California bill would rewrite privacy rules for insurance licensees and their vendors
This is a bill, not current law. SB 354 passed the California Legislature on August 28, 2026 and is awaiting action by the Governor. It is not currently an operative compliance requirement. If enacted, it would revise California's Insurance Information and Privacy Protection Act for insurance licensees and third-party service providers, including areas such as information safeguards, privacy notices, data handling, retention, third-party relationships, and consumer information rights.
- Official source
- California Legislative Information ↗
- Jurisdiction
- California
- Publication date
- August 28, 2026
- Legacy Core review
- September 2, 2026 · Christopher Green
- Source checked
- September 2, 2026
- Affected sectors
- Insurance, Financial Services, General Professional Services
Summary
This is a bill, not current law. SB 354 passed the California Legislature on August 28, 2026 and is awaiting action by the Governor. It is not currently an operative compliance requirement. If enacted, it would revise California's Insurance Information and Privacy Protection Act for insurance licensees and third-party service providers, including areas such as information safeguards, privacy notices, data handling, retention, third-party relationships, and consumer information rights.
Why it matters
Insurance agencies have historically followed sector-specific privacy rules. If enacted, this bill would change that baseline, including duties that can flow to vendors handling quoting, claims, marketing, or IT. Final scope and effective dates depend on whether the Governor signs the bill and on the final text as passed by the Legislature.
Recommended action
Do not treat the bill as enacted. Read the current text on the California Legislature site. If you hold an insurance license, review with qualified counsel which provisions would apply to your agency and to vendors that touch policyholder data.