PRIVACY, WORKERS’ COMP DOMINATE UTAH’S LEGISLATIVE SESSION

Utah insurers faced a busy and difficult year during the Utah 2006 legislative session, according to the American Insurance Association.

“Insurers had to play a lot of defense this year,” said Steve Suchil, AIA assistant vice president for the western region. For example, SB 69 requires businesses maintaining personal information to protect that information and notify customers if a [security] breach occurs. He noted that AIA wants to make the amendment more consistent with other security breach laws nationwide so that it is more workable for businesses while also protecting consumers’ personal information.

“Utah legislators also approved a measure to enable consumers to place a security freeze on their credit report,” Suchil said. “Credit reports will not be provided if a consumer has opted to put a security freeze on their information. The freeze applies to credit-related activities only and should not disrupt insurance transactions.

“Utah also approved a measure, HB 34, to allow the state to purchase workers’ compensation insurance from a private carrier,” he added. “This bill will expand opportunities for private carriers in Utah.”

The Utah legislature adjourned on March 1, and Gov. Jon Huntsman Jr. has until March 21 to sign or veto legislation. The approved measures will take effect May 1, 2006, AIA said.