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IAPP CIPP/US Practice Exam

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Which of the following is a core difference in an “opt-in” and “opt-out” model? 
  1. An opt-in model gives consumers the opportunity to limit the use and disclosure regarding the processing of their data.
  2. The opt-out model serves as “privacy by default”.
  3. Opt-in models require an organization to gain consent before processing sensitive information.
  4. Opt-in models are primarily utilized in data collection and processing for email campaigns and internet cookies.
Explanation
Answer: C - An Opt-in model is often referred to as “privacy by default” and requires an organization to gain consent before processing sensitive information. With this model, apps and websites (even telecoms in some cases) would not initially have permission to collect, use and store sensitive data. This model expands the right to private action against companies in many ways, yet, is one most challenging to get into privacy laws.
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