The proposed Substitute Senate Bill No. 4 (sSB4) aims to enhance consumer privacy and protection in Connecticut by establishing a regulatory framework for data brokers, effective October 1, 2026. Key provisions include the requirement for data brokers to register with the Department of Consumer Protection (DCP) and pay a $600 registration fee, which must be renewed annually. The bill introduces definitions for terms such as "data broker," "brokered personal data," and "deletion request," and mandates that data brokers create a privacy policy to comply with the new regulations. Additionally, it establishes a deletion mechanism that allows consumers to submit verified requests for the deletion of their personal data, which data brokers must process and verify regularly. The bill also prohibits the sale or sharing of precise geolocation data and imposes civil penalties for violations.

Furthermore, the bill enhances consumer rights by allowing individuals to confirm whether their data is being processed, access their data, correct inaccuracies, and opt out of targeted advertising and profiling. It requires data brokers to undergo independent audits every three years to ensure compliance and mandates that businesses disclose information about deletion requests on their websites. The bill exempts certain entities, such as financial institutions and consumer reporting agencies, from its provisions while ensuring that they still adhere to existing federal regulations. Overall, sSB4 seeks to create a more accountable environment for data brokers, empower consumers with greater control over their personal information, and enhance transparency in data handling practices.