What Type of Companies Need Paper Shredding Services and Why

Do you handle your paper shredding in-house? If you do, you might be wondering if you should be researching paper shredding services as a more secure and efficient alternative. 

At Gilmore Services, we get a lot of inquiries from business owners who want to know what type of companies need paper shredding services and the costs. It’s understandable to want to save money where it’s possible, but the truth is that not hiring a paper shredding service could cost you in the long run.

With that in mind, here are a few of the kinds of companies that should be working with paper shredding services.

Healthcare Providers and Companies Bound by HIPAA Regulations

If you’re a healthcare provider or store any information related to people’s personal health, then you must adhere to HIPAA regulations about the storage, protection, and destruction of those records. If you don’t, you could be subject to fines and other penalties.

For that reason, any company that stores protected health information (PHI) must have guidelines in place for the proper destruction of both paper and electronic records. 

Partnering with paper shredding services will ensure that your paper records are properly destroyed and disposed of, protecting your patients from having their PHI stolen and you from paying a fine.

Companies That Store Financial Information

HIPAA isn’t the only government rule that can affect how companies dispose of documents. There are two key financial regulations that govern how companies must store and dispose of financial information, including Social Security numbers, credit card data, and other sensitive information that could be used for identity theft.

1. The Fair and Accurate Credit Transactions Act, or FACTA, requires companies that process credit card transactions to use PAN truncation and print only the last four digits of any card they charge. It also requires any company that pulls a consumer credit report for a customer to properly destroy the reports when they are no longer needed.
2. The Sarbanes-Oxley Act of 2002 put rules in place that govern corporate accounting. These include mandatory storage periods for financial data and guidelines for proper destruction.

If your company is affected by either FACTA or Sarbanes-Oxley, then it makes sense to partner with a paper shredding service to ensure that you’re properly disposing of sensitive information.

Companies with Limited Storage Space

If you’ve been storing sensitive documents in-house, it’s important to keep them in a secure area where unauthorized personnel can’t reach them. A lot of companies have limited storage and, as a result, they store documents in open, unsecured spaces.

Sound familiar? If it does, then it’s worthwhile to research paper shredding services in your area and partner with one who will work with you to securely collect and shred documents. At Gilmore Services, we provide our clients with secure bins to keep on site. We collect the bins according to their needs and shred either on or off site.

Companies That Shred Their Own Documents

There are significant risks associated with doing your own shredding. The most common risks are:

• Many small and inexpensive shredders simply cut documents into strips. It’s easy for a thief to reassemble the documents and steal sensitive information, leaving you and your clients at risk.
• DIY shredding is more expensive than it seems. It’s often less expensive, both in dollars and in employee time, to hire a professional shredding service to do it for you.
• Improper storage, as we mentioned before, can leave your documents at risk of being stolen or compromised.

Considering that data breaches cost companies billions of dollars every year, it makes sense to take precautions and leave your document destruction to an experienced shredding service.

Conclusion

The bottom line is that every company can benefit from working with paper shredding services. It’s the best way to protect your sensitive documents, adhere to regulations, and save money.

Are you in the market for a paper shredding service? Click here to learn how Gilmore Services can help!