In Pennsylvania, what responsibilities do licensees have regarding privacy notices?

• A. They may choose whether to disclose privacy practices.
• B. They must provide privacy notices to clients explaining how personal information is collected and shared and comply with applicable privacy laws and regulations.
• C. They only need to provide privacy notices to new clients.
• D. Privacy notices are the insurer's responsibility, not licensees.

Answer: (B)

The main idea is that licensees must actively provide privacy notices and follow privacy laws. A privacy notice tells clients what personal information is collected, how it’s used, with whom it may be shared, and how clients can control sharing. Licensees are responsible for delivering this notice to clients and for complying with applicable privacy laws and regulations, including federal rules and Pennsylvania’s requirements. This helps clients understand data practices from the start of the relationship and during ongoing servicing. It’s not optional, it isn’t limited to new clients, and the duty isn’t solely on the insurer—the licensee bears the responsibility to inform and protect client information.