Consumer Information Notification Requirement Act

To amend the Gramm-Leach-Bliley Act to provide a national standard for financial institution data security and breach notification on behalf of all consumers, and for other purposes. 1. Short title This Act may be cited as the Consumer Information Notification Requirement Act 2. Breach notification standards Section 501 of the Gramm-Leach-Bliley Act ( 15 U.S.C. 6801 (1) in subsection (b)(3) by striking the period at the end and inserting , including through the provision of a breach notice in the event of unauthorized access that is reasonably likely to result in identity theft, fraud, or economic loss. (2) by adding at the end the following: (c) Standards with respect to breach notification Subject to section 504(a)(2) and sections 505(b) and 505(c), within 6 months after the date of enactment of this subsection, each agency or authority required to establish standards described under subsection (b)(3) with respect to the provision of a breach notice shall ensure that such standards are in compliance with subsection (b). (d) Insurance (1) Enforcement Notwithstanding section 505(a)(6), with respect to an entity engaged in providing insurance, the standards under subsection (b) shall be enforced— (A) with respect to any such standards related to data security safeguards, by— (i) the State insurance authority of the State in which the entity is domiciled; or (ii) in the case of an insurance agency or brokerage, the State insurance authority of the State in which such agency or brokerage has its principal place of business; and (B) with respect to any such standards related to notification of the breach of data security, by the State insurance authority of any State in which customers of the entity are affected by such a breach of data security. (2) Notification by assuming insurer (A) In general Notwithstanding subsection (b), an assuming insurer that experiences a breach of data security shall only be required to notify the State insurance authority of the State in which the assuming insurer is domiciled. (B) Assuming insurer defined For purposes of this paragraph, the term assuming insurer (3) Safeguards for insurance customers In carrying out subsection (b) with respect to an entity engaged in providing insurance, a State insurance authority shall establish the standards for safeguarding customer information maintained by entities engaged in activities described in section 4(k)(4)(B) of the Bank Holding Company Act of 1956 (12 U.S.C. 1843(4)(k)(4)(B)) that are the same as the standards contained in the interagency guidelines issued by the Comptroller of the Currency, the Board of Governors of the Federal Reserve Board, the Federal Deposit Insurance Corporation, and the Office of Thrift Supervision titled Interagency Guidelines Establishing Standards for Safeguarding Customer Information . 3. Preemption with respect to financial institution safeguards Section 507 of the Gramm-Leach-Bliley Act ( 15 U.S.C. 6807 507. Relation to State laws (a) In general This subtitle preempts any law, rule, regulation, requirement, standard, or other provision having the force and effect of law of any State, or political subdivision of a State, with respect to a financial institution or affiliate thereof securing personal information from unauthorized access or acquisition, including notification of unauthorized access or acquisition of data. (b) Insurance Subsection (a) shall not prevent a State or political subdivision of a State from establishing the standards for entities engaged in providing insurance required by sections 501(c) and 501(d), provided the standards established by such State or political subdivision do not impose any requirement that is in addition to or different from those standards, except where necessary to effectuate the purposes of this subtitle. . December 21, 2018 Reported with an amendment, committed to the Committee of the Whole House on the State of the Union, and ordered to be printed

Summary: Consumer Information Notification Requirement Act This bill amends the Gramm-Leach-Bliley Act to require federal financial regulators to set forth rules regarding data breaches. Specifically, these rules must require financial institutions, banks, and specified others to notify customers of breaches likely to result in identity theft, fraud, or economic loss. The bill also requires state insurance authorities to establish and enforce similar standards for insurers.