Text: HF00284 Text: HF00286 Text: HF00200 - HF00299 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. NEW SECTION. 546A.1 DISCLOSURE OF NONPUBLIC 1 2 PERSONAL INFORMATION TO NONAFFILIATED THIRD PARTIES OPT-IN 1 3 REQUIRED. 1 4 1. For purposes of this section: 1 5 a. "Affiliate" means any company that controls, is 1 6 controlled by, or is under common control with another 1 7 company, as defined in 15 U.S.C. } 6809. 1 8 b. "Consumer" means customer or other person obtaining or 1 9 utilizing any service of a financial institution. 1 10 c. "Financial institution" means any person that engages 1 11 in financial activities as defined in 15 U.S.C. } 6809. 1 12 d. "Nonaffiliated third party" means any entity that is 1 13 not an affiliate of or is related by common ownership or 1 14 control, as defined in 15 U.S.C. } 6809. 1 15 e. "Nonpublic personal information" means personally 1 16 identifiable financial information as defined in 15 U.S.C. } 1 17 6809. 1 18 2. A financial institution shall not disclose the 1 19 nonpublic personal information of an Iowa resident to a 1 20 nonaffiliated third party unless such financial institution 1 21 does both of the following on an annual basis: 1 22 a. The financial institution clearly and conspicuously 1 23 discloses to the consumer in writing what nonpublic personal 1 24 information the financial institution desires or intends to 1 25 disclose to a nonaffiliated third party. 1 26 b. The financial institution obtains a written consent 1 27 from the consumer to the disclosure of the information, signed 1 28 and dated in the consumer's handwriting. 1 29 3. The consumer may revoke the consent by written request, 1 30 signed and dated in the consumer's handwriting, at any time. 1 31 The revocation shall be given effect immediately upon receipt 1 32 by the financial institution. 1 33 4. The chief administrative office of each division of the 1 34 department of commerce may adopt rules pursuant to chapter 17A 1 35 as necessary to implement and administer this section. 2 1 EXPLANATION 2 2 This bill provides that financial institutions, which under 2 3 the federal definition include insurance companies, shall be 2 4 required to obtain signed and dated written annual consent 2 5 from consumers before they are allowed to share a customer's 2 6 personally identifiable information with nonaffiliated third 2 7 parties. This bill specifically provides a more protective 2 8 "opt-in" standard for consumers relative to personal 2 9 information, as compared to the "opt-out" standard enacted as 2 10 part of the federal Gramm-Leach-Bliley Act (also known as the 2 11 Financial Services Modernization Act of 1999, and Pub. L. No. 2 12 106-102), which requires consumers to notify financial 2 13 institutions if they do not wish to have their information 2 14 shared with nonaffiliated third parties. The Gramm-Leach- 2 15 Bliley Act contains a provision that provides that state 2 16 statutes that give greater protection to consumers than the 2 17 provisions of Gramm-Leach-Bliley Act will not be considered to 2 18 be inconsistent with the federal Act. 2 19 This bill also provides that the consumer may revoke the 2 20 consent by written request, signed and dated in the consumer's 2 21 handwriting, at any time. The revocation shall be given 2 22 effect immediately upon receipt by the financial institution. 2 23 The divisions of the department of commerce are given the 2 24 authority to adopt rules pursuant to Code chapter 17A as 2 25 necessary to implement and administer the new Code section. 2 26 LSB 1859YH 79 2 27 jj/cf/24
Text: HF00284 Text: HF00286 Text: HF00200 - HF00299 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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