State RegulationsCA specific✓ Verified · outline & fact-checked · Sep 2026Difficulty 2/5
Under California's Insurance Information and Privacy Protection Act (Sections 791-791.29), an insurer collecting personal information about an applicant must:
Select an option to reveal the answer and the full 3-part explanation — free, no signup.
Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
California's insurance privacy law requires insurers and their agents to give consumers notice about their information-collection practices and to keep personal information confidential. Consumers also gain rights to access and correct their information. These protections apply to the sensitive health and financial data gathered during insurance underwriting.
Why the other options are wrong
- B) Sharing with third parties is restricted and generally requires consent or a permissible purpose.
- C) Applicants must be informed of information practices; covert collection violates the privacy law.
- D) Personal insurance information is confidential, not public record.
Memory hook
Privacy law: tell them what you collect, then guard it. Insurance data is confidential, not community property.