A BILL TO BE ENTITLED
AN ACT to prohibit insurers providing health care policies or certificates from printing an individual's social security number on member identification cards or from otherwise making public the individual's social security number.
The General Assembly of North Carolina enacts:
SECTION 1.  Article 3 of Chapter 58 of the General Statutes is amended by adding the following new section to read:
"§ 58‑3‑216. Dissemination of social security numbers.
(a)	No insurer shall:
(1)	Print an individual's social security number on any card required for the individual to access benefits under the individual's health care policy or certificate.
(2)	Transmit or require the transmission of an individual's social security number over the Internet unless the social security number is encrypted.
(3)	Require the use of an individual's social security number to access an Internet web site, unless a password or unique personal identification number or other authentication device is also required to access the site.
(4)	Intentionally communicate or otherwise make available an individual's social security number to the general public.
(5)	Print a number that the insurer knows to be an individual's social security number on any materials that are mailed to the individual, unless State or federal law requires the social security number to be on the document to be mailed. This subdivision does not prohibit the mailing of documents that include social security numbers sent as part of an application or enrollment process or to establish, amend, or terminate an account, contract, or policy, or to confirm the accuracy of the social security number.
(b)	For health care policies or certificates issued or renewed on and after the effective date of this section, the insurer shall provide to each insured written disclosure of the insured's right to stop the use of the insured's social security number in a manner prohibited by this section.
(c)	This section does not prohibit the collection, use, or release of a social security number as required by the laws of this State or the United States or for internal verification or administrative purposes.
(d)	As used in this section, the term "insurer" means an entity that writes coverage for health care and that is an insurance company subject to this Chapter, a service corporation under Article 65 of this Chapter, a health maintenance organization under Article 67 of this Chapter, or a multiple employer welfare arrangement under Article 49 of this Chapter."
SECTION 2.  Section 1 of this act becomes effective January 1, 2006, and applies to policies or certificates issued or renewed on or after that date. The remainder of this act is effective when it becomes law.