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Can I use customer data for marketing purposes without violating privacy laws in Louisiana? What are the requirements?
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Using Customer Data for Marketing Purposes in Louisiana
Louisiana law prohibits the use of nonpublic customer information for the purpose of selling or soliciting the purchase of insurance or providing nonpublic customer information to a third party for the purpose of another’s sale or solicitation of the purchase of insurance, unless it is clearly and conspicuously disclosed that the information may be so used, and the customer has provided prior written consent to the use for this purpose [1.1].
However, there are no specific laws in Louisiana that prohibit the use of customer data for marketing purposes outside of the insurance industry. Nonetheless, businesses should be aware of the potential privacy concerns and should take steps to protect customer data.
Requirements for Using Customer Data for Marketing Purposes
If you plan to use customer data for marketing purposes, it is important to obtain the customer’s consent. The consent should be obtained in a separate document and should not be required as a condition for performance of other services for the customer [1.1].
Additionally, it is important to clearly and conspicuously disclose how the customer’s data will be used. This disclosure should be made in a way that is easy for the customer to understand.
Finally, businesses should take steps to protect customer data from unauthorized access or disclosure. This includes implementing appropriate security measures and limiting access to customer data to only those employees who need it to perform their job duties.
Louisiana Department of Health
The Louisiana Department of Health is responsible for collecting healthcare cost, quality, and performance data elements to be reported to the department in accordance with existing national and international data standards for facilitating meaningful comparison by consumers of costs for specific healthcare services and specific quality of care measures between and among medical facilities, healthcare providers, and health plans [2.1]. The department is required to maintain the computerized database of personal health information of consumers in a secure environment in compliance with federal laws providing for the security of the system containing such data [2.1].
Conclusion
In summary, Louisiana law prohibits the use of nonpublic customer information for the purpose of selling or soliciting the purchase of insurance without the customer’s consent. However, there are no specific laws in Louisiana that prohibit the use of customer data for marketing purposes outside of the insurance industry. Nonetheless, businesses should obtain customer consent, clearly disclose how the data will be used, and take steps to protect customer data from unauthorized access or disclosure. The Louisiana Department of Health is responsible for collecting healthcare cost, quality, and performance data elements and maintaining the computerized database of personal health information of consumers in a secure environment.
Source(s):
- [1.1] Customer privacy; protections
- [2.1] Data collection; powers and duties of the Louisiana Department of Health
Jurisdiction
Louisiana