Creating and Configuring Sensitivity Labels and Policies in Microsoft 365

Question 1

What are sensitivity labels used for?

Answer 1

Sensitivity labels are used to classify and protect data based on its sensitivity level within an organization.

Question 2

Where are sensitivity labels stored?

Answer 2

Sensitivity labels are stored in the meta-data of files and emails.

Question 3

Can third-party apps and services read sensitivity labels?

Answer 3

Yes, third-party apps and services can read sensitivity labels and may apply their own protective actions based on the defined labels.

Question 4

What settings can be defined in a sensitivity label?

Answer 4

Sensitivity labels can define the name, description, color, and protection settings such as encryption, access restrictions, and watermarks.

Question 5

How are sensitivity labels enforced?

Answer 5

Sensitivity labels are enforced through label policies, which specify where the label can be applied and the actions to be enforced, such as encryption, visual markings, access restrictions, or data loss prevention (DLP) policies.

Question 6

What is the purpose of a label policy?

Answer 6

A label policy defines the rules and behaviors associated with a sensitivity label, specifying its enforcement and protection settings across different locations in the organization.