Blumenthal backs Nicastro's Social Security number protection measure

Attorney General Richard Blumenthal's testimony before the General Law Committee, Tuesday, March 4, 2008:

I appreciate the opportunity to support House Bill 5658, An Act Concerning the Confidentiality of Social Security Numbers.
The proposal prohibits retailers and other businesses from requiring customers to disclose their Social Security numbers as a condition of any sale or purchase of a good or service.
Social Security numbers often are the gateway for identity theft. Federal law restricts government agency requests for such information but does not regulate how businesses require or use social security numbers. Yet, the likelihood of identity theft from Social Security numbers is just as great when such information is in the possession of private businesses as they are in the possession of governmental agencies.
Over the past two years it has become unfortunately all too common for a business data base to be compromised by hackers or identity thieves. In a number of these situations, consumers' Social Security numbers were part of the stolen information, causing significant financial problems for these consumers.
Often, Social Security information is unnecessary in order for the business to transact a sale or lease with a consumer. Yet, the businesses request the information and it becomes part of the data base of the business.
Five years ago, the General Assembly had the wisdom to restrict public display of Social Security numbers or use of such information as membership identification numbers. The proposal in this legislation simply extends that identity theft initiative to prohibit businesses from demanding Social Security numbers in return for the purchase or lease of goods or services. The committee may wish to provide an exception for legitimate business purposes such as extension of credit, where a Social Security number may be required to assure access to credit reports.
I urge the committee's favorable consideration of House Bill 5658.

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