Increasing Notice of Foreign Outsourcing Act
The source supplies the latest action, but no lifecycle stage.
Latest action (20 May 2004): Read twice and referred to the Committee on the Judiciary. (text of measure as introduced: CR S6007-6009)
What this bill does
This bill, S. 2472, would require certain companies that outsource protected health information or nonpublic personal information to foreign countries to provide additional information in their privacy notices to consumers. This would include details about the outsourcing, any associated privacy and security risks, and the steps being taken to protect the information. The bill also mandates that contracts with foreign outsourcing partners include audit provisions and require these partners to adhere to U.S. privacy and security standards.
The legislation affects health care providers and financial institutions that outsource sensitive data abroad. It also proposes new rules for foreign call centers, requiring employees to disclose their physical location if asked by a customer. The bill introduces notification procedures for data breaches involving outsourced information and establishes civil penalties for violations.
S. 2472 was introduced in the Senate and referred to the Committee on the Judiciary. As of its introduction, its latest action is simply that it has been introduced. Further legislative action would depend on the committee's review and potential advancement of the bill.
Plain-English summary generated by Bill100 AI from the official record. Always verify against the source below.
Official summary
Increasing Notice of Foreign Outsourcing Act - Directs the Secretary of Health and Human Services (HHS) to issue regulations requiring covered entities under the Health Insurance Portability and Accountability Act of 1996 that outsource protected health information to foreign-based business associates to include in their notice of privacy protections: (1) notification of outsourcing; (2) any risks and consequences to the privacy and security of such information resulting from outsourcing; (3) additional measures the covered entity is taking to protect outsourced protected health information; and (4) certification that the covered entity has taken reasonable steps to ensure that the handling of such information will comport with applicable laws.
Amends the Gramm-Leach-Bliley Act to impose similar requirements on financial institutions that outsource nonpublic personal information to foreign-based businesses.
Directs the Secretary of HHS, with regard to protected health information outsourced by covered entities, and the Federal banking agencies, National Credit Union Administration, Secretary of the Treasury, Securities and Exchange Commission, and Federal Trade Commission, with regard to nonpublic personal information outsourced by financial institutions, to issue regulations requiring: (1) outsourcing contracts with foreign-based businesses to contain audit provisions; and (2) such businesses and subcontractors to be contractually bound by Federal privacy standards and security safeguards.
Establishes notification procedures in the event of a breach of database security involving protected health or nonpublic personal information.
Requires contracts with foreign call centers to include a provision requiring call center employees to disclose their physical location upon request. Imposes civil penalties for violators.
Timeline
20 May 2004
Read twice and referred to the Committee on the Judiciary. (text of measure as introduced: CR S6007-6009)
Common questions
- What does S. 2472 do?
- This bill, S. 2472, would require certain companies that outsource protected health information or nonpublic personal information to foreign countries to provide additional information in their privacy notices to consumers. This would include details about the outsourcing, any associated privacy and security risks, and the steps being taken to protect the information. The bill also mandates that contracts with foreign outsourcing partners include audit provisions and require these partners to adhere to U.S. privacy and security standards. The legislation affects health care providers and financial institutions that outsource sensitive data abroad. It also proposes new rules for foreign call centers, requiring employees to disclose their physical location if asked by a customer. The bill introduces notification procedures for data breaches involving outsourced information and establishes civil penalties for violations. S. 2472 was introduced in the Senate and referred to the Committee on the Judiciary. As of its introduction, its latest action is simply that it has been introduced. Further legislative action would depend on the committee's review and potential advancement of the bill.
- Has S. 2472 become law?
- The source does not supply a confirmed lifecycle stage for S. 2472. Check the latest action and official source below.
- Who sponsored S. 2472?
- S. 2472 was sponsored by Sen. Nelson, Bill [D-FL] (D-FL), with 0 cosponsors.
- What's the latest action on S. 2472?
- Read twice and referred to the Committee on the Judiciary. (text of measure as introduced: CR S6007-6009) (20 May 2004).
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More bills from Sen. Nelson, Bill [D-FL]
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