CHAPTER Ins 3700 STANDARDS FOR SAFEGUARDING CUSTOMER
INFORMATION
Statutory Authority: RSA
400-A:15,
PART Ins 3701 STANDARDS
Ins
3701.01 Purpose
and Scope.
(a) This rule establishes standards for
developing and implementing administrative, technical and physical safeguards
to protect the security, confidentiality and integrity of customer information,
pursuant to Sections 501, 505(b), and 507 of the Gramm-Leach-Bliley Act,
codified at 15 U.S.C. 6801, 6805(b) and 6807.
(b) Section 501(a) provides that it is the policy
of the Congress that each financial institution has an affirmative and
continuing obligation to respect the privacy of its customers and to protect
the security and confidentiality of those customers’ nonpublic personal
information. Section 501(b) requires the state insurance regulatory authorities
to establish appropriate standards relating to administrative, technical and
physical safeguards:
(1) To ensure the security and confidentiality of
customer records and information;
(2) To protect against any anticipated threats or
hazards to the security or integrity of such records; and
(3) To protect against unauthorized access to or
use of records or information that could result in substantial harm or
inconvenience to a customer.
(c) Section 505(b)(2) calls on state insurance
regulatory authorities to implement the standards prescribed under Section
501(b) by rule with respect to persons engaged in providing insurance.
(d) Section 507 provides, among other things,
that a state rule may afford persons greater privacy protections than those provided
by subtitle A of Title V of the Gramm-Leach-Bliley Act. This rule requires that
the safeguards established pursuant to this rule shall apply to nonpublic
personal information, including nonpublic personal financial information and
nonpublic personal health information.
Source. #7964, eff 1-1-04; ss by #8901, eff 7-1-07,
EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins 3701.02 Definitions. For purposes of this rule,
the following definitions apply:
(a) “Customer” means a customer of the licensee
as the term customer is defined in Ins 3001.04 (i).
(b) “Customer information” means nonpublic
personal information as defined in Ins 3001.04 (s) about a customer, whether in
paper, electronic or other form, that is maintained by or on behalf of the
licensee.
(c) “Customer information systems” means the
electronic or physical methods used to access, collect, store, use, transmit,
protect or dispose of customer information.
(d) “Licensee” means a licensee as that term is
defined in Ins 3001.04 (q), except that “licensee” shall not include: a
purchasing group; or an unauthorized insurer in regard to the excess line
business conducted pursuant to RSA 406-B.
(e) “Service provider” means a person that maintains,
processes or otherwise is permitted access to customer information through its
provision of services directly to the licensee.
Source. #8901, eff 7-1-07, EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins
3701.03 Information
Security Program. Each licensee
shall implement a comprehensive written information security program that
includes administrative, technical and physical safeguards for the protection
of customer information. The
administrative, technical and physical safeguards included in the information
security program shall be appropriate to the size and complexity of the
licensee and the nature and scope of its activities.
Source. #8901, eff 7-1-07, EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins 3701.04 Objectives
of Information Security Program. A licensee’s information security program
shall be designed to:
(a) Ensure the security and confidentiality of
customer information;
(b) Protect against any anticipated threats or
hazards to the security or integrity of the information; and
(c) Protect against unauthorized access to or use
of the information that could result in substantial harm or inconvenience to
any customer.
Source. #8901, eff 7-1-07, EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins
3701.05 Examples of Methods of
Development and Implementation. The actions
and procedures described in Ins 3701.06 through Ins 3701.09 are examples of
methods of implementation of the requirements of Ins 3701.03 and Ins
3701.04. These examples are
non-exclusive illustrations of actions and procedures that licensees may follow
to implement Ins 3701.03 and Ins 3701.04.
Source. #8901, eff 7-1-07, EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins
3701.06 Assess Risk. The licensee:
(a) Identifies reasonably foreseeable internal or external threats that could
result in unauthorized disclosure, misuse, alteration or destruction of
customer information or customer information systems;
(b) Assesses the likelihood and potential damage of these threats, taking into
consideration the sensitivity of customer information; and
(c) Assesses
the sufficiency of policies, procedures, customer information systems and other
safeguards in place to control risks.
Source. #8901, eff 7-1-07, EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins
3701.07 Manage and Control Risk. The licensee:
(a) Designs its information security program to
control the identified risks, commensurate with the sensitivity of the information, as well as the complexity
and scope of the licensee’s activities;
(b) Trains staff, as appropriate, to implement the licensee’s information
security program; and
(c) Regularly tests or otherwise regularly
monitors the key controls, systems and procedures of the information security
program. The frequency and nature of these tests or other monitoring practices
are determined by the licensee’s
risk assessment.
Source. #8901, eff 7-1-07, EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins
3701.08 Oversee
Service Provider Arrangements. The licensee:
(a) Exercises appropriate due diligence in
selecting its service providers; and
(b)
Requires its service providers to implement appropriate measurers
designed to meet the objectives of this rule, and, where indicated by the
licensee’s risk assessment, takes appropriate steps to confirm that its service
providers have satisfied these obligations.
Source. #8901, eff 7-1-07, EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins
3701.09 Adjust
the Program. The licensee
monitors, evaluates and adjusts, as appropriate, the information security
program in light of any relevant changes in technology, the sensitivity of its
customer information, internal or external threats to information, and the
licensee’s own changing business arrangements, such as mergers and
acquisitions, alliances and joint ventures, outsourcing arrangements and
changes in customer information systems.
