Short answer: PII stands for “Personally Identifiable Information”. It refers to any data that can directly or indirectly identify an individual – such as a name, national ID number, or IP address. Understanding the difference between PII and other types of data is essential, because PII is subject to specific requirements under both GDPR and international data laws. If you work with personal data, you need to know what qualifies as PII – and how to protect it.
What is PII?
PII, or personally identifiable information, is a category of sensitive data that can be used to identify an individual. This includes details like a person’s name, address, date of birth, national insurance or ID number, driver’s licence number, or any other unique identifier that distinguishes one person from another. PII is considered sensitive and must be handled and protected with care.
Did you know that GDPR violations can result in fines of up to 20 million euros or 4% of the company's global annual turnover, whichever is higher
- European Commision
How PII is used
PII is used for a variety of purposes, such as:
- Identity verification: personally identifiable information is often used to verify an individual’s identity, such as when opening a bank account or applying for a loan.
- Customer service: personally identifiable information is used to provide personalised customer service, such as when an individual calls a company’s customer service line.
- Marketing: personally identifiable information can be used to target specific demographics with marketing campaigns or to conduct surveys to gather information on customer preferences.
- Fraud detection: personally identifiable information can be used to detect and prevent fraud, such as when a financial institution uses PII to flag suspicious account activity.
- Research: personally identifiable information can be used to conduct research on individuals or specific demographics.
It’s important to note that organisations must obtain consent from individuals before using their personally identifiable information for these purposes, and must comply with laws and regulations that govern the collection and use of personally identifiable information.
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Laws and regulations for PII
PII is protected by a range of data protection laws around the world. In the EU and the UK, the GDPR sets strict requirements for how PII must be collected, processed, and stored. In the United States, there is no single federal law, but sector-specific regulations such as HIPAA and CCPA apply in certain industries. Regardless of where your business operates, mishandling PII can lead to serious legal, financial, and reputational consequences—making compliance essential for anyone handling personal data.
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How to protect PII
To protect personally identifiable information, businesses must implement robust security measures. These may include encryption, firewalls, intrusion detection systems, and regular security audits. Organisations should also have clear policies and procedures in place for managing PII, such as guidelines for access control, data retention, and data destruction. In addition, clear, voluntary, and informed consent must be obtained from individuals before their PII is collected and processed—especially when dealing with sensitive information. This consent must be documented and can be withdrawn at any time.
FAQ about PII
1. Is PII the same as personal data under the GDPR?
The terms are closely related but originate from different frameworks. PII – or personally identifiable information – is commonly used in the US and international contexts, while “personal data” is the terminology used in the GDPR. In practice, both refer to data that can identify a person, but the GDPR takes a broader and more nuanced approach. So, even if you encounter the term PII, always apply GDPR principles if your business operates in Europe.
2. Is PII only something large companies need to worry about?
Not at all. Any organisation that collects, stores, or processes personal data – regardless of size – has a responsibility to protect PII. That includes the small online shop storing customer email addresses just as much as the global software company handling sensitive customer data. PII isn’t just a concern for tech giants and financial institutions – it matters to anyone working with people.
3. How do we know if we’re processing PII?
It’s not always obvious. Many organisations have PII sitting in emails, documents, cloud platforms, or internal systems without realising it. A good place to start is by mapping out what information you collect from customers, employees, and partners – and where that data is stored. If you want certainty, a tool like DataMapper can help you automatically detect and classify PII across your systems.
4. What’s the worst that could happen if we don’t protect PII properly?
The consequences can be serious. You risk data breaches, loss of customer trust, and potentially large fines from regulators. But it’s not just about penalties – it’s about responsibility. When you safeguard personal data, you show respect for individuals and build a stronger brand.
A smarter way of processing PII
Overall, PII is critical information that must be protected at all times. Organisations that handle personally identifiable information must implement robust security measures and comply with relevant laws and regulations. Additionally, they should invest in a Data Discovery tool to help them identify, manage and protect PII in a more effective way.
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Sebastian Allerelli
Founder & COO at Safe Online
Sebastian is the co-founder and COO of Safe Online, where he focuses on automating processes and developing innovative solutions within data protection and compliance. With a background from Copenhagen Business Academy and experience within identity and access management, he has a keen understanding of GDPR and data security. As a writer on Safe Online's Knowledge Hub, Sebastian shares his expertise through practical advice and in-depth analysis that help companies navigate the complex GDPR landscape. His posts combine technical insight with business understanding and provide concrete solutions for effective compliance.
