The Personal Information Protection Commission (PIPC) will begin implementing a risk-based inspection system in the second half of 2026, focusing on the risk levels associated with personal data breaches. This initiative aims to transition from a reactive enforcement approach to a preventive management system, responding to the increasing complexity of data processing due to the rise of artificial intelligence (AI) and cloud services.
On May 22, the PIPC announced its "Preventive Personal Information Management System Transition Plan" during a meeting of economic ministers, following a report to the Cabinet on May 12.
Chairperson Song Kyung-hee has emphasized the limitations of solely relying on post-incident penalties since taking office, advocating for the establishment of a proactive personal data protection framework.
The PIPC will categorize data processing entities into high, medium, and low-risk groups based on the scale and sensitivity of the data they handle, as well as industry characteristics. Sectors dealing with large volumes of personal or sensitive information, such as platforms, financial institutions, public agencies, edtech, and nursing homes, will be classified as high-risk and subject to regular and ad-hoc inspections.
For high-risk groups, the PIPC plans to disclose inspection criteria in advance and focus on evaluating internal controls and safety measures. Conversely, lower-risk sectors will be managed through encouraging compliance with personal data impact assessments and the principle of Privacy by Design (PbD).
The government will also develop a "basic risk map" to analyze the current state of personal data processing and associated risks. This map will guide the selection of inspection targets, and a cross-government policy consultation body will be established in collaboration with key ministries. A joint public-private early warning system for personal data threats will also be activated.
In September, coinciding with the implementation of the Chief Privacy Officer (CPO) designation reporting system, the PIPC will establish a hotline between the CPO council and industry associations. This will facilitate the rapid sharing of information on the latest hacking and data breach threats, enabling proactive responses to similar incidents.
Management oversight will also expand to new technology sectors. The PIPC plans to conduct preemptive checks on potential privacy concerns related to Internet of Things (IoT) devices and AI agents, aiming to reduce gaps in personal data protection.
The institutionalization of the Privacy by Design (PbD) framework will be pursued, ensuring that privacy features are integrated from the planning, design, and development stages of services, along with the dissemination of related guidelines and best practices. The existing ISMS-P certification standards will also incorporate PbD principles.
The PIPC will encourage companies to increase their voluntary investment in data protection. Through information security disclosures, the PIPC will expand the public reporting of additional protective measures and internal control operations, offering incentives such as reduced penalties for companies demonstrating effective protective actions.
Additionally, management will be strengthened across the supply chain, including Software as a Service (SaaS), cloud services, and specialized contractors. Research and development of privacy-enhancing technologies (PET) to prevent data breaches and misuse, as well as the training of specialized personnel, will also be promoted.
* This article has been translated by AI.
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