1. (a) A covered entity is not subject to the notice and opt out requirements for nonpublic personal financial information set forth in this subchapter if the covered entity is an employee, agent or other representative of another covered entity ("a principal") and:

   1. (1) the principal otherwise complies with, and provides the notices required by, the provisions of this subchapter; and
   2. (2) the covered entity does not disclose any nonpublic personal financial information to any person other than the principal or its affiliates in a manner permitted by this subchapter.
2. (b) Subject to subsection (c) of this section, covered entity shall also include an eligible surplus lines insurer to the extent that insurer accepts business placed through a person subject to the Insurance Code, Article 1.14-2.

3. (c) A person transacting surplus lines business shall be deemed to be in compliance with the notice and opt out requirements for nonpublic personal financial information set forth in this subchapter provided:

   1. (1) the person does not disclose nonpublic personal financial information of a consumer or a customer to nonaffiliated third parties for any purpose, including joint servicing or marketing under §22.17 of this title (relating to Exception to Opt Out Requirements for Disclosure of Nonpublic Personal Financial Information for Service Providers and Joint Marketing), except as permitted by §22.18 of this title (relating to Exceptions to Notice and Opt Out Requirements for Disclosure of Nonpublic Personal Financial Information for Processing and Servicing Transactions) and §22.19 of this title (relating to Other Exceptions to Notice and Opt Out Requirements for Disclosure of Nonpublic Personal Financial Information); and
   2. (2) the person delivers to the consumer at the time a customer relationship is established Form Number FNPRV DSC/SRPLN provided at Figure 8 of §22.26(b) of this title (relating to Forms), in at least 16 point type.

Source Note:The provisions of this §22.3 adopted to be effective December 17, 2001, 26 TexReg 10316.