Agents who take consumer privacy seriously have more satisfied and loyal customers. Strong data security increases customer satisfaction by almost 30%, according to Capgemini, and the vast majority of customers, 87% according to PwC, will take their business elsewhere if they don’t trust a company is handling their data responsibly.
With regulations such as the California Consumer Privacy Act (CCPA), businesses are required to provide notice to consumers about what data is collected, how it is collected, allow consumers the ability to request their data is not be sold and even ask for their information be deleted if it is not in conflict with another law.
The consequences of not paying attention to the law or failing to do the right thing by consumers with regard to their privacy can be devastating. Civil penalties are as high as $7,500 per intentional violation with the CCPA. The regulations give consumers a private right of action for data breaches of certain personal information and allows them to seek statutory damages of between $100 and $750 “per consumer per incident or actual damages, whichever is greater.”
Solutions to Protect Data
Data privacy and technology can help organizations strike the right balance between honoring consumer privacy and collecting the information they need. In 2011, Jornaya developed a solution for Telephone Consumer Protection Act (TCPA) compliance validation. We’ve since extended the product suite to meet the CCPA regulation as well as expected future state and federal regulations.
Similar data-as-a-service vendors offer solutions that advance strategic business goals while respecting consumer preferences. Many assume this is done via capturing and monitoring consumers personal information. However, it is actually done in a privacy-friendly manner that doesn’t require clients to share any personal information.
Golden Rule of Data
Jornaya sees increased privacy regulations as an opportunity to help the entire marketing ecosystem. While it’s mandatory to be compliant with regulations, honoring consumer privacy is the most critical part of providing an exceptional customer experience.
And while most agents don’t meet the criteria that defines someone subject to CCPA, it’s good practice to be privacy focused. It’s what we call living by the golden rule of data: treating consumer data like you’d want your own data treated by another company.
The days of spamming customers that lead to bad experiences are coming to an end. It’s about creating value for the customer in the most efficient way possible, and the use of data in the right way will continue to help agents create valuable consumer experiences.
Jaimie Pickles is general manager of insurance, Jornaya.