Consumers of insurance products may expect a more robust protection as the Insurance Commission (IC) has entered into an agreement with National Privacy Commission (NPC) to advance the use of Privacy-Enhancing Technologies (PETs) in the industry.
Other sectors covered in this enhanced protection are organizations regulated by the IC, including pre-need companies and health maintenance organizations (HMOs).
IC and NPC define PETs as “tools that enable secure data processing by minimizing the exposure of sensitive or personally identifiable information.”
“The adoption of PETs in the insurance, pre-need and HMO sector is critical in maintaining consumer trust and ensuring robust data protection,” it said in a Dec. 4 statement.
According to Insurance Commissioner Reynaldo A. Regalado, “the insurance industry processes vast amounts of personal data daily through activities such as policy underwriting, claims processing, and customer service transactions.”
“As the industry's regulator, we are committed to strengthening privacy measures to protect consumer information and uphold the integrity of the insurance sector,” Regalado said.
Accordingly, the IC and NPC will issue guidelines for adopting PETs in the insurance sector, ensuring compliance with data privacy laws.
Likewise, the agreement sets the foundation for the two agencies to monitor compliance by the insurance industry through joint audits and the submission of regular reports.
To further strengthen the sector's capabilities, the IC and NPC will provide training and capacity-building programs tailored to the specific needs of insurance companies.
“By adopting PETs, the insurance industry is poised to strengthen its data privacy measures, ensuring a more trustworthy and consumer-focused environment,” IC stated.