OAR 836-080-0635
Initial Notice to Consumers

(1)

A licensee shall provide an initial notice as provided in OAR 836-080-0620 (Notice of Personal Financial Information Practices)(1) and also subsequently when further personal financial information is collected in connection with a renewal or reinstatement of a health insurance policy.

(2)

A licensee is not required to provide an initial notice to a consumer for purposes of OAR 836-080-0620 (Notice of Personal Financial Information Practices) if any of the following circumstances applies:

(a)

If the licensee does not disclose any nonpublic personal financial information about the consumer to any nonaffiliated third party other than as authorized by OAR 836-080-0670 (Authorization Exemptions) and 836-080-0675 (Disclosure Without Authorization) and the licensee does not have a customer relationship with the consumer.

(b)

If the licensee has a customer relationship with the consumer and the consumer consents to the licensee’s searching for health insurance coverage to replace existing coverage or to perform another health insurance service for the consumer, and if disclosure of personal financial information of the consumer meets the conditions specified in OAR 836-080-0670 (Authorization Exemptions).

(c)

If a notice has been provided by an affiliated licensee, as long as the notice clearly identifies all licensees to whom the notice applies and is accurate with respect to the licensee and the other institutions.

(3)

For the purpose of the notice requirement of OAR 836-080-0620 (Notice of Personal Financial Information Practices), pursuant to which a licensee shall provide notice of personal financial information practices to a consumer who becomes a customer of the licensee not later than the date that the licensee establishes a continuing relationship with the consumer, a continuing relationship between a licensee and consumer is established when the consumer, as shown in the following examples:

(a)

Becomes a health insurance policyholder of a licensee that is an insurer, when the insurer delivers a health insurance policy or contract to the consumer, or in the case of a licensee that is an insurance producer, obtains health insurance through that licensee; or

(b)

Agrees to obtain financial, economic or investment advisory services relating to health insurance products or services for a fee from the licensee.

(4)

When an existing customer obtains a new health insurance product or service from a licensee that is to be used primarily for personal, family or household purposes, either of the following provisions may apply to a licensee regarding the initial notice requirements of OAR 836-080-0620 (Notice of Personal Financial Information Practices) and:

(a)

The licensee may provide a revised policy notice as provided in OAR 836-080-0655 (Revised Privacy Notices); or

(b)

If the initial, revised or annual notice that the licensee most recently provided to that customer was accurate with respect to the new health insurance product or service, the licensee does not need to provide a new privacy notice under OAR 836-080-0620 (Notice of Personal Financial Information Practices).

(5)

A licensee may provide the initial notice required by OAR 836-080-0620 (Notice of Personal Financial Information Practices) within a reasonable time after the licensee establishes a customer relationship if establishing the customer relationship is not at the customer’s election or if 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. The following are examples of exceptions for purposes of this section:

(a)

Not at the customer’s election: Establishing a customer relationship is not at the customer’s election if a licensee acquires or is assigned a customer’s health insurance policy from another financial institution or residual market mechanism and the customer does not have a choice about the licensee’s acquisition or assignment.

(b)

Substantial delay of a customer’s transaction: Providing notice not later than when a licensee establishes a customer relationship would substantially delay the customer’s transaction when the licensee and the individual agree over the telephone to enter into a customer relationship involving prompt delivery of the health insurance product or service.

(c)

No substantial delay of a customer’s transaction: Providing notice not later than when a licensee establishes a customer relationship would not substantially delay the customer’s transaction when the relationship is initiated in person at the licensee’s office or through other means by which the customer may view the notice, such as on a website.

(6)

When a licensee is required to deliver an initial privacy notice by OAR 836-080-0620 (Notice of Personal Financial Information Practices), the licensee shall deliver it according to 836-080-0660 (Delivery). If the licensee uses an abbreviated notice according to 836-080-0620 (Notice of Personal Financial Information Practices), the licensee may deliver the privacy notice as provided in 836-080-0640 (Information to Be Included in Initial Privacy Notice)(8).

(7)

A licensee that uses a standard privacy notice to comply with the requirements of the federal Gramm-Leach-Bliley Act of 1999 and its implementing regulations for its business as a financial institution or that uses such a standard privacy notice for its health insurance business in two or more states may comply with the initial privacy notice requirement by using either of the following options:

(a)

By using the standard privacy notice and another supplementary privacy notice that includes the elements required by OAR 836-080-0615 (Personal Information Notice), 836-080-0620 (Notice of Personal Financial Information Practices) and 836-080-0650 (Information to Be Included in Annual Notice) that are not contained in the standard privacy notice. The supplementary privacy notice must prominently and clearly state that any rights an individual may have as described in that notice are not abridged or limited by the standard privacy notice that the individual may receive separately.

(b)

By using a single Oregon-specific privacy notice that complies in its entirety with OAR 836-080-0615 (Personal Information Notice) and 836-080-0620 (Notice of Personal Financial Information Practices), if allowed under federal law.

Source: Rule 836-080-0635 — Initial Notice to Consumers, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=836-080-0635.

