Current through Register Vol. XLI, No. 38, September 20, 2024
6.1. If a licensee is required to provide an
opt-out notice under subsection 9.1, it shall provide a clear and conspicuous notice
to each of its consumers that accurately explains the right to opt out under that
section. The notice shall state:
a. That the
licensee discloses or reserves the right to disclose nonpublic personal financial
information about its consumer to a nonaffiliated third party;
b. That the consumer has the right to opt out of
that disclosure; and
c. A reasonable
means by which the consumer may exercise the opt-out right.
6.2. A licensee provides adequate notice that the
consumer can opt out of the disclosure of nonpublic personal financial information
to a nonaffiliated third party if the licensee:
a.
Identifies all of the categories of nonpublic personal financial information that it
discloses or reserves the right to disclose, and all of the categories of
nonaffiliated third parties to which the licensee discloses the information, as
described in subdivisions b and c of subsection 5.1, and states that the consumer
can opt out of the disclosure of that information; and
b. Identifies the insurance products or services
that the consumer obtains from the licensee, either singly or jointly, to which the
opt-out direction would apply.
6.3. A licensee provides a reasonable means to
exercise an opt-out right if it:
a. Designates
check-off boxes in a prominent position on the relevant forms with the opt-out
notice;
b. Includes a reply form
together with the opt-out notice;
c.
Provides an electronic means to opt out, such as a form that can be sent via
electronic mail or a process at the licensee's web site, if the consumer agrees to
the electronic delivery of information; or
d. Provides a toll-free telephone number that
consumers may call to opt out.
6.4. A licensee does not provide a reasonable
means of opting out if:
a. The only means of opting
out is for the consumer to write his or her own letter to exercise that opt-out
right; or
b. The only means of opting
out as described in any notice subsequent to the initial notice is to use a
check-off box that the licensee provided with the initial notice but did not include
with the subsequent notice.
6.5. A licensee may require each consumer to opt
out through a specific means, as long as that means is reasonable for that
consumer.
6.6. A licensee may provide
the opt-out notice together with or on the same written or electronic form as the
initial notice the licensee provides in accordance with section 3.
6.7. If a licensee provides the opt-out notice
later than required for the initial notice in accordance with section 3, the
licensee shall also include a copy of the initial notice with the opt-out notice in
writing or, if the consumer agrees, electronically.
6.8. If two (2) or more consumers jointly obtain
an insurance product or service from a licensee, the licensee may provide a single
opt-out notice. The licensee's opt-out notice shall explain how the licensee will
treat an opt-out direction by a joint consumer (as explained in subdivision d of
this subsection).
a. The licensee may either:
1. Treat an opt-out direction by a joint consumer
as applying to all of the associated joint consumers; or
2. Permit each joint consumer to opt out
separately.
b. If a licensee
permits each joint consumer to opt out separately, the licensee shall permit one of
the joint consumers to opt out on behalf of all of the joint consumers.
c. A licensee may not require all joint consumers
to opt out before it implements any opt-out direction.
d. Example: If John and Mary are both named
policyholders on a homeowner's insurance policy issued by a licensee, and the
licensee sends policy statements to John's address, the licensee may do any of the
following, but it shall explain in its opt-out notice which opt-out policy the
licensee will follow:
1. Send a single opt-out
notice to John's address, but the licensee will accept an opt-out direction from
either John or Mary.
2. Treat an opt-out
direction by either John or Mary as applying to the entire policy. If the licensee
does so and John opts out, the licensee may not require Mary to opt out as well
before implementing John's opt-out direction.
3. Permit John and Mary to make different opt-out
directions. If the licensee does so:
A. It shall
permit John and Mary to opt out for each other;
B. If both opt out, the licensee shall permit both
of them to notify it in a single response (such as on a form or through a telephone
call); and
C. If John opts out and Mary
does not, the licensee may only disclose nonpublic personal financial information
about Mary, but not about John and not about John and Mary jointly.
6.9. A licensee
shall comply with a consumer's opt-out direction as soon as reasonably practicable
after the licensee receives it.
6.10. A
consumer may exercise the right to opt out at any time.
6.11. A consumer's direction to opt out under this
section is effective until the consumer revokes it in writing or, if the consumer
agrees, electronically.
a. When a customer
relationship terminates, the customer's opt-out direction continues to apply to the
nonpublic personal financial information that the licensee collected during or
related to that relationship. If the individual subsequently establishes a new
customer relationship with the licensee, the opt-out direction that applied to the
former relationship does not apply to the new relationship.
6.12. When a licensee is required to deliver an
opt-out notice under this section, the licensee shall deliver it according to
section 8.
