab for consulting evidence of access and interactions in the system;
  • Preparation of a Data Protection Term for Quiver customers to regulate the rights and obligations related to the LGPD for contracts in force.

We believe that offering a quality service goes beyond a product; our excellence lies in guaranteeing the customer greater safety and tranquility. Therefore, we are working intensively to ensure that our products and our operation are fully compliant with the GDPR.

By aamritri

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