Effective logging in Guidewire InsuranceSuite is a balance between providing enough information for troubleshooting and maintaining system security and performance. Two of the most critical best practices involveData PrivacyandDiagnostic Context.

First,Masking PII(Option A) is a non-negotiable requirement for modern insurance applications, especially those running on the Guidewire Cloud Platform. Personally Identifiable Information, such as social security numbers, credit card details, or even specific personal names and addresses, must never appear as clear text in the application logs. Logs are often aggregated into secondary systems (like Datadog or CloudWatch) and viewed by a wide range of support personnel. If PII is not masked or removed before logging, the company risks failing compliance audits (GDPR, HIPAA, etc.) and exposing sensitive data.

Second, developers should strive tolog all information necessary to diagnose the transaction(Option D). This means providing context, such as a PublicID, a specific TransactionID, or the state of an object at the time of an error. Without this context, log entries like "Error processing claim" are useless for troubleshooting. The goal is to provide enough detail so that a developer can understand the failure path without needing to step through the code in a debugger.

Other options are incorrect because they represent poor operational or performance choices. Setting the level to "debug" in production (Option C) can lead to severe performance degradation due to high I/O. While "info" (Option B) is a common default, it is not a "best practice" in the same functional sense as security and diagnosis. Finally, "logging every transaction" (Option E) is not the purpose of application logs; audit trails should be handled via the system's built-inHistoryorEvent Messagingtables, not the text-based log files, to avoid overwhelming the storage and performance of the application.