California Heeds Insights Industry Concerns in Three Privacy and AI Bills Before Passing Them Into Law - Articles

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Stay at the forefront of the consumer insights and analytics industry with our Thought Leadership content. Here you’ll find timely updates on the Insights Association’s advocacy efforts, including the latest legislative and regulatory developments that impact how we work. In addition, this section offers expert perspectives on innovative research techniques and methodologies, as well as valuable analysis of evolving consumer trends. Together, these insights provide a trusted resource for professionals looking to navigate change, elevate their practice, and shape the future of our industry.

California Heeds Insights Industry Concerns in Three Privacy and AI Bills Before Passing Them Into Law

California Heeds Insights Industry Concerns in Three Privacy and AI Bills Before Passing Them Into Law

Insights Association advocacy helped protect the conduct of market research, insights and analytics in three California privacy and AI bills, curtailing the impact on relations with research subjects before the bills became law.

A.B. 1331, A.B. 1883 and S.B. 947 were signed into law by California Governor Gavin Newsom (D) on September 30, 2026. They all take effect January 1, 2027.

According to Howard Fienberg, Senior VP Advocacy at the Insights Association, "All three of these bills, before amