There are numerous advantages to cloud computing. Backing up important data makes it readily available to everyone in your company and frees up space on your servers. You probably have many concerns about cloud security and might be wondering if cloud security will protect your client’s data and comply with HIPAA, PCI or Sarbanes-Oxley regulations.

Do cloud storage solutions follow these regulations? Are they required to? If they haven’t spelled it out in their privacy policies, it is safest to assume they are not compliant. We’ll explore this more below.

Compliance

Cloud security has become an important issue recently, as increasing numbers of companies turn to online storage solutions, seeking greater simplicity, scalability and affordability. However the cost in both money and reputation for poor handling of customer data can be extremely high indeed. If your business needs to comply to key regulations associated with patient privacy (HIPAA), credit card security (PCI) or the finance-sector strictures of Sarbanes-Oxley, it can be difficult to find out if a service complies with these important restrictions.

Who is responsible

Who’s shoulders does the responsibility fall on? There’s no law requiring that cloud service providers disclose the degree of security they maintain. While they probably do have a respectable amount of safety protocols set up, the safest option is to take their privacy policy at face value. In this case, if you wish to stay in compliance with HIPAA, PCI or Sarbanes-Oxley, cloud computing may not be for you. That said, if your industry doesn’t require tight regulations, then you might take advantage of the benefits cloud-computing offers. 

In the end, as cloud computing service providers are not required by law to be transparent about their security, the responsibility rests in your hands. If you choose to use the cloud, it’s your responsibility to pick a service provider you trust. Weigh the advantages and disadvantages and make the best decision for your business.