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California: Bill on privacy notices in the insurance sector signed by Governor

California Governor Gavin Newsom announced, on September 8, 2023, the signature of Senate Bill 793 for An act relating to insurance, which was thereby enacted as law. The Act was introduced on February 17, 2023, to the California State Senate and subsequently ordered to the California State Assembly on May 11, 2023. On August 24, 2023, the Act was approved by the Assembly and sent to the Senate, where it was ordered to engrossing and enrolling.

Regarding its content, the Act adds a section to the Insurance Code and establishes that, in addition to the notice information practices to all applicants or policyholders in connection with insurance transactions required under Section 791.04 of the Insurance Code, an insurance institution or agent must provide a clear and conspicuous notice to customers that accurately reflects its privacy policies and practices not less than annually during the continuation of the customer relationship. However, the Act authorizes the privacy notice to be combined with the notice provided in connection with insurance transactions.

Separately, the Act stipulates that an insurance institution or agent complies with the requirement to provide a privacy notice to customers if specified criteria are met, including informing the consumer of the right to submit a written request to access, correct, amend, or delete their personal information.

You can read the announcement here, the Act here, and view its history here.