Privacy policies are specifically tailored legal disclosures to your website visitors. They detail how you collect, store, and process their data, whether you share that data with third parties, how to control their individual data, and how to get in touch with your website or company if they believe there has been a violation.
The definition of personal data can vary between territories, but it’s typically any information that is capable of being associated with a person, either on its own or in combination with other data. Even tracking cookies can collect data which, if used in concert with other information, can personally identify someone. Sensitive personal data is even more highly protected; it can include financial details, biometric data, and information about minors.
Ultimately, the goal is to give consumers control over how and when their personal information is used. Your job as a business or website is to strike the right legal balance between compliance with global data privacy laws, versus getting important business information from your visitors, users, or customers.