IT'S THE LAW

Your company's most valuable asset is information: financial records, personnel files, payroll data, customer lists, marketing plans, medical records, computer disks, etc. Discarding this information carelessly can lead to serious problems, especially if it falls into the wrong hands. The result can be anything from embarrassment to catastrophic loss of revenue.

Tough new federal and state regulations, including the Health Insurance Portability and Accountability Act (HIPAA) & the Gramm-Leach-Bliley Act, place responsibility for customer privacy squarely on private enterprise. If records are disclosed to outside parties, even by accident, it could mean law suits, litigation as well as potential state and federal criminal charges.

Hiring a professional shredding contractor is the only reliable and economical way to keep your unwanted and obsolete records from being read by the wrong people.

At SHRED ALERT we provide the highest security available at the lowest possible cost and we're headquartered right here in Northeastern South Carolina, with full plant operations in Myrtle Beach.

Below is the current legislation affecting the right to privacy and that of your customers. One call to SHRED ALERT can help put you into full compliance!

The Fair and Accurate Credit Transaction Act (FACTA)

In general, the Act amends the Fair Credit Reporting Act-- or "FCRA"-- to enhance the accuracy of consumer reports and to allow consumers to exercise greater control regarding the type and amount of marketing solicitations they receive. The FACT Act also establishes uniform national standards in key areas of regulation regarding handling and disposal of consumer information in the possession of all companies and organizations.

Gramm-Leach-Bliley Act (1999) Financial Services Modernization Act

This Federal legislation went into effect in 2000, the privacy provisions in the law require that financial institutions and insurance companies give consumers prior notice of an intention to share personal information and a chance to opt out of the sharing of such information. The law states that these institutions and companies need to "respect the privacy of its customers and to protect the security and confidentiality of those customers' non-public information." The language suggested in the Safeguard Rule that paper documents containing such personal information should also be protected and safely destroyed.

This Safeguards Rule requires all financial institutions to design, implement and maintain safeguards to protect customer information. The Safeguards Rule applies not only to financial institutions that collect information from their own customers, but also to financial institutions -- such as credit reporting agencies -- that receive customer information from other financial institutions.

Health Insurance Portability & Accountability Act (HIPAA)

HIPAA was enacted in 1996 and the mandatory compliance date is April 14, 2003. All hospitals, doctors, pharmacies, health plans, medical billing companies and any other business entity involved in the healthcare industry must comply. The rules apply to all protected health information. The Standard for Privacy of Identifiable Health Information requires that covered entities put in place administrative, technical and physical safeguards to protect the privacy of protected health information. One example given of a safeguard for the proper disposal of paper documents containing protected health information is that the documents be shredded prior to disposal.

Federal Privacy Act of 1974

This law was established in 1974 to insure that government agencies protect the privacy of individuals and businesses with regard to information held by them and to hold these agencies liable for any information released without proper authorization.

Economic Espionage Act of 1996 (EEA)

The Economic Espionage Act is a very powerful law which helps with the enforcement of properly handling information. This law is the first federal law that defines and severely punishes misappropriation and theft of trade secrets. However, according to this Act, the government will only protect companies who take "reasonable measures" to safeguard their information.

The United States Supreme Court has ruled that, once discarded, items left for waste collection are no longer protected as private property. Unscrupulous individuals, popularly referred to as "Dumpster Divers," are eager to get their hands on this information for abusive or criminal purposes.