{The California Assembly Banking and Finance Committee held a hearing regarding Assembly Bill 21 on Monday, April 16, 2001. Assembly Bill 21 is a privacy bill, which would establish a general “opt-out” rule for disclosing consumer financial information. The National Association of Independent Insurers (NAII) is opposed to the bill because of its threat to undermine California’s current insurance privacy law, which has provided sound consumer protection for two decades.
Assembly Bill 21 also potentially conflicts with the insurance commissioner’s authority to regulate insurers’ information practices. The bill’s opt-out procedure, which would apply to the sharing of information with affiliates, is also preempted by the federal Fair Credit Reporting Act prohibiting restriction of exchanging information among affiliates until 2004. In addition to the NAII, the California Department of Insurance and banks provided testimony opposing the bill. The Assembly Banking and Finance committee voted 7-2 to hold the bill, which means the bill may be up for considered again on April 30 when another privacy bill, Assembly Bill 203, is also scheduled to be heard. Body copy}
Topics California
Was this article valuable?
Here are more articles you may enjoy.
Florida Jury Returns $779M Verdict for Family of Security Guard Killed at Gambling Cafe 
Zillow Deleting Home Climate Risk Scores Reveals Limits of Flood, Fire Data 
Trump to Issue Order Creating National AI Rule 
State Farm Sued Over Policies Backed by Distressed Insurer PHL 