Source. #8901, eff 7-1-07, EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins
3701.10 Violations. Violations of any of the provisions of this part
shall be subject to the penalties of RSA 400-A:15 III.
Source. #8901, eff 7-1-07, EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Statutory
Authority: RSA 400-A:15, I.
Ins 3702.01 Purpose and Scope. This part establishes the standards for the
notice to customers of a security breach involving the unauthorized access or
use of the customer's information.
Source. #7964, eff 1-1-04; ss by #8901, eff 7-1-07,
EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins 3702.02
Definitions. For the purposes of this part,
definitions shall be the same as those delineated at Ins 3701.02 with the
following exceptions:
(a) "Customer information" means
nonpublic personal information as defined in RSA 359-C:19, IV. (a) and (b)
about a customer, in electronic form, that is maintained by or on behalf of the
licensee.
(b) "Unauthorized access to customer
information" means the unauthorized acquisition of customer information
that compromises the security, confidentiality or integrity of the customer
information.
Source. #8901, eff 7-1-07; ss by #8901, eff 7-1-07,
EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins 3702.03 Standards for Providing Notice.
(a) When a licensee becomes aware of an incident
of unauthorized access to customer information, the licensee shall immediately
conduct an investigation to promptly determine the likelihood that the information
has been or will be misused.
(b) If a licensee determines that misuse of its
customer information has occurred or is reasonably likely to occur or if a
determination cannot be made, it shall notify:
(1) The department as soon as possible; and
(2) The affected customer or customers as soon as
possible with written notice to each affected customer in no later than 30 days
and in compliance with paragraph (c) of this section.
(c) The customer notice shall not be issued until
the earlier of:
(1) Five days after the licensee submits the
notice to the department for review; or
(2) Receipt from the department of approval of
the written notice that has been filed.
(d) Customer notice may be delayed if a law
enforcement agency determines that notification will interfere with a criminal
investigation and provides the licensee with a written request for the delay.
However, the licensee shall notify its customer or customers pursuant to (b)
above as soon as the law enforcement agency informs the licensee that
notification will no longer interfere with the investigation.
Source. #8901, eff 7-1-07; ss by #8901, eff 7-1-07,
EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins
3702.04 Affected
Customers.
(a) If a licensee, based upon its investigation,
can determine from its logs or other data precisely which customers'
information has been improperly accessed, it may limit notification to those
customers with regard to whom the licensee determines that misuse of their
information has occurred or is reasonably possible.
(b) If the licensee is unable to identify which
specific customers' information has been accessed, it shall notify all
customers by substitute notice in accordance with RSA 359-C:20 III. (d).
Source. #8901, eff 7-1-07; ss by #8901, eff 7-1-07,
EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins 3702.05 Content of Customer Notice.
(a) Customer notice shall be given in a clear and
conspicuous manner. The notice shall describe the incident in general terms,
the type of customer information that was the subject of the unauthorized
access or use and the approximate date of the breach.
(b) The notice shall include a telephone number
that customers may call for further information and assistance.
(c) Additionally, insurers may include in their
notice the following information:
(1) A general description of what the licensee
has done to protect the customers' information from further unauthorized
access;
(2) A reminder to customers of the need to remain
vigilant over the next year or two to promptly report incidents of suspected
identify theft to the licensee and the appropriate authorities;
(3) A recommendation that
the customer review bank and creditor statements and immediately report any
suspicious activity to the appropriate authorities;
(4) A description of fraud alerts and an
explanation of how the customer may place a fraud alert in the customer's
consumer reports to put the customer's creditors on notice that the customer
may be a victim of fraud;
(5) A recommendation that
the customer periodically obtain credit reports from each nationwide credit
reporting agency and have information relating to fraudulent transactions
deleted; and
(6) An explanation of how the customer may obtain
a credit report free of charge.
Source. #8901, eff 7-1-07; ss by #8901, eff 7-1-07,
EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins
3702.06 Delivery of Customer Notice.
(a) Customer notice shall be delivered in any
manner designed to ensure that a customer can be expected to receive it. The
licensee may choose to contact all customers affected by telephone provided the
licensee maintains a log of each such notification, or by
Source. #8901, eff 7-1-07, EXPIRED: 7-1-15
New. #11015, eff 1-8-16
Ins
3702.07 Violations. Violations of any of the provisions of
this part shall be subject to the penalties of RSA 400-A:15 III.
Source. #8901, eff 7-1-07, EXPIRED: 7-1-15
New. #11015, eff 1-8-16
APPENDIX
RULE |
STATUTE IMPLEMENTED |
|
|
Ins 3701.01 |
RSA 400-A:15, |
Ins 3701.02 |
RSA 400-A:15, |
Ins 3701.03 |
RSA 400-A:15, |
Ins 3701.04 |
RSA 400-A:15, |
Ins 3701.05 |
RSA 400-A:15, I.; 359-C:20, |
Ins 3701.06 |
RSA 400-A:15, |
Ins 3701.07 |
RSA 400-A:15, |
Ins 3701.08 |
RSA 400-A:15, |
Ins 3701.09 |
RSA 400-A:15, |
Ins 3701.10 |
RSA 400-A:15, |
|
|
Ins 3702.01 |
RSA 400-A:15 |
Ins 3702.02 |
RSA 400-A:15 |
Ins 3702.03 |
RSA 400-A:15 |
Ins 3702.04 |
RSA 400-A:15 |
Ins 3702.05 |
RSA 400-A:15 |
Ins 3702.06 |
RSA 400-A:15 |
Ins 3702.07 |
RSA 400-A:15 |