What Is CCPA? A Small Business Guide to California’s Privacy Law
The CCPA requires businesses that collect data from California residents to disclose, delete on request, and notify after a breach. Fines reach $7,500 per intentional violation.
The California Consumer Privacy Act (CCPA) requires businesses that collect personal data from California residents to disclose what they collect, honor deletion and opt-out requests, and notify customers after a breach. Fines reach $7,500 per intentional violation, and consumers can sue directly after a breach.
Does CCPA Apply to My Business?
The CCPA generally applies to for-profit businesses that handle California residents’ data and meet at least one threshold: over $25M in annual revenue, buying or selling the personal data of 100,000+ consumers or households, or earning 50% or more of revenue from selling personal data.
What CCPA Requires
- Tell consumers what personal data you collect and why
- Honor requests to delete or stop the sale of their data
- Provide an opt-out for the sale of personal information
- Notify affected consumers after a data breach
How Cyber Insurance Helps
Cyber liability insurance covers the cost of CCPA compliance after a breach — notification letters, credit monitoring, legal defense, and regulatory fines — which a general liability policy explicitly excludes.