Call center compliance

First things first: A simple call center compliance definition

Call center compliance refers to the rigorous adherence to rules, regulations, and standards that are put in place to ensure fair practices, data security, and customer protection in a call center environment. These regulations, which vary from country to country, are typically established by governing bodies and entities like the Federal Trade Commission (FTC) and the Federal Communications Commission (FCC).

Why is compliance important in a call center?

Compliance with these laws is crucial for call centers and contact centers because if they fall short, their businesses face severe consequences like substantial fines and significant damage to a company's brand and reputation. For example, if a call center doesn’t follow FTC guidelines and makes sales calls to consumers who are on the National Do Not Call Registry, the business can be fined over $40,000.

Call center compliance checklist: General tips and strategies to stay compliant

Now, let's look at some tasks to consider adding to your call center compliance checklist. You won't necessarily need all of these, depending on your industry and company, but you should at the very least be aware of them.

1. Regulatory compliance:

• Verify that your organization is aware of and compliant with relevant laws and regulations, such as GDPR, TCPA, HIPAA, etc.

• Regularly review and update compliance policies and procedures to reflect any changes in regulations.

2. Agent training:

• Provide comprehensive training to call center staff about compliance regulations, guidelines, and company policies.

• Ensure new employees receive proper compliance training during their onboarding process.

• Conduct regular refresher training sessions to reinforce compliance awareness.

3. Caller identification:

• Implement caller ID systems to display accurate caller information to agents.

• Integrating your CRM with your customer engagement or contact center solution will automatically pull up customer information when they call so that agents have that information right at their fingertips.

4. Do-Not-Call (DNC) Lists:

• Maintain and regularly update internal DNC lists to ensure calls are not made to numbers on the list.

• Train agents to promptly identify and honor DNC requests from customers.

5. Consent and opt-in:

• Ensure that calls are only made to customers who have provided explicit consent or opt-in for receiving calls.

• Maintain records of consent and opt-in requests.

• Know which states are two-party vs. one-party consent states.

6. Recording and documentation:

• Inform callers that the call may be recorded for quality and training purposes.

• Store call recordings and related data securely, following data retention policies.

7. Script compliance:

• Develop call scripts and playbooks that adhere to compliance regulations, avoiding misleading or deceptive language.

• Regularly review and update call scripts to align with changing regulations and best practices.

8. Data security:

• Implement robust data security measures to protect customer information.

• Encrypt sensitive data, both during storage and transmission.

9. Monitoring and quality assurance:

• Implement a process for monitoring and evaluating calls to ensure compliance with regulations and company policies.

• Provide feedback and coaching to agents based on quality assurance evaluations.

10. Reporting and documentation:

• Maintain thorough records of compliance efforts, including call logs, consent records, training records, and so on.

• Be prepared to provide documentation to regulatory authorities upon request.

Common call center regulatory compliance requirements to be aware of

Now, let’s look at some common call center and contact center compliance requirements that businesses have to keep in mind, and tips for how to stay compliant with each one.

1. Call recording or monitoring consent

Did you know that both federal and most state laws require that at least one person on a call knows and agrees that the conversation is being recorded? In some states, every party on the call needs to be informed too. Since contact centers often handle calls from different regions, when in doubt, it's a good idea to follow the strictest rules (just as a rule of thumb) to make sure your contact center is fully compliant.

How to keep your contact center compliant:

For incoming calls, this means letting all callers know before they talk to an agent that the call may be recorded. And for outgoing calls, the agent should include the required notification that the call is being recorded in their script. By doing this, you'll ensure you're meeting the legal requirements and keeping things above board with your customers.

With Dialpad’s AI contact center solution, for instance, you can easily set up automated call recording notifications (so that agents don’t have to remember to tell the customer the call is being recorded, every single time), and even set up exception lists so that calls get excluded from being automatically recorded:

2. HIPAA

If you work in healthcare, then you’re probably already aware of HIPAA compliance.

The HIPAA act applies to any contact centers and businesses that store personally identifiable health information.

How to keep your contact center compliant:

As a starting point, you have to protect any personal health information (which patients are likely sharing with you every day) and equally importantly, prevent it from being shared with other parties. On top of this, the software that your teams use also has to help you stay HIPAA-compliant!

If your practice or clinic is looking at a new communications solution or phone system, learn more about how to choose a HIPAA-compliant VoIP system.

3. PCI DSS

Back in 2006, five major credit card companies got together and created something called the Payment Card Industry Data Security Standard (PCI DSS).

This set of rules is for contact centers that want to be able to accept credit card payments, and tells them what they need to do to keep the data safe—for example, how it should be stored and handled.

If you run a contact center that takes payments over the phone, you have to follow the PCI-DSS standards.

