Idaho Admin. Code r. 18.01.01.010

Current through September 2, 2024

Section 18.01.01.010 - DEFINITIONS

All terms defined in Title 41, Chapters 1 and 13, Idaho Code, that are used in this rule have the same meaning as used in those chapters. In addition, the following terms are defined as used in this chapter.

01.Clear and Conspicuous.

a. A notice is reasonably understandable and designed to call attention to the nature and significance of the information in the notice if it:

i. Presents the information in clear, concise sentences, paragraphs, and sections;

ii. Uses short explanatory sentences or bullet lists whenever possible;

iii. Uses definite, concrete, everyday words and active voice whenever possible;

iv. Avoids multiple negatives;

v. Avoids legal and highly technical business terminology whenever possible;

vi. Avoids explanations that are imprecise and readily subject to different interpretations.

vii. Uses an easy-to-read typeface and type size, and uses boldface or italics for key words; and

viii. When in a form that combines the licensee's notice with other information, uses distinctive type size, style, and graphic devices.

b. If a licensee provides a notice on a web page, the notice needs to call attention to the nature and significance of the information in the notice and place the notice on a screen that consumers frequently access, or place a link on a screen that consumers frequently access that connects directly to the notice.

02.Collect. To obtain information that the licensee organizes or can retrieve by the name of an individual or by identifying number, symbol or other identifiers assigned to the individual.

03.Company. A corporation, limited liability company, business trust, general or limited partnership, association, sole proprietorship, or similar organization.

04.Consumer. An individual who seeks to obtain, obtains, or has obtained an insurance product or service from a licensee used primarily for personal, family, or household purposes. Examples:

a. An individual who provides nonpublic personal information to a licensee in connection with an insurance product or service is a consumer regardless of whether the licensee establishes an ongoing advisory relationship.

b. 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 the financial institution.

c. If the licensee provides the initial, annual, and revised notices under Sections 100, 150, and 300 of this rule to the plan sponsor, group or blanket insurance policyholder, or group annuity contract holder, and if the licensee does not disclose to a nonaffiliated third party nonpublic personal financial information about an individual other than as permitted under Sections 450, 451, and 452 of this rule, an individual is not the consumer of the licensee solely because he is:

i. A participant or a beneficiary of an employee benefit plan the licensee administers or sponsors or for which the licensee acts as a trustee, insurer, or fiduciary; or

ii. Covered under a group or blanket insurance policy or group annuity contract issued by the licensee.

iii. A beneficiary in a workers' compensation plan.

d. An individual is not a licensee's consumer solely because he is:

i. A beneficiary of a trust for which the licensee is a trustee; or

ii. Designated the licensee as trustee for a trust.

05.Consumer Reporting Agency. Is the same meaning as found in Section 603(f) of the federal Fair Credit Reporting Act (15 U.S.C. 1681a(f)).

06.Control:

a. Ownership, control, or power to vote twenty-five percent (25%) or more of the outstanding shares of any class of voting security of the company, directly or indirectly, or acting through one (1) or more other persons;

b. 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; or

c. The power to exercise, directly or indirectly, a controlling influence over the management or policies of the company, as the director determines.

07.Customer. A consumer who has a customer relationship with a licensee.

08.Customer Relationship. A continuing relationship between a consumer and a licensee under which the licensee provides one (1) or more insurance products or services to the consumer to be used primarily for personal, family, or household purposes.

a. A consumer does not have a continuing relationship with a licensee if:

i. The licensee sells the consumer travel insurance in an isolated transaction;

ii. The individual is no longer a current policyholder of an insurance product or no longer obtains insurance services with or through the licensee;

iii. The consumer is a beneficiary or claimant under a policy and has submitted a claim under a policy choosing either a lump sum settlement option or a settlement option involving an ongoing relationship with the licensee;

iv. 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

09.Financial Institution. Any institution engaging in activities that are financial in nature. Financial institution does not include:

a. 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 U.S.C. 1 et seq.);

b. The Federal Agricultural Mortgage Corporation or any entity charged and operating under the Farm Credit Act of 1971 (12 U.S.C. 2001 et seq.); or

c. 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.

10.Financial Product or Service. A product or service that a financial holding company could offer including 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.

11.Licensee.

a. A licensee is not subject to the notice and opt out requirements for nonpublic personal financial information set forth in this rule if the licensee is an employee, agent, or other representative of another licensee ("the principal") and:

i. The principal complies with, and provides the notices prescribed by this rule; and

ii. The licensee does not disclose any nonpublic personal information to any person other than the principal or its affiliates in a manner permitted by this rule.

b.A licensee also includes an unauthorized insurer that accepts business placed through a licensed surplus lines broker in this state, but only in regard to the surplus lines placements placed pursuant to Title 41, Chapter 12, Idaho Code.

12.Nonpublic Personal Information.

a. Means personally identifiable financial information; including any list, description or other grouping of consumers (see archived 18.01.48) derived using any personally identifiable financial information not publicly available.

b. Nonpublic personal financial information does not include:

i. Health information;

ii. Publicly available information, except as included on a list described in Subparagraph 010.11.a., of this rule; or

iii. Any list, description or other grouping of consumers derived without using any personally identifiable financial information that is not publicly available.

13.Opt Out. A direction by the consumer that the licensee not disclose nonpublic personal financial information about the consumer to a nonaffiliated third party.

14.Personally Identifiable Financial Information.

a. Any information:

i. A consumer provides to a licensee to obtain an insurance product or service from the licensee;

ii. About a consumer resulting from a transaction involving an insurance product or service between a licensee and a consumer.

b. Examples of personally identifiable financial information:

i. Account balance information and payment history;

ii. The fact that an individual is or has been one (1) of the licensee's customers or has obtained an insurance product or service from the licensee;

iii. Information about the licensee's consumer if it is disclosed in a manner that indicates the individual is or has been the licensee's consumer;

iv. Information provided by a consumer to a licensee or that the licensee or its agent obtains in connection with collecting on a loan or servicing a loan;

v. Information the licensee collects through an Internet cookie (an information-collecting device from a web server); and

vi. Information from a consumer report.

c. Personally identifiable financial information does not include:

i. Health information;

ii. A list of names and addresses of customers of an entity of a non-financial institution; and

iii. 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.

15.Publicly Available Information.

a. Any information that a licensee has a reasonable basis to believe is lawfully made available to the general public.

Idaho Admin. Code r. 18.01.01.010

Effective March 31, 2022