Risk Management Procedures for California Businesses

Risk Management Procedures for California Businesses

Are You Properly Holding, Managing, & Disposing Of Personal Records?

The manner in which your organization manages personal records is likely not a top priority to you; however, it will be once a lawsuit is initiated. If your company’s record keeping negligence allows for a client’s personal information to be released, you will likely be faced with a costly lawsuit. To combat this issue, you must have risk management procedures in place. Allow these informational points of guidance to assist you in safely recording all personal records:

  • As a business owner, it is your responsibility to know the record keeping/retention period of the area you operate in. Each state has a unique law enforced by the Equal Employment Opportunity Commission (EEOC) that you must abide by.
  • To organize each of your personal files and ensure that all pertaining information is secure, it is a good idea to have the first page of each file as a checklist. This checklist will determine which required files you have and which you are missing.
  • One of the biggest pitfalls many companies have is allowing access to personal records. The only people who should manage these records or even have access to them are those who must have access. These personal records should be kept separately from often-accessed documents.
  • If you are operating your business in California, you must understand the laws regarding your staff’s legal rights. Since each state varies in legal access to an employee’s personal records, you must know which law you must conform to.
  • Most importantly, how do you dispose of records once you are no longer required to retain them? You must have a safe system for properly disposing of these materials to ensure that they do not fall into the wrong hands.

Contact Hoffman Brown Company in Sherman Oaks for all of your California business insurance needs. When it comes time to file a claim, we will be your guiding hand to ensure that everything goes as smoothly as possible and that you receive the compensation you deserve.