Free IAPP CIPP-C Exam Questions

Become IAPP Certified with updated CIPP-C exam questions and correct answers

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Total 152 Questions | Updated On: Feb 04, 2025
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Question 1

SCENARIO
Please use the following to answer the next QUESTION
Felicia has spent much of her adult life overseas, and has just recently returned to the U.S. to help her friend
Celeste open a jewelry store in California. Felicia, despite being excited at the prospect, has a number of
security concerns, and has only grudgingly accepted the need to hire other employees. In order to guard
against the loss of valuable merchandise, Felicia wants to carefully screen applicants. With their permission,
Felicia would like to run credit checks, administer polygraph tests, and scrutinize videos of interviews. She
intends to read applicants’ postings on social media, ask QUESTION NO:s about drug addiction, and solicit
character references. Felicia believes that if potential employees are serious about becoming part of a dynamic
new business, they will readily agree to these requirements.
Felicia is also in favor of strict employee oversight. In addition to protecting the inventory, she wants to
prevent mistakes during transactions, which will require video monitoring. She also wants to regularly check
the company vehicle’s GPS for locations visited by employees. She also believes that employees who use their
own devices for work-related purposes should agree to a certain amount of supervision.
Given her high standards, Felicia is skeptical about the proposed location of the store. She has been told that
many types of background checks are not allowed under California law. Her friend Celeste thinks these
worries are unfounded, as long as applicants verbally agree to the checks and are offered access to the results.
Nor does Celeste share Felicia’s concern about state breach notification laws, which, she claims, would be
costly to implement even on a minor scale. Celeste believes that
even if the business grows a customer database of a few thousand, it’s unlikely that a state agency would
hassle an honest business if an accidental security incident were to occur.
In any case, Celeste feels that all they need is common sense – like remembering to tear up sensitive
documents before throwing them in the recycling bin. Felicia hopes that she’s right, and that all of her
concerns will be put to rest next month when their new business consultant (who is also a privacy
professional) arrives from North Carolina.
Based on Felicia’s Bring Your Own Device (BYOD) plan, the business consultant will most likely advise
Felicia and Celeste to do what?


Answer: D
Question 2

What privacy concept grants a consumer the right to view and correct errors on his or her credit report?


Answer: B
Question 3

SCENARIO
Please use the following to answer the next QUESTION:
You are the chief privacy officer at HealthCo, a major hospital in a large U.S. city in state A. HealthCo is a
HIPAA-covered entity that provides healthcare services to more than 100,000 patients. A third-party cloud
computing service provider, CloudHealth, stores and manages the electronic protected health information
(ePHI) of these individuals on behalf of HealthCo. CloudHealth stores the data in state B. As part of
HealthCo’s business associate agreement (BAA) with CloudHealth, HealthCo requires CloudHealth to
implement security
measures, including industry standard encryption practices, to adequately protect the data. However, HealthCo
did not perform due diligence on CloudHealth before entering the contract, and has not conducted audits of
CloudHealth’s security measures.
A CloudHealth employee has recently become the victim of a phishing attack. When the employee
unintentionally clicked on a link from a suspicious email, the PHI of more than 10,000 HealthCo patients was
compromised. It has since been published online. The HealthCo cybersecurity team quickly identifies the
perpetrator as a known hacker who has launched similar attacks on other hospitals – ones that exposed the PHI
of public figures including celebrities and politicians.
During the course of its investigation, HealthCo discovers that CloudHealth has not encrypted the PHI in
accordance with the terms of its contract. In addition, CloudHealth has not provided privacy or security
training to its employees. Law enforcement has requested that HealthCo provide its investigative report of the
breach and a copy of the PHI of the individuals affected.
A patient affected by the breach then sues HealthCo, claiming that the company did not adequately protect the
individual’s ePHI, and that he has suffered substantial harm as a result of the exposed data. The patient’s
attorney has submitted a discovery request for the ePHI exposed in the breach.
What is the most significant reason that the U.S. Department of Health and Human Services (HHS) might
impose a penalty on HealthCo?


Answer: B
Question 4

Under the Fair and Accurate Credit Transactions Act (FACTA), what is the most appropriate action for a car dealer holding a paper folder of customer credit reports? 


Answer: C
Question 5

Which entities must comply with the Telemarketing Sales Rule? 


Answer: D
Page:    1 / 31      
Total 152 Questions | Updated On: Feb 04, 2025
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