A privacy policy is a legal document that outlines how a company or organization collects, uses, protects, and manages personal data obtained from users. It typically includes details on the types of data collected, the purposes for which it is used, how it is shared with third parties, and the rights users have over their data, such as the ability to access, correct, or delete it. Privacy policies are essential for transparency and compliance with data protection laws, helping users understand and trust how their information is handled.