Protect sensitive information and meet regulatory requirements with our free Data Classification Policy template.
This document helps companies categorize data based on sensitivity and apply the right safeguards to reduce risk, maintain compliance, and protect customer trust.

Like our Compliance Policy and Information Security Policy, this data classification policy for companies is easy to adapt and free to download. No sign-up or email address gate or other trickery involved.


What is a Data Classification Policy?

A data classification policy is a framework that defines how company data should be categorized and protected based on its sensitivity, business value, and regulatory requirements. It ensures that the right security controls are applied to the right types of data.

This type of policy is essential for companies that want to:

  • Protect sensitive customer, employee, and business data
  • Comply with data protection regulations (e.g., GDPR, HIPAA, PCI DSS)
  • Reduce risks of data breaches and unauthorized access
  • Provide clear guidance to employees on handling information
  • Build customer trust through responsible data practices

What’s Inside the Data Classification Policy Template?

Our free data classification policy template includes all the essential sections your organization needs:

  • Purpose – Why data classification is important
  • Scope – Who and what the policy applies to
  • Data Classification Levels – Public, Internal Use Only, Confidential, and Restricted
  • Roles and Responsibilities – Data owners, employees, IT/security teams, and compliance roles
  • Data Handling Requirements – Rules for storing, sharing, and transmitting each classification level
  • Data Storage and Retention – Secure storage, retention schedules, and disposal methods
  • Compliance and Monitoring – Audits, reporting obligations, and enforcement
  • Policy Review and Updates – Ensuring alignment with evolving regulations and business needs

This makes it a comprehensive data classification policy example for companies to adopt and tailor.


Why Your Company Needs a Data Classification Policy

A strong data classification policy for companies helps:

  • Ensure data is handled securely and appropriately across its lifecycle
  • Meet regulatory and contractual obligations
  • Limit access to sensitive or restricted data to only authorized personnel
  • Prevent accidental leaks or mishandling of information
  • Provide employees with clear, practical guidance on data protection

Without this policy, organizations risk compliance failures, reputational harm, and significant costs from data breaches.


Free Data Classification Policy Template Download

Download our free data classification policy template and tailor it to your business needs. It’s a simple, effective way to safeguard company and customer data.

👉 Download the Data Classification Policy Template Free

💡 Want more GRC insights?

Follow Kordon – the straightforward GRC platform on LinkedIn for ongoing updates, policy releases, and expert guidance.

Explore more free and customizable policy templates for companies.

Need a straightforward tool to manage policies and build out the processes and controls based on these policies? Try Kordon for free!

If you have any questions, feel free to reach out to our founders via LinkedIn, email us or leave a comment in any of the shared templates.

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