Current through Register Vol. 46, No. 12, March 20, 2024
(a) How to provide
notices. A licensee shall provide any notices that this Part requires so that
each consumer can reasonably be expected to receive actual notice in writing
or, if the consumer agrees, electronically. A licensee may provide any and all
privacy and opt out notices, including short-form initial notices through an
affiliate or agent, but remains responsible for compliance with this
Part.
(b)
(1) Examples of reasonable expectation of
actual notice. A licensee may reasonably expect that a consumer will receive
actual notice if the licensee:
(i)
hand-delivers a printed copy of the notice to the consumer;
(ii) mails a printed copy of the notice to
the last known address of the consumer separately, or in a policy, billing or
other written communication;
(iii)
for a consumer who conducts transactions electronically, clearly and
conspicuously posts the notice on the electronic site and requires the consumer
to acknowledge receipt of the notice as a necessary step to obtaining a
particular insurance product or service;
(iv) for the consumer who consents to
receiving such notices electronically, electronically mails a copy of the
notice, return receipt, to the consumer's electronic mail address; or
(v) for an isolated transaction with a
consumer, such as the licensee providing an insurance quote or selling the
consumer travel insurance, provides or posts the notice and requires the
consumer to acknowledge receipt of the notice as a necessary step to obtaining
the particular insurance product or service.
(2) Examples of unreasonable expectation of
actual notice. A licensee may not, however, reasonably expect that a consumer
will receive actual notice of the licensee's privacy policies and practices if
the licensee:
(i) only posts a sign in its
office or generally publishes advertisements of its privacy policies and
practices; or
(ii) sends the notice
via electronic mail to a consumer who does not obtain an insurance product or
service from the licensee electronically.
(c) Annual notices only. A licensee may also
reasonably expect that a customer will receive actual notice of the licensee's
annual privacy notice if:
(1) the customer
uses the licensee's web site to access insurance products and services
electronically and agrees to receive notices at the web site, and the licensee
posts its current privacy notice continuously in a clear and conspicuous manner
on the web site; or
(2) the
customer has requested that the licensee refrain from sending any information
regarding the customer relationship, and the licensee's current privacy notice
remains available to the customer upon request.
(d) Oral description of notice insufficient.
A licensee may not provide any notice required by this Part solely by orally
explaining the notice, either in person or over the telephone.
(e) Retention or accessibility of notices for
customers.
(1) For customers only, a licensee
shall provide the initial notice required by section
420.4(a)(1)
of this Part, the annual notice required by section
420.5(a)
of this Part, and the revised notice required by section
420.8 of
this Part so that the customer can retain them or obtain them later in writing
or, if the customer agrees, electronically.
(2) Examples of retention or accessibility.
The licensee provides a privacy notice to the customer so that the customer can
retain it or obtain it later if the licensee:
(i) hand-delivers a printed copy of the
notice to the customer;
(ii) mails
a printed copy of the notice to the last known address of the customer;
or
(iii) makes the licensee's
current privacy notice available on a web site (or a link to another web site)
for the customer who obtains an insurance product or service electronically and
agrees to receive the notice at the web site.
(f) Joint notice with other financial
institutions. A licensee may provide a joint notice from the licensee and one
or more of the licensee's affiliates or other financial institutions, as
identified in the notice, as long as the notice is accurate with respect to
both the licensee and the other institutions. A licensee may also provide a
notice on behalf of another financial institution.
(g) Treatment of invalid addresses. A
licensee is not required to provide initial, annual and revised notices to a
consumer or a customer if the consumer's or the customer's last known address,
according to the licensee's records, is deemed invalid. An address of record is
deemed invalid if mail sent to that address has been returned by the postal
authorities as undeliverable and if subsequent reasonable attempts to obtain a
current valid address for the consumer or the customer have been
unsuccessful.
(h) Joint
relationships. If two or more consumers jointly obtain an insurance product or
service from a licensee, the licensee may satisfy the initial, annual and
revised notice requirements of sections
420.4(a),
420.5(a)
and
420.8(a)
of this Part, respectively, by providing one notice to those consumers
jointly.
