SHB 2482 -
By Representative Kirby
Beginning on page 5, line 19, strike all of section 7 and insert the following:
"NEW SECTION. Sec. 7 (1) For a period of seven years from
receipt by the commissioner, any documents, materials, or other
information in the possession or control of the commissioner that are
provided or obtained by the commissioner in an investigation of
suspected or actual fraudulent insurance acts under this chapter are
confidential by law, privileged, not subject to public disclosure under
chapters 42.17 and 42.56 RCW, not subject to subpoena, and not subject
to discovery or admissible in evidence in any private civil action.
However, except for information under subsections (6) and (7) of this
section, information regarding a specific person may be disclosed to
that person, and only that person, upon request of the person. The
commissioner and prosecutors are authorized to use the documents,
materials, or other information in the furtherance of (a) any
regulatory or legal action brought as part of the commissioner's
official duties, or (b) criminal prosecution.
(2) For a period of seven years from receipt by the commissioner,
neither the commissioner nor any person who received the documents,
materials, or other information while acting under the authority of
this chapter may be permitted or required to testify in any private
civil action concerning any confidential documents, materials, or
information subject to subsection (1) of this section.
(3) In order to assist in the performance of the commissioner's
duties under this chapter, the commissioner may:
(a) Share documents, materials, or other information, including
confidential and privileged documents, material, or information subject
to subsection (1) of this section with other state, federal, and
international regulatory agencies, with the national association of
insurance commissioners and its affiliates and subsidiaries, and with
local, state, federal, and international law enforcement authorities,
the national insurance crime bureau, and an insurer with respect to
whom the suspected fraudulent claim may be perpetrated provided that
the recipient agrees to maintain the confidentiality and privileged
status of the document, material, or other information;
(b) Receive documents, materials, or information, including
otherwise confidential and privileged documents, materials, or
information from the national association of insurance commissioners
and its affiliates and subsidiaries, an insurer with respect to whom
the suspected fraudulent claim may be perpetrated, the national
insurance crime bureau, and from regulatory and law enforcement
officials of other foreign or domestic jurisdictions, and for a period
of seven years from receipt by the commissioner shall maintain as
confidential or privileged any document, material, or information
received with the notice or the understanding that it is confidential
or privileged under the laws of the jurisdiction that is the source of
the document, material, or information; and
(c) Enter into agreements governing sharing and use of information
consistent with this section.
(4) No waiver of an existing privilege or claim of confidentiality
in the documents, materials, or information may occur as a result of
disclosure to the commissioner under this section or as a result of
sharing documents, materials, or information as authorized in
subsection (3) of this section.
(5) Documents, materials, or other information that are in the
possession of persons other than the commissioner that would otherwise
not be confidential by law or privileged do not become confidential by
law or privileged by providing the documents, materials, or other
information to the commissioner.
(6) Information obtained by the commissioner under this chapter
revealing the identity of persons who are witnesses to or victims of
crime or who file complaints with insurers, investigative agencies, law
enforcement agencies, or penology agencies is exempt from public
inspection and copying under chapters 42.17 and 42.56 RCW, if
disclosure would endanger any person's life, physical safety, or
property. If at the time the information is provided to the insurer,
commissioner, or investigative agencies, or law enforcement agencies
under this chapter, and the complainant, victim, or witness indicates
a desire for disclosure or nondisclosure, their desire governs.
(7) Specific investigative and law enforcement records obtained by
the commissioner, the nondisclosure of which is essential to effective
law enforcement or for the protection of any person's right to privacy,
are exempt from public inspection and copying under chapters 42.17 and
42.56 RCW."