836‑080‑0001
Statutory Authority 836‑080‑0005
Definitions 836‑080‑0014
Duties of Agent 836‑080‑0022
Duties of Insurers that Use Agents Insurance Producers 836‑080‑0029
Duties of Replacing Insurers that Use Agents 836‑080‑0034
Duties of the Existing Insurer 836‑080‑0039
Duties of Insurers with Respect to Direct Response Solicitations 836‑080‑0043
Violations and Penalties 836‑080‑0050
Authority 836‑080‑0055
Unfair Discrimination Identified 836‑080‑0080
Definition, Claims Handling Services 836‑080‑0085
Annual Report 836‑080‑0090
Suitability in the Sale of Life Insurance 836‑080‑0105
Statutory Authority 836‑080‑0110
Applicability 836‑080‑0115
Definitions 836‑080‑0120
Statement as to Participation Required Upon Request Before Delivery of Policy 836‑080‑0125
Prohibited Representations Regarding Participation Rights 836‑080‑0130
Dividend Statement Permitted 836‑080‑0135
Dividend Rights Accrue Upon Declaration of Dividends 836‑080‑0140
Unfair Discrimination in Allocation of Dividends Prohibited 836‑080‑0145
Unfair Forfeiture of Dividend for Failure to Renew Prohibited 836‑080‑0150
Policyholder Dividend Rights of Group Members and Dividend Group Policyholders 836‑080‑0155
False or Deceptive Publications by Insurer Prohibited 836‑080‑0160
Use of Special Certifications and Professional Designations by Insurance Producers 836‑080‑0165
Notice of Insurance Division Assistance 836‑080‑0170
Statutory Authority 836‑080‑0172
Applicability 836‑080‑0175
Exemptions 836‑080‑0178
Definitions 836‑080‑0180
Duties of Insurers and of Insurance Producers 836‑080‑0183
Insurance Producer Training 836‑080‑0185
Compliance Mitigation 836‑080‑0188
Recordkeeping 836‑080‑0190
Annuity Sales 836‑080‑0193
Effective Date and Operative Date 836‑080‑0200
Electronic Payment of Claims 836‑080‑0205
Statutory Authority, Purpose, and Applicability 836‑080‑0210
Definitions 836‑080‑0215
Claim Files 836‑080‑0220
Misrepresentation and Other Prohibited Claim Practices 836‑080‑0225
Required Claim Communication Practices 836‑080‑0230
Standard for Prompt Claim Investigation 836‑080‑0235
Standards for Prompt and Fair Settlements — Generally 836‑080‑0240
Standards for Prompt and Fair Total Loss Settlements — Automobile Insurance 836‑080‑0250
Workers’ Compensation Insurance Unfair Claim Settlement Practices Standards 836‑080‑0305
Statutory Authority 836‑080‑0310
Definitions 836‑080‑0315
Providing Things of Value to Intermediaries Generally Prohibited 836‑080‑0320
Miscellaneous Things of Value 836‑080‑0325
Business Development Activities 836‑080‑0335
Gifts 836‑080‑0337
Real Property Information 836‑080‑0340
Assistance in Qualifying a Subdivision 836‑080‑0345
Automatic Change in Monetary Limits 836‑080‑0355
Title Insurer Responsible for Violations by Agent 836‑080‑0360
Use by Title Company of an Intermediary’s Office 836‑080‑0365
Filing Escrow Rates Required 836‑080‑0370
Instruction of Title Company Employees About Rules Required 836‑080‑0425
Applicability 836‑080‑0430
Disclosure of Use of Credit History or Insurance Scores 836‑080‑0435
Policies Governing Credit Histories and Insurance Scores 836‑080‑0436
Absence of or Inability to Determine Credit History 836‑080‑0438
Definition of Adverse Underwriting Decision 836‑080‑0440
Unfair Insurance Trade Practice 836‑080‑0501
Authority 836‑080‑0506
Definitions and Examples 836‑080‑0511
Application of Notice Requirements 836‑080‑0516
Initial Notice to Consumers 836‑080‑0519
Information to be Included in Initial Privacy Notice 836‑080‑0523
Annual Notice 836‑080‑0526
Information to be Included in Annual Notice 836‑080‑0531
Revised Privacy Notices 836‑080‑0536
Delivery 836‑080‑0541
Opt in Notice 836‑080‑0546
Limits on Sharing Account Number Information for Marketing Purposes 836‑080‑0551
Authorization Request Delivery 836‑080‑0600
Authority 836‑080‑0610
Definitions and Examples 836‑080‑0615
Personal Information Notice 836‑080‑0620
Notice of Personal Financial Information Practices 836‑080‑0625
Alternative Procedures 836‑080‑0630
Application of Notice Requirements 836‑080‑0635
Initial Notice to Consumers 836‑080‑0640
Information to Be Included in Initial Privacy Notice 836‑080‑0645
Annual Notice 836‑080‑0650
Information to Be Included in Annual Notice 836‑080‑0655
Revised Privacy Notices 836‑080‑0660
Delivery 836‑080‑0665
Authorization 836‑080‑0670
Authorization Exemptions 836‑080‑0675
Disclosure Without Authorization 836‑080‑0680
Opt in Notice 836‑080‑0685
Limits on Sharing Account Number Information for Marketing Purposes 836‑080‑0690
Authorization Request Delivery 836‑080‑0695
Access to Recorded Personal Information 836‑080‑0700
Correction, Amendment or Deletion of Recorded Personal Information 836‑080‑0750
Purpose 836‑080‑0755
Application of OAR 836-080-0750 to 836-080-0775 836‑080‑0760
Definitions for OAR 836-080-0750 to 836-080-0775 836‑080‑0765
Practices Declared False, Misleading, Deceptive or Unfair on a Military Installation 836‑080‑0770
Practices Declared False, Misleading, Deceptive or Unfair, Regardless of Location 836‑080‑0775
Severability 836‑080‑0800
Definitions 836‑080‑0805
Statutory Authority, Purpose, and Applicability 836‑080‑0810
Provision of Commercial Loss Runs
Last Updated

Jun. 8, 2021

Rule 836-080-0635’s source at or​.us