Illinois Administrative Code › Title 50 - INSURANCE › Part 4002 - PERSONAL INFORMATION PRIVACY PROTECTION › Section 4002.30 - Definitions

Current through Register Vol. 48, No. 28, July 12, 2024
Unless otherwise defined by this Part the terms used in this
				Part shall have the same meaning as given by the Illinois Insurance Code [215
				ILCS 5 ].
Affiliate means any company that controls, is controlled by, or
				is under common control with another company.
Clear and Conspicuous means that a notice is reasonably
				understandable and designed to call attention to the nature and significance of
				the information in the notice.
A licensee makes its notice reasonably understandable if
				it:
Presents the information in a written notice in clear, concise
				sentences, paragraphs, and sections;
Uses short explanatory sentences or bullet lists whenever
				possible;
Uses definite, concrete, everyday words and active voice
				whenever possible;
Avoids multiple negatives;
Avoids legal and highly technical business terminology whenever
				possible; and
Avoids explanations that are imprecise and readily subject to
				different interpretations.
A licensee designs its notice to call attention to the nature
				and significance of the information in it if the licensee:
Uses a plain-language heading to call attention to the notice;
				uses a typeface and type size that are easy to read;
Provides wide margins and ample line spacing; uses boldface or
				italics for key words; and
In a form that combines the licensee's notice with other
				information, uses distinctive type size, style, and graphic devices, such as
				shading or sidebars.
If a licensee provides a notice on a web page, the licensee
				designs its notice to call attention to the nature and significance of the
				information in it if the licensee:
Uses text or visual cues to encourage scrolling down the page
				if necessary to view the entire notice;
Ensures that other elements on the web site (such as text,
				graphics, hyperlinks or sound) do not distract attention from the notice;
				and
Either:
Places the notice on a screen that consumers frequently access,
				such as a page on which transactions are conducted; or
Places a link on a screen that consumers frequently access,
				such as a page on which transactions are conducted, that connects directly to
				the notice and is labeled appropriately to convey the importance, nature and
				relevance of the notice.
Code means the Illinois Insurance Code [215 ILCS 5 ].
Collect means to obtain information that the licensee organizes
				or can retrieve by the name of an individual or by identifying number, symbol
				or other identifying particular assigned to the individual, irrespective of the
				source of the underlying information.
Company means a person, corporation, limited liability company,
				business trust, general or limited partnership, association, sole
				proprietorship or similar organization.
Consumer means an individual who seeks to obtain, obtains or
				has obtained an insurance product or service from a licensee that is to be used
				primarily for personal, family or household purposes, and about whom the
				licensee has nonpublic personal information, or that individual's legal
				representative. An individual is not a licensee's consumer solely because he or
				she is a beneficiary of a trust for which the licensee is a trustee or solely
				because he or she has designated the licensee as trustee for a trust. Consumer
				includes, but is not limited to, the following:
An individual who provides nonpublic personal information to a
				licensee in connection with obtaining or seeking to obtain financial,
				investment or economic advisory services relating to an insurance product or
				service is a consumer regardless of whether the licensee establishes an ongoing
				advisory relationship;
An applicant for insurance prior to the inception of insurance
				coverage is a licensee's consumer;
An individual who is a consumer of another financial
				institution is not a licensee's consumer solely because the licensee is acting
				as agent for, or provides processing or other services to, that financial
				institution;
If the licensee discloses nonpublic personal financial
				information about the individual to a nonaffiliated third party other than as
				permitted under Sections
				4002.130,
				4002.140
				and
				4002.150
				of this Part; and
An individual who is a beneficiary of a life insurance policy
				underwritten by the licensee is a consumer;
An individual who is an insured or an annuitant under an
				insurance policy or an annuity, respectively, issued by the licensee is a
				consumer; and
An individual who is a mortgagor of a mortgage covered under a
				mortgage insurance policy is a consumer.
Consumer Reporting Agency means the same as in Section 603(f)
				of the federal Fair Credit Reporting Act (
				15 USC
				1681 a(f) ).
