Understanding Risk Scores
Learn what risk scores mean and how CLU calculates them based on policy clauses.
CLU assigns risk scores to privacy policies and legal documents. Learn what these scores mean and how to interpret them.
Risk Score Scale
CLU uses a 0-100 point scale to assess risk:
0-25: Low Risk
- **Color**: Green
- **Meaning**: The policy is relatively straightforward and user-friendly
- **Action**: Safe to proceed. Standard terms you'd expect
26-50: Moderate Risk
- **Color**: Yellow
- **Meaning**: Some concerning clauses, but nothing unusual for the industry
- **Action**: Review the flagged sections. Consider the service's value vs. the risks
51-75: High Risk
- **Color**: Orange
- **Meaning**: Significant concerns with data handling, privacy, or terms
- **Action**: Carefully review all flagged clauses. Consider alternatives
76-100: Critical Risk
- **Color**: Red
- **Meaning**: Serious red flags about privacy, data usage, or unfavorable terms
- **Action**: Strongly reconsider using this service, or consult with a lawyer
How Scores Are Calculated
CLU analyzes the document for specific risk factors:
1. Data Collection: How much data is collected and why?
2. Data Sharing: Who else gets access to your data?
3. Data Retention: How long is your data kept?
4. User Control: Can you delete or control your data?
5. Changes: Can the company change terms without notice?
6. Liability: Who is responsible if things go wrong?
7. Jurisdiction: What laws apply to disputes?
Each factor is weighted, and the overall risk is calculated based on the combination of all factors.
What Influences Risk Scores
Increases Risk
- Data shared with third parties
- Indefinite data retention
- Vague data usage terms
- Automatic consent to changes
- Mandatory arbitration clauses
- Limited user control over data
Decreases Risk
- Clear, limited data collection
- Explicit data sharing prohibitions
- Short retention periods
- Easy data deletion options
- User notification of changes
- Clear opt-out options
- Transparent privacy practices
Important Notes
Risk ≠Don't Use
A high risk score doesn't mean you shouldn't use a service. It means you should carefully review the terms and understand the risks. Many services have high-risk terms but provide valuable functionality.
Comparative Risk
Scores are more useful for comparison. Compare the risk scores of similar services to see which has better privacy practices.
CLU is Not Legal Advice
Risk scores are informational assessments based on policy analysis. They are not legal advice. Always consult with a qualified attorney for legal interpretation.
Context Matters
The same clause means different things in different contexts. A data retention clause in a fitness app has different implications than in a financial services app.
FAQ
Q: What if I don't agree with the risk score?
A: Risk scores are AI-generated assessments. If you disagree, review the evidence quotes provided and make your own judgment.
Q: Can scores change?
A: Yes, if you analyze the document with different AI models or if the document is updated, scores may vary slightly.
Q: Should I avoid high-risk services?
A: Not necessarily. Evaluate based on the service's value to you and your personal risk tolerance.
Next Steps
- [Understanding Evidence Quotes](/help-center/understanding-evidence-quotes)
- [Common Legal Terms](/help-center/common-legal-terms)
- [Privacy and Data Handling](/help-center/privacy-data-handling)
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