California Insurance Brokers Urge Approval of Consumer Privacy Bill; Assembly Banking and Finance Committee to Hear SB 1 on Monday.

Business & Political Editors

LOS ANGELES--(BUSINESS WIRE)--June 6, 2003

The California Association of Health Underwriters (CAHU), the state's largest organization of health insurance agents, is urging members of the Assembly Banking and Finance Committee to support a consumer privacy bill that is scheduled for a hearing before the group on Monday.

SB 1, which was introduced by Senator Jackie Speier (D-Hillsborough), would prohibit companies from sharing a customer's personal and financial information without permission. Earlier this week, Governor Gray Davis came out in support of the bill, which passed the State Senate earlier this year.

"The health care industry has been increasing protections to keep medical information private," said Aline Roberts, CAHU president. "Our clients feel their financial information is just as sensitive as their medical records. As an independent agent, I feel that it is my duty and responsibility to work as a consumer advocate on behalf of my clients to ensure their privacy rights are protected."

Major financial and banking institutions are opposing the bill. A similar bill by Sen. Speier gained widespread consumer and editorial support last year. Senate President Pro Tem John Burton is also publicly supporting SB 1.

(Editor's Note: CAHU representatives are available throughout the state to comment on the financial privacy bill. To arrange for an interview, please contact Dawn Pace at 323/466-3445. More information about the California Association of Health Underwriters is available at www.cahu.org.)