PART II.  PRIVACY AND OPT OUT



NOTICES FOR FINANCIAL INFORMATION



 



§431:3A-201 
Initial privacy notice to consumers required.  (a)  A licensee shall provide a clear and conspicuous notice that
accurately reflects its privacy policies and practices to a consumer:



(1)  Not later than when the licensee establishes a
customer relationship, except as provided in subsection (d); and



(2)  Before the licensee discloses any nonpublic
personal financial information about the consumer to any nonaffiliated third
party, if the licensee makes a disclosure other than as authorized by sections
431:3A-402 and 431:3A-403.



(b)  A
licensee shall not be required to provide an initial notice to a consumer under
subsection (a)(2) if:



(1)  The licensee does not disclose any nonpublic
personal financial information about the consumer to any nonaffiliated third
party, other than as authorized by sections 431:3A-402 and 431:3A-403, and the
licensee does not have a customer relationship with the consumer; provided that
for purpose of this paragraph, a licensee establishes a customer relationship
at the time the licensee and the consumer enter into a continuing relationship;
and



(2)  A notice has been provided by an affiliated
licensee, if the notice clearly identifies all licensees to whom the notice
applies and is accurate with respect to the licensee and the other
institutions.



(c)  When an existing customer obtains a new
insurance product or service from a licensee that is to be used primarily for
personal, family, or household purposes, the licensee shall be deemed to
satisfy the initial notice requirements of subsection (a) if:



(1)  The licensee provides a revised privacy notice,
under section 431:3A-205, that covers the customer's new insurance product or
service; or



(2)  The initial, revised, or annual notice that the
licensee most recently provided to that customer was accurate with respect to
the new insurance product or service, in which case the licensee does not need
to provide a new privacy notice under subsection (a).



(d)  A
licensee may provide the initial notice under subsection (a)(1) within a
reasonable time after the licensee establishes a customer relationship if:



(1)  Establishing the customer relationship is not at
the customer’s election; or



(2)  Providing notice not later than when the licensee
establishes a customer relationship would substantially delay the customer’s
transaction and the customer agrees to receive the notice at a later time.



(e)  When a
licensee is required to deliver an initial privacy notice by this section, the
licensee shall deliver it according to section 431:3A-206.  If the licensee
uses a short-form initial notice for noncustomers according to section
431:3A-203(c), the licensee may deliver its privacy notice according to section
431:3A-206. [L 2001, c 220, pt of §1; am L 2003, c 212, §31]