Why Personal Data Is Valuable and How to Protect It: Best Practices and Compliance Tips

Check out the new compliance progress tracker


Product Pricing Demo Video Free HIPAA Training
LATEST
video thumbnail
Admin Dashboard Walkthrough Jake guides you step-by-step through the process of achieving HIPAA compliance
Ready to get started? Book a demo with our team
Talk to an expert

Why Personal Data Is Valuable and How to Protect It: Best Practices and Compliance Tips

Kevin Henry

Data Privacy

March 21, 2025

6 minutes read
Share this article
Why Personal Data Is Valuable and How to Protect It: Best Practices and Compliance Tips

Value of Personal Data

Why personal data carries real-world value

Personal data fuels decisions, personalization, fraud prevention, and analytics. To criminals, it enables identity theft, account takeover, and extortion. For you, recognizing this dual value clarifies why strong controls are essential and why data minimization reduces both cost and risk.

Risks and the breach economy

Attackers monetize stolen records on underground markets, chaining details like emails, SSNs, and credentials across systems. A well-rehearsed Data Breach Response plan limits damage through rapid containment, notification, and remediation, reducing regulatory exposure and customer harm.

Obligations under privacy laws and sector rules require lawful bases, transparency, and security. Frameworks inspired by acts such as the Data Protection Act emphasize fairness and purpose limitation. Treat Data Privacy Compliance and broader Legal Compliance as ongoing programs tied to governance, not one-time checklists.

Data Minimization

Collect only what you need

Define the exact business purpose before collecting any attribute. If a field is not essential, do not capture it. Fewer fields mean a smaller attack surface, lower retention burden, and clearer compliance posture.

Practical steps to minimize

  • Map data flows and inventory systems to see where personal data enters, moves, and rests.
  • Limit collection at the source with purpose-driven forms and optional fields off by default.
  • Apply Data Anonymization or pseudonymization when full identifiers are unnecessary for analytics or testing.
  • Use tokenization for high-risk elements to decouple business use from raw identifiers.
  • Review vendors to prevent shadow collection through SDKs and pixels.

Measure and enforce

  • Track average fields per process and aim to reduce them quarter over quarter.
  • Add automated gates in CI/CD and data pipelines to block unauthorized datasets and columns.
  • Require approval workflows for any new attribute before collection begins.

Data Retention

Design a defensible retention schedule

Set explicit timelines by data category, purpose, and legal basis. Align retention with contractual needs and statutory requirements, and document the rationale. Build in legal holds to suspend deletion when litigation or investigations require preservation.

Secure disposal and end-of-life

When data exceeds its retention period, delete it thoroughly and verifiably. Use cryptographic erasure for encrypted stores, secure wipe processes for reusable media, and certified physical destruction for end-of-life devices. For paper, employ cross-cut shredding and sealed-chain disposal.

Automation reduces error

  • Implement time-to-live (TTL) policies and lifecycle rules in databases, object storage, and logs.
  • Propagate deletion across replicas, backups, and analytics layers to avoid orphaned copies.
  • Record proof of deletion events for audits and customer requests.

Data Encryption

Protect data in transit and at rest

Use modern TLS for all network traffic, including internal service-to-service calls. At rest, encrypt databases, filesystems, and backups to guard against lost devices and snapshot exposure.

Standards that stand up

Adopt AES-256 Encryption for at-rest protection and strong cipher suites for transport. Prefer vetted libraries over custom cryptography, and disable legacy protocols to reduce downgrade risks.

Ready to simplify HIPAA compliance?

Join thousands of organizations that trust Accountable to manage their compliance needs.

Key management matters

  • Centralize keys in a managed KMS or HSM with strict separation of duties.
  • Rotate keys on a schedule and on incident, and use envelope encryption to localize exposure.
  • Restrict access to plaintext keys, monitor all key operations, and back up keys securely.

Access Controls

Least privilege with robust models

Grant only the access people need to perform current duties, no more. Implement Role-Based Access Control to map permissions to job functions, and consider attribute-based policies for fine-grained, context-aware decisions.

Strong authentication and session hygiene

  • Enforce multi-factor authentication across admin, developer, and third-party accounts.
  • Use just-in-time privileged access with time-bound approvals for sensitive actions.
  • Set short session lifetimes, re-authentication for high-risk workflows, and device posture checks.

Observe and respond

  • Enable audit logs for data access, admin changes, and policy updates, and retain them securely.
  • Alert on anomalies such as mass exports, off-hours access, or unusual IP locations.
  • Periodically recertify entitlements to remove unused or stale privileges promptly.

Employee Training

Build practical awareness

Teach people to spot phishing, handle personal data securely, and escalate incidents fast. Emphasize verification before sharing data, clean desk practices, and careful use of collaboration tools.

Program design that sticks

  • Onboard with role-specific modules and reinforce through brief, frequent microlearning.
  • Run simulated phishing and tabletop exercises tied to Data Breach Response playbooks.
  • Track completion, test scores, and behavioral metrics to target refreshers where needed.

Culture and accountability

Leaders should model secure behavior, celebrate near-miss reporting, and link objectives to Data Privacy Compliance outcomes. Make it easy to ask for help and hard to make silent mistakes.

Regular Audits

Verify controls continuously

Conduct internal audits, technical assessments, and privacy impact reviews to confirm policies work in practice. Include vendor risk evaluations to ensure third parties uphold your standards.

From findings to fixes

  • Prioritize remediation by business impact, likelihood, and legal exposure.
  • Assign owners, due dates, and success criteria, then validate with retests.
  • Feed lessons learned into design patterns, playbooks, and training content.

Conclusion

Personal data is valuable because it drives business outcomes and attracts attackers. By minimizing collection, retaining only what you need, encrypting effectively, enforcing access with least privilege, training people, and auditing regularly, you strengthen protection and meet Legal Compliance obligations without slowing the business.

FAQs.

Why is personal data considered valuable?

It enables personalized services, insights, and growth, while also letting criminals commit fraud and identity theft. Its usefulness across many contexts makes it both a business asset and a risk that demands careful protection and governance.

What are the best practices for protecting personal data?

Collect only necessary data, enforce a retention schedule, encrypt in transit and at rest with standards like AES-256 Encryption, implement Role-Based Access Control with least privilege, train employees, monitor access, and rehearse Data Breach Response steps.

How does compliance impact data protection?

Compliance frameworks, including principles reflected in the Data Protection Act, set expectations for lawful processing, transparency, and security. Treat Data Privacy Compliance as a continuous program that aligns controls, documentation, and audits to meet Legal Compliance and reduce enforcement risk.

What measures ensure secure disposal of personal data?

Use policy-driven deletion when retention periods end, apply cryptographic erasure for encrypted systems, perform secure wipes for reusable media, and physically destroy end-of-life devices. Confirm disposal with logs or certificates and ensure backups and replicas are also sanitized.

Share this article

Ready to simplify HIPAA compliance?

Join thousands of organizations that trust Accountable to manage their compliance needs.

Related Articles