California Code of Regulations › Title 10 - Investment › Chapter 5 - Insurance Commissioner › Subchapter 5.9 - Privacy of Nonpublic Personal Information › Article 2 - Privacy Notices; Opt Out Notices for Nonpublic Personal Financial Information › Section 2689.8 - Form of Opt Out Notice and Opt Out Methods

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) If a licensee is required to provide an
				  opportunity to opt-out before it shares any nonpublic personal financial
				  information with a nonaffiliated third party, it shall provide a clear and
				  conspicuous notice to the consumer, that clearly states in 16-point boldface
				  type "IMPORTANT PRIVACY CHOICES", or similarly highlights the purpose of the
				  notice, so that the consumer may make a decision and provide direction to the
				  licensee regarding the sharing of the consumer's nonpublic personal financial
				  information.
If a licensee provides the opt out notice later than the
					 initial notice, the licensee shall also include, with the opt-out notice, a
					 copy of the initial notice in writing or, if the consumer agrees,
					 electronically.
The notice shall state that the licensee discloses or
					 reserves the right to disclose nonpublic personal financial information about
					 its consumers to nonaffiliated third parties, that the consumer has the right
					 to opt out of that disclosure, and set forth reasonable means by which the
					 consumer may exercise the opt out right.
A licensee provides adequate notice that the consumer can
					 prevent the disclosure of nonpublic personal financial information to a
					 nonaffiliated third party if the licensee (1) identifies all of the categories
					 of nonpublic personal financial information which it discloses or reserves the
					 right to disclose, (2) all of the categories of nonaffiliated third parties to
					 which it discloses the information, (3) states that the consumer can prevent
					 the disclosure of that information, and identifies the insurance products or
					 services that the consumer obtains from the licensee to which the opt out
					 direction would apply.
A licensee provides a reasonable means to exercise an opt
					 out right if it designates check-off boxes in a prominent position on the
					 relevant forms with the opt out notice; includes a reply form together with the
					 opt-out notice; 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. Unless the consumer
					 agrees to an electronic opt-out method, the licensee shall provide a
					 self-addressed postage prepaid return envelope or a toll-free telephone number
					 that consumers may use to opt out.
A licensee does not provide a reasonable means of opting
					 out if, for example, the only means of opting out is for the consumer to write
					 the consumer's own letter to exercise that opt out right, or 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.
(b) If a licensee mails the opt-out notice
				  with information that is not a bill or renewal offer, the opt-out notice shall
				  be the first page of the mailing.
(c) A licensee is not subject to the notice
				  and opt out requirements for nonpublic personal financial information if the
				  licensee is an employee or agent of another licensee ("the principal") and:
(1) The principal otherwise complies with,
				  and provides the required notices; and
(2) The licensee does not disclose any
				  nonpublic personal financial information to any person other than the principal
				  or its affiliates in a manner permitted by California Insurance Code Sections
				  791-
				  791.27 or
				  these regulations.
For purposes of these regulations, "agent" is defined in
					 California Insurance Code Section
					 791.02(c)
					 to include any person licensed pursuant to Chapters 5, 5A, 6, 7, or 8 and thus
					 includes an insurance broker.