Are you mailing Privacy Notices to Employers with Health FSAs?
Date Published: Thursday, July 5, 2001
. . . Or do you have to?
You probably have received at least one Privacy Notice from your bank or other financial institutions. Did you realize that Health FSAs may also require insurers and licensed third-party administrators (TPAs) to issue such notices? Do you have to send them out? And when? Well, it depends on the state in which you work.
What started this? Blame this occurrence on the Gramm-Leach-Bliley Financial Services Modernization Act (GLB), a comprehensive statute regulating financial institutions. It is very possible that Title V of the GLB applies to licensed TPAs. We suggest that you check with the state(s) where you do business to find out what you are required to do as a licensed TPA..
To find out more about the GLB, you can go to, go to http://www.sia.com/gramm_leach_bliley/ for a summary of this Act and to http://www.senate.gov/~banking/conf/ for full details. If you are members of ECFC, John Hickman has written an article on this Act in the June 2001 Flex Reporter (www.ecfc.org).