Control means:
Ownership, control or power to vote 25% or more of the
				outstanding shares of any class of voting security of the company, directly or
				indirectly, or acting through one or more other persons;
Control in any manner over the election of a majority of the
				directors, trustees or general partners (or individuals exercising similar
				functions) of the company;
Control by contract or agreement of any person that is
				designated as an attorney-in-fact for a Lloyd's Plan insurer as set forth in
				Article V of the Code [215 ILCS 5/Art. V] or for a reciprocal or interinsurance
				exchange as set forth in Article V 1/2 [215 ILCS 5/Art. V1/2]; or
The power to exercise, directly or indirectly, a controlling
				influence over the management or policies of the company, as the Director
				determines.
Customer means a consumer who has a customer relationship with
				a licensee.
Customer Relationship means a continuing relationship between a
				consumer and a licensee under which the licensee provides one or more insurance
				products or services to the consumer that are to be used primarily for
				personal, family or household purposes, which includes, but is not limited to,
				the following:
The consumer is a current policyholder of an insurance product
				issued by or through the licensee; or
The consumer obtains financial, investment or economic advisory
				services relating to an insurance product or service from the licensee for a
				fee.
A consumer does not have a continuing relationship with a
				licensee if:
The consumer applies for insurance but does not purchase the
				insurance;
The licensee sells the consumer airline travel insurance in an
				isolated transaction;
The individual is no longer a current policyholder of an
				insurance product or no longer obtains insurance services with or through the
				licensee;
The consumer is a beneficiary or claimant under a policy and
				has submitted a claim under a policy choosing a settlement option involving an
				ongoing relationship with the licensee and is not a current
				policyholder;
The consumer is a beneficiary or a claimant under a policy and
				has submitted a claim under that policy choosing a lump sum settlement option
				and is not a current policyholder;
The customer's policy is lapsed, expired, or otherwise inactive
				or dormant under the licensee's business practices, and the licensee has not
				communicated with the customer about the relationship for a period of 12
				consecutive months, other than annual privacy notices, material required by law
				or regulation, communication at the direction of a state or federal authority,
				or promotional materials;
The individual is an insured or an annuitant under an insurance
				policy or annuity, respectively, but is not the policyholder or owner of the
				insurance policy or annuity; or
For the purposes of this Part, the individual'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 by the licensee has been
				returned by the postal authorities as undeliverable and if subsequent attempts
				by the licensee to obtain a current valid address for the individual have been
				unsuccessful.
Director means the Director of the Illinois Department of
				Insurance.
Financial Institution means any institution the business of
				which is engaging in activities that are financial in nature or incidental to
				such financial activities as described in Section 4(k) of the Bank Holding
				Company Act of 1956 (
				12 USC
				1843(k) ), but does not
				include:
Any person or entity with respect to any financial activity
				that is subject to the jurisdiction of the Commodity Futures Trading Commission
				under the Commodity Exchange Act (
				7 USC
				1 );
The Federal Agricultural Mortgage Corporation or any entity
				charged and operating under the Farm Credit Act of 1971 (
				12 USC
				2001 ); or
Institutions chartered by Congress specifically to engage in
				securitizations, secondary market sales (including sales of servicing rights)
				or similar transactions related to a transaction of a consumer, as long as the
				institutions do not sell or transfer nonpublic personal information to a
				nonaffiliated third party.
Financial Product or Service means any product or service that
				a financial holding company could offer by engaging in an activity that is
				financial in nature or incidental to such a financial activity under Section
				4(k) of the Bank Holding Company Act of 1956 (
				12 USC
				1843(k) ), which includes a
				financial institution's evaluation or brokerage of information that the
				financial institution collects in connection with a request or an application
				from a consumer for a financial product or service.
Insurance Product or Service means any product or service that
				is offered by a licensee pursuant to the insurance laws of this State,
				including a licensee's evaluation, brokerage or distribution of information
				that the licensee collects in connection with a request or an application from
				a consumer for a insurance product or service.
