HCS HB 536 -- NON-PUBLIC PERSONAL HEALTH INFORMATION

SPONSOR:  Holand (Bishop)

COMMITTEE ACTION:  Voted "do pass" by the Committee on Health
Care Policy by a vote of 11 to 2.

This substitute prohibits the selling or any disclosure of non-
public personal health information to a third party for the
purpose of:  (1)  marketing a product or service; (2)  making
employment decisions; (3)  determining credit worthiness; or (4)
maliciously causing harm to the person.  The substitute does not
apply in cases where the person cannot be identified from the
information or when disclosure of this information is necessary
to comply with any other law or court order.  A person may
provide written authorization for the disclosure of his or her
information, which will be valid for two years.  The substitute
exempts consumer reporting agencies, debt collectors, and
businesses that are providing this information as part of the
sale or merger of a business.

Insurance entities are deemed to be in compliance with the
substitute upon either:  (1)  demonstrating a good faith effort
to comply with federal privacy rules; or (2)  complying with
model legislation adopted by the National Association of
Insurance Commissioners.

The Department of Insurance will enforce the substitute
regarding insurance entities who may be sued for unfair trade
practices.  All other violators will be prosecuted by the state
agency with primary regulatory authority over the person or, if
there is none, the Attorney General.  Persons in violation may be
fined up to $500 for each violation.  These fines will be paid
into the School Fund.

The provisions of the substitute will become effective January 1,
2004.

FISCAL NOTE:  Not available at time of printing.

PROPONENTS:  Supporters say that the bill prohibits the
disclosure of non-public health information without prior written
authorization.  Regulations governing the release of the
information should be no different than regulations governing the
release of other confidential medical information.  The bill does
not exceed federal privacy rules governing the release of this
information.  The bill increases consumer protection for
Missourians who request that the information remain confidential
unless an authorization for release is obtained.

Testifying for the bill were Representative Bishop; Department of
Insurance; and Office of the Attorney General.

OPPONENTS:  There was no opposition voiced to the committee.

Joseph Deering, Legislative Analyst

Missouri House of Representatives
Last Updated July 25, 2003 at 10:12 am