Ready-to-Use Privacy Policy Language for AI-Powered Services
This template provides a customisable clause that businesses can insert directly into their existing privacy policies when deploying AI-powered tools or services. It addresses key transparency requirements under Singapore's PDPA and emerging AI governance frameworks, covering disclosure obligations, data subject rights, and human oversight commitments.
[Organisation Name] uses artificial intelligence and machine learning technologies to [describe purpose, e.g., "enhance our services, personalise user experiences, and improve operational efficiency"]. This section explains how AI is used in connection with your personal data.
Our AI systems may process the following categories of personal data as inputs: [list applicable types, e.g., "contact information, usage patterns, transaction history, service preferences, and communications with our support channels"]. This data is used to [describe outputs, e.g., "generate recommendations, assess service eligibility, and provide automated responses to enquiries"].
Certain decisions that may affect you are made with the assistance of automated processing, including [describe, e.g., "service recommendations, eligibility assessments, and risk evaluations"]. Where automated processing produces a decision with significant impact on you, we will inform you at the point of interaction and provide an explanation of the logic involved.
We maintain meaningful human oversight over AI-assisted decisions. [Describe commitment, e.g., "No solely automated decision with significant legal or similarly substantial effect will be made without review by a qualified member of our team. Our staff are trained to evaluate and, where necessary, override AI-generated outputs."]
You have the right to opt out of AI-based processing of your personal data. To exercise this right, contact our Data Protection Officer at [DPO email/contact]. Upon receiving your request, we will [describe process, e.g., "cease AI processing of your data within 30 business days and provide alternative non-automated means of service delivery where reasonably practicable"]. Please note that opting out may affect the availability or functionality of certain features.
Section 1: Purpose: Be specific about which services use AI. Vague language weakens transparency.
Section 2: Data Inputs: Audit your AI systems and list every category of personal data that is fed into them. Include data collected indirectly (e.g., behavioural analytics).
Section 3: Automated Decisions: Identify all decisions where AI output directly influences the outcome. If no significant automated decisions are made, state this clearly.
Section 4: Human Oversight: Describe your actual review process. Specify who reviews AI outputs and under what circumstances escalation occurs.
Section 5: Opt-Out: Ensure the opt-out mechanism is practical. Provide a clear contact method and set a realistic processing timeline.
Insert this clause into your privacy policy if your organisation uses AI in any of the following scenarios:
AI governance is not something DataCare Solutions sells as a separate service. Our free AI governance guide covers how to classify AI use, run vendor due diligence, disclose AI involvement and keep an inventory. This clause is one of four templates that accompany it.
DataCare Solutions Pte. Ltd.
Website: www.datacaresolutions.biz
Email: info@datacaresolutions.biz
The guide and its templates cover:
Document Version: 1.0 | Last Updated: February 2026
Prepared by: DataCare Solutions Pte. Ltd.
© 2026 DataCare Solutions Pte. Ltd. All rights reserved.
This template is for informational purposes only and does not constitute legal advice.