The FTC Safeguards Rule (under the Gramm-Leach-Bliley Act) requires financial institutions, which include many insurance agencies, to develop, implement, and maintain a written information security program. Core elements are risk assessment, access controls, encryption, multi-factor authentication, vendor oversight, and incident response.The rule emphasizes continuous monitoring and periodic training. For agencies handling sensitive client data-health information, SSNs, financials-Safeguards compliance reduces breach risk and supports trust. Regulators may impose penalties for noncompliance, and carriers increasingly ask distribution partners to attest to adherence in contracting and audits.

Agencies implement written security programs-risk assessments, MFA, encryption,vendor oversight-and train staff. Carriers increasingly require attestations in contracting. Documented controls and incident-response plans reduce breach risk and satisfy regulatory and partner expectations.