Licensee means all insurers, insurance producers, and other
				persons licensed or required to be licensed, or authorized or required to be
				authorized, or registered or required to be registered, or domiciled pursuant
				to the Illinois Insurance Code or any other Act of Chapter 215 of the Illinois
				Compiled Statutes. Licensee shall also include unauthorized insurers who accept
				business placed through a licensed surplus line producer in this State, but
				only in regard to the surplus line placements placed pursuant to Section 445 of
				the Illinois Insurance Code [215 ILCS
				5/445 ].
Nonaffiliated Third Party means any company or person, except a
				licensee's affiliate or a person employed jointly by a licensee and any company
				that is not the licensee's affiliate (but nonaffiliated third party includes
				the other company that jointly employs the person), which includes, but is not
				limited to, any company that is an affiliate solely by virtue of the direct or
				indirect ownership or control of the company by the licensee or its affiliate
				in conducting merchant banking or investment banking activities of the type
				described in Section 4(k)(4)(H) or insurance company investment activities of
				the type described in Section 4(k)(4)(I) of the federal Bank Holding Company
				Act (
				12 USC
				1843(k)(4)(H) and (I)
				).
Nonpublic Personal Financial Information means personally
				identifiable financial information and any list, description or other grouping
				of consumers (and publicly available information pertaining to them) that is
				derived using any personally identifiable financial information that is not
				publicly available; but does not include: health information; publicly
				available information, except as any list, description or other grouping of
				consumers (and publicly available information pertaining to them) that is
				derived using any personally identifiable financial information that is not
				publicly available; or any list, description or other grouping of consumers
				(and publicly available information pertaining to them) that is derived without
				using any personally identifiable financial information that is not publicly
				available. Any list of individuals' names and addresses that contains only
				publicly available information, is not derived in whole or in part using
				personally identifiable financial information that is not publicly available,
				and is not disclosed in a manner that indicates that any of the individuals on
				the list is a consumer of a financial institution is not nonpublic personal
				financial information.
Opt Out means a direction by the consumer that the licensee not
				disclose nonpublic personal financial information about that consumer to a
				nonaffiliated third party, other than as permitted by Sections 4002.130,
				4002.140 and 4002.150 of this Part.
Person means any natural person, corporation, association,
				partnership or other legal entity.
Personally Identifiable Financial Information means, including
				but not limited to: any information that a consumer provides to a licensee to
				obtain an insurance product or service from the licensee; account balance
				information and payment history; that an individual is or has been one of the
				licensee's customers or has obtained an insurance product or service from the
				licensee; any information about the licensee's consumer if it is disclosed in a
				manner that indicates that the individual is or has been the licensee's
				consumer; any information that a consumer provides to a licensee or that the
				licensee or its agent otherwise obtains in connection with collecting on a loan
				or servicing a loan; any information the licensee collects through an Internet
				cookie (an information-collecting device from a web server); information from a
				consumer report; information about a consumer resulting from a transaction
				involving an insurance product or service between a licensee and a consumer; or
				information the licensee otherwise obtains about a consumer in connection with
				providing an insurance product or service to that consumer, except health
				information; names and addresses of customers of an entity that is not a
				financial institution; and information that does not identify a consumer, such
				as aggregate information or blind data that does not contain personal
				identifiers such as account numbers, names or addresses.
Publicly Available Information means any information that a
				licensee has a reasonable basis to believe is lawfully made available to the
				general public from:
Federal, state or local government records, including
				information in government real estate records and security interest
				filings;
Widely distributed media, including information from a
				telephone book, a television or radio program, a newspaper or a web site that
				is available to the general public on an unrestricted basis. A web site is not
				restricted merely because an Internet service provider or a site operator
				requires a fee or a password, so long as access is available to the general
				public; or
Disclosures to the general public that are required to be made
				by federal, state or local law.
Reasonable Basis means that a licensee believes that
				information is lawfully made available to the general public and that the
				licensee has taken steps to determine:
That the information is of the type that is available to the
				general public, such as a telephone number found in a telephone book or if the
				consumer states that the number is listed, or is the type of information that
				is included on a public record; and
Whether an individual can direct that the information not be
				made available to the general public and, if so, that the licensee's consumer
				has not done so.