PENN. HALTS ROLE IN AGENTS’ FINGERPRINT AGENCY

March 20, 2006

Pennsylvania Insurance Commissioner Diane Koken announced she will stop sending insurance agents’ fingerprints to a national repository, just days after a bill backed by the state’s independent agents that would have prohibited the state’s participation was introduced in the Pennsylvania House’s Insurance Committee.

“We commend Commissioner Koken for taking this action,” said John Collins, chairman of the Insurance Agents and Brokers of Pennsylvania. “It demonstrates that she understands the importance of protecting producers’ privacy rights. Not only is this a matter of protecting our members’ rights, but also a matter of guarding against a disturbing precedent.”

The fingerprint repository is a pilot project administered by the National Association of Insurance Commissioners. Since May 2005, the state has been sending a copy of the fingerprints submitted by new agent license applicants to a central database housed at the NAIC headquarters in Kansas City.

Pennsylvania was one of only four states sending prints to the repository.

IA&B questioned the purpose of the repository, how producers’ privacy was being protected and how the fingerprint records were being secured.