Which legislation prohibits sharing of medical information among health insurers and other financial institutions for use in making credit decisions?

The correct legislation that prohibits the sharing of medical information among health insurers and other financial institutions for use in making credit decisions is the Fair and Accurate Credit Transactions Act (FACTA), which is a part of the Fair Credit Reporting Act (FCRA). While the answer provided was C (presumably intending to indicate the Fair and Accurate Credit Transactions Act), it's important to clarify that FSMA (Financial Services Modernization Act) is not the piece of legislation that focuses specifically on medical data and credit decisions.

This legal framework is designed to protect consumer privacy and ensure that sensitive personal health information is not used irresponsibly or in ways that could lead to discrimination in credit decisions.

HIPAA (Health Insurance Portability and Accountability Act) is focused on the privacy and security of health information but does not specifically address financial institutions’ use of medical information in credit assessments. TEFRA (Tax Equity and Fiscal Responsibility Act) and ARRA (American Recovery and Reinvestment Act) deal with various aspects of healthcare financing and reform but do not directly pertain to the sharing of medical information for credit decisions.

Understanding this context highlights the importance of the correct answer, emphasizing the protection of consumers’ medical information in the financial decision-making process.