[§431E-6]  Reporting requirements and
privacy.  (a)  For any policy settled within five years of policy issuance,
each provider shall file with the commissioner on or before March 1 of each
year an annual statement containing the information as the commissioner may
prescribe by rule.  In addition to any other requirements, the annual statement
shall:



(1)  Specify the total number, aggregate face amount,
and life settlement proceeds of policies settled during the immediately
preceding calendar year, together with a breakdown of the information by policy
issue year; and



(2)  Include the names of the insurance companies
whose policies have been settled and the brokers that have settled said
policies.



The information shall be limited to only those
transactions where the insured is a resident of this State and shall not
include individual transaction data regarding the business of life settlements
or information that there is a reasonable basis to believe could be used to
identify the owner or the insured.



Every provider that wilfully fails to file an
annual statement as required in this section, or wilfully fails to reply within
thirty days to a written inquiry by the commissioner in connection therewith,
shall, in addition to other penalties provided by this chapter, be subject,
upon due notice and opportunity to be heard, to a penalty of up to $250 per day
of delay, not to exceed $25,000 in the aggregate, for each such failure.



(b)  Except as otherwise
allowed or required by law, a provider, broker, insurance company, insurance
producer, information bureau, rating agency or company, or any other person
with actual knowledge of an insured's identity, shall not disclose the identity
of an insured or information that there is a reasonable basis to believe could
be used to identify the insured or the insured's financial or medical
information to any other person unless the disclosure:



(1)  Is necessary to effect a life settlement contract
between the owner and a provider, and the owner and insured have provided prior
written consent to the disclosure;



(2)  Is necessary to effectuate the sale of life
settlement contracts, or interests therein, as investments, so long as the sale
is conducted in accordance with applicable state and federal securities law and
the owner and the insured have both provided prior written consent to the
disclosure;



(3)  Is provided in response to an investigation or
examination by the commissioner pursuant to the requirements of section 431E-17
or any other governmental officer or agency;



(4)  Is a term or condition to the transfer of a
policy by one provider to another provider, in which case the receiving
provider shall be required to comply with the confidentiality requirements of
this section;



(5)  Is necessary to allow the provider or broker or
their authorized representatives to make contacts for the purpose of
determining health status.  For the purposes of this paragraph, the term "authorized
representative" shall not include any person who has or may have any
financial interest in the life settlement contract other than a provider,
licensed broker, financing entity, related provider trust, or special purpose
entity.  A provider or broker shall require its authorized representative to
agree in writing to adhere to the privacy provisions of this section; or



(6)  Is required to purchase stop loss coverage.



(c)  Non-public personal information solicited
or obtained in connection with a proposed or actual life settlement contract
shall be subject to the provisions applicable to financial institutions under
the federal Gramm Leach Bliley Act, P.L. 106-102 (1999), and all other
applicable state and federal laws relating to confidentiality of non-public
personal information. [L 2008, c 177, pt of §1]