Section 22.4 - Determination of Consumer Status(a) The term consumer includes, but is not limited to: (1) an individual who provides nonpublic personal financial information to a covered entity in connection with obtaining or seeking to obtain financial, investment or economic advisory services relating to an insurance product or service regardless of whether the covered entity establishes an ongoing relationship.(2) an applicant for insurance prior to the inception of insurance coverage.(3) an individual, if the covered entity discloses nonpublic personal financial information about the individual to a nonaffiliated third party other than as permitted under § 22.17 of this title (relating to Exception to Opt Out Requirements for Disclosure of Nonpublic Personal Financial Information for Service Providers and Joint Marketing), § 22.18 of this title (relating to Exceptions to Notice and Opt Out Requirements for Disclosure of Nonpublic Personal Financial Information for Processing and Servicing Transactions) and § 22.19 of this title (relating to Other Exceptions to Notice and Opt Out Requirements for Disclosure of Nonpublic Personal Financial Information), and: (A) the individual is a beneficiary of a life insurance policy underwritten by the covered entity;(B) the individual is a claimant under an insurance policy issued by the covered entity;(C) the individual is an insured or an annuitant under an insurance policy or an annuity, respectively, issued by the covered entity; or(D) the individual is a mortgagor of a mortgage covered under a mortgage insurance policy.(b) Examples of when individuals will not be considered consumers of a covered entity:(1) an individual who is a consumer of another financial institution is not a covered entity's consumer solely because the covered entity is acting as agent for, or provides processing or other services to, that financial institution.(2) an individual is not a covered entity's consumer solely because he or she is a beneficiary of a trust for which the covered entity is a trustee.(3) an individual is not a covered entity's consumer solely because he or she has designated the covered entity as trustee for a trust.(c) Special requirements for employee benefit plans, group or blanket insurance policies, group annuity contracts, or workers' compensation policies.(1) An individual who is a participant or a beneficiary of an employee benefit plan that a covered entity administers or sponsors or for which the covered entity acts as a trustee, insurer or fiduciary is not the consumer of a covered entity that:(A) provides all initial, annual and revised notices required by this subchapter to the employer or other entity establishing the plan; and(B) does not disclose nonpublic personal financial information about the individual to a nonaffiliated third party other than as permitted under §§ 22.17, 22.18, and 22.19 of this title.(2) An individual who is covered under a group or blanket insurance policy or group annuity contract issued by a covered entity is not the consumer of a covered entity that: (A) provides all initial, annual and revised notices required by this subchapter to the policyholder or contractholder; and(B) does not disclose nonpublic personal financial information about the individual to a nonaffiliated third party other than as permitted under §§ 22.17, 22.18, and 22.19 of this title.(3) An individual that is a claimant under or beneficiary of a workers' compensation policy issued by a covered entity is not the consumer of a covered entity that: (A) provides all initial, annual and revised notices required by this subchapter to the plan participant; and(B) does not disclose nonpublic personal financial information about the individual to a nonaffiliated third party other than as permitted under §§ 22.17, 22.18, and 22.19 of this title.(d) An individual described in subsection (c) of this section is the consumer of a covered entity that does not comply with the applicable notice and nondisclosure requirements of that subsection.(e) In no event shall an individual, solely by virtue of his status described in subsection (c) of this section, be deemed to be the customer of a covered entity for purposes of this subchapter.28 Tex. Admin. Code § 22.4
The provisions of this §22.4 adopted to be effective December 17, 2001, 26 TexReg 10316