Question 1 of 30
In a software development project for a healthcare application, the team is tasked with implementing Privacy by Design principles. They need to ensure that personal health information (PHI) is protected throughout the application lifecycle. Which approach best exemplifies the principle of Privacy by Default in this context?
Configuring the application to automatically restrict access to PHI to only those users who have a legitimate need to know, while requiring explicit consent for any data sharing outside the application.
Allowing all users to access PHI by default, but providing an option to restrict access through user settings.
Implementing a feature that anonymizes PHI only after the data has been shared with third parties.
Providing users with a comprehensive privacy policy at the time of registration, but not enforcing any restrictions on data access until the user opts in.

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