Electronic Data Interchange, Data Protection and the European Community: Implications for the Banking and Insurance Sectors

Banking and insurance sectors have witnessed an increased use of computers for transferring all types of information. There is no uniformity in the extent to which different Member States of the European Community (EC) protect a data subject's right to privacy. The EC has sought to harmonise the disparate laws while trying to maintain a balance between the free flow of information and the individual's right to privacy. This paper considers in brief some of the provisions put forward in the revised draft directive of the Council that are likely to affect the insurance and business industries.