Genetic testing for life and disability insurance.

Existing law generally regulates classes of insurance, including life and disability insurance. Existing law prohibits an insurer from requiring a test for the presence of a genetic characteristic for the purpose of determining insurability, except as specified. If an insurer requests an applicant to take a genetic characteristic test, existing law requires the insurer to obtain the applicant's written informed consent and to notify the applicant of the test result. Existing law prohibits a life or disability income insurer from requiring a genetic characteristic test if the results of the test would be used to determine eligibility for specified health care coverage. Existing law prescribes civil penalties for an insurer who discloses the results of a test for a genetic characteristic requested by the insurer. This bill would repeal those provisions and would instead prohibit a life or disability insurer from canceling, limiting, or denying coverage, among other actions, based on a test for the presence or absence of a genetic characteristic. The bill would authorize a life or disability insurer to base an underwriting decision on a test for the presence or absence of a genetic characteristic if specified criteria are met. The bill would, except as provided, prohibit a life or disability insurer from requiring, requesting, or soliciting genetic information, using genetic test results, or considering a person's decisions or actions relating to genetic testing in any manner for an insurance purpose. The bill would additionally impose civil penalties for the use of genetic information or genetic characteristics in a manner inconsistent with these provisions, as specified, and other civil penalties for any violation of these provisions. The bill would also prohibit the use or disclosure of an individual's full genome. Existing law, the Insurance Information and Privacy Protection Act, prohibits an insurance institution, agent, or insurance-support organization from seeking specified information in connection with an insurance transaction or preparing or requesting an investigative consumer report about an individual for an insurance application, except as specified. Existing law prohibits an insurance institution or agent from basing an adverse underwriting decision on specified information. Existing law prohibits an insurance institution, agent, or insurance-support organization from utilizing a form or statement that authorizes disclosure of personal or privileged information as its disclosure form, unless the form or statement meets specified criteria. This bill would prohibit an insurance institution, agent, or insurance-support organization from seeking information in connection with an insurance transaction concerning, or prohibit an insurance institution or agent from basing an adverse underwriting decision on, an individual's genetic information or full genome, unless specified criteria are met. The bill would prohibit an insurance institution, agent, or insurance-support organization from preparing or requesting an investigative consumer report that seeks an individual's genetic information or full genome. This bill would state the intent of the Legislature that, notwithstanding any other law, these provisions shall not be interpreted to authorize the use or disclosure of an individual's full genome. This bill would incorporate additional changes to Sections 791.07, 791.11, and 791.12 of the Insurance Code proposed by SB 354 to be operative only if this bill and SB 354 are enacted and this bill is enacted last.