News from the Associations

American Bankers Association is taking immediate action on the privacy issue. They have already formed a task force to study the issue of consumer privacy.

The task force is being created from banks of all sizes and was announced during a speech to the association's Community Bankers Council. The group has until July to recommend ways banks can improve privacy protections.

As Bankers' Hotline readers are well aware, the Internet and technological advances have raised consumer concerns about how personal information is collected and used. ABA's President Hjalma Johnson pointed out during that speech that "...privacy is a cornerstone of the banking industry so it is up to that industry to take the lead in protecting customers."

Meanwhile, the Independent Community Bankers of America had some good news for its members. It announced in early December that participants in its insurance program were getting a $1.25 million dividend. The second largest dividend in the program's history was the result of successful attempts by participating members and the insurance company, St. Paul Insurance, to hold down workplace exposures. The insurance program covers areas such as bond insurance, director liability, lender liability, and property and casualty coverage. For information, visit www.icba.org.

Copyright © 2000 Bankers' Hotline. Originally appeared in Bankers' Hotline, Vol. 9, No. 12, 1/00