Guide aims to improve insurance industry’s use of Section 29(3) of the Data Protection Act


The Chartered Insurance Institute (CII) has launched a best practice guide aimed at improving the insurance industry’s data sharing under Section 29(3) of the Data Protection Act.

Section 29(3) allows companies to share data with a third party to prevent and detect crime. The guide is aimed at improving the Section 29(3) requests made in respect of claims, underwriting or financial crime within the insurance profession.

The guide’s launch follows two years of work by the CII claims faculty’s New Generation Group with support from the Insurance Fraud Bureau (IFB).

The launch follows original work from the 2013 New Generation Group. The work highlighted a series of issues with Section 29(3), namely that marked requests were in unmanageably high volumes, often “non-compliant” and “added little to counter fraud investigations”.

The CII said companies that agree to operate under the guide’s model are obliged to:

  • Ensure their employees make requests only where it is appropriate and necessary
  • Ensure that due consideration is given to requests received by them
  • Provide a detailed reason to the requester in the event that they are unwilling to disclose personal data
  • Ensure their staff are appropriately trained in the use of Section 29(3)
  • Ensure their single point of contact (SPOC) details are kept fully up to date with the IFB; and
  • Ensure a representative attends and fully participates in the IFB’s regular forums.

CII claims group member Nigel Fryer said: “We embarked on this project to try and make a difference in the profession.

“Through the support and collaboration of insurers, solicitors and other organisations we have produced this guidance which we are sure will improve the way data is shared. With the IFB’s support we hope a number of the collaborators will sign up and help improve our ability as a sector to detect and prevent fraud.”

CII director of faculties Ant Gould said: “After two years of hard work I am delighted that the 2013 Claims Faculty New Generation Group members’ vision for change will finally be delivered, with the support of the IFB, and they should be commended on their dedication to improving standards – all outside of their day jobs.”

IFB head of intelligence Stephen Dalton added: “The IFB will manage the administration of this CII initiative designed to ensure consistent high standards across the industry.

”As well as holding regular forums where adopters of the initiative can discuss and resolve any issues, we will also be responsible for ensuring that the guidance remains compliant with any changes made to the Data Protection Act.”