How to keep your contact center compliant:

To achieve PCI DSS compliance, a contact center has to do quite a few things. For example, you can start by establishing a secure network with firewalls and encryption for customers’ credit card data. Your agents need regular training on security protocols, and you should have an incident response plan in place to handle any breaches. (Better to be safe than sorry.)

4. GDPR

If you operate in the EU, or have customers in the EU, you need to adhere to GDPR, or The General Data Protection Regulation. It applies to any contact center or business that collects and keeps data from people living in the EU, even if the business isn't in Europe.

The main idea behind GDPR is to give consumers more control over their personal information. This means that under the GDPR, people can ask for all the data that a company has about them—and even request that it be deleted.

How to keep your contact center compliant:

To stay compliant, businesses need to have a system in place to give people their data when asked and more importantly, be able to erase it promptly if they ask you to.

5. TCPA regulations

The TCPA, or Telephone Consumer Protection Act, was put in place to limit phone solicitations and the use of automated phone systems (i.e. spam calls). To avoid legal issues, businesses must follow some important TCPA compliance rules.

How to keep your contact center compliant:

There are obviously many businesses and contact centers who don’t follow TCPA, and even though they may be getting away with it, it’s probably best that you don’t risk it. A few things you can do: regularly update your "Do-Not-Call" list to ensure that customers who’ve opted out of getting marketing calls or emails are not contacted; call leads or prospects only during reasonable hours, (usually between 8 am and 9 pm local time for the person you’re calling); and regularly audit your agents’ compliance and calling practices to confirm that they’re following TCPA rules.

6. Medicare regulations

This one is for any insurance contact centers: The CMS, or Centers for Medicare and Medicaid Services, also recently announced extra regulations for Medicare Advantage (MA) sales agents. Specifically, they now need to record their sales calls, and at the beginning of each call, the agent has to give a standard disclaimer about the services available.

How to keep your contact center compliant:

Make sure your contact center solution comes with an option to record all calls (this can help cut down on human error and agents forgetting to hit record) and play an automated disclaimer. If there isn’t an option to record an automated disclaimer, then a call pop or some kind of live AI-powered playbook feature that can pop up on the agent’s screen to remind them of what to say would be helpful.

Common call center compliance issues and threats + how to overcome them

Call center compliance issues and threats can vary based on regulations, industry, and other factors. Here are some common issues and threats along with ways to overcome them.

1. Do-Not-Call (DNC) violations

• Issue: Accidentally contacting prospects or leads who are on the DNC list or who haven't given explicit consent or opt-in for contact.

• Solution: Maintain an updated DNC list and regularly scrub your calling list against it. Implement automated systems to block calls to numbers on the DNC list. Provide comprehensive training to agents on identifying and honoring DNC requests. and keep updated records of consent or opt-in requests. Use double opt-in methods where appropriate.

2. Keeping up with regulations

• Issue: Falling behind on understanding and implementing new compliance regulations.

• Solution: Make sure agents stay informed about the latest regulatory changes that impact your industry. Engage legal experts or consultants to help interpret and implement complex regulations effectively.

3. Data privacy and security

• Issue: Mishandling customer data, leading to privacy breaches.

• Solution: Implement robust data security measures, including encryption of sensitive data, regular security audits, and employee training on data handling practices. Follow industry-specific data privacy regulations.

4. Call recording and consent

• Issue: Recording calls without informing callers or obtaining consent where required.

• Solution: Inform callers that the call may be recorded at the beginning of the conversation. Obtain explicit consent if necessary. Store call recordings securely and ensure they are accessible only to authorized personnel.

5. Script adherence

• Issue: Agents deviating from approved scripts, using inappropriate language, or failing to follow compliance guidelines.

• Solution: Provide comprehensive training to agents on script adherence, professionalism, and compliance guidelines. Monitor and evaluate calls for adherence and provide feedback and coaching.

6. Outsourcing risks

• Issue: Third-party call centers not adhering to compliance guidelines.

• Solution: Thoroughly vet and choose reliable and compliant outsourcing partners. Clearly communicate your compliance requirements and expectations. Regularly monitor their performance and compliance practices.

To overcome these compliance issues and threats, it's crucial to have a proactive approach. Invest in comprehensive training for agents, establish clear policies and procedures, look for ways to automate compliance checks, and regularly audit and monitor your practices to ensure ongoing compliance with your industry's regulations and best practices.

The right software can help you stay on top of call center compliance

Whether you manage a sales call center, a healthcare contact center, or any other team of agents, there are general contact center regulations that you have to adhere to. (In some highly regulated industries, like insurance and financial services, there will be even more industry-specific compliance requirements.)

Besides training your agents well, the best thing you can do for your business is to make sure the tools you’re using come with features that help you stay compliant.

Dialpad, for example, comes with: call recording notifications that you can customize easily from your dashboard; call center AI that automatically pops up reminders for agents if there are guidelines they have to follow; and other AI features that help supervisors with coaching and contact center coaching quality assurance. See how it works now!