security questionnaire
Definition
A security questionnaire is a detailed list of questions that one business sends to another to assess how well that company protects sensitive data and digital systems before entering into a contract or sharing information. Companies use these to make sure a vendor or partner meets their security standards and won't accidentally expose their customers' data or business secrets.
Example
If you want to become a software vendor for a large hospital, the hospital will likely send you a security questionnaire asking how you store patient data, who has access to it, and what happens if your systems get hacked.
Watch Out
Your answers on a security questionnaire can become part of your contract, meaning if you overstate your security practices and a breach occurs, you could face serious legal liability.
See which terms appear in your contract?
This definition is for informational purposes only and does not constitute legal advice. Please consult with a licensed attorney for legal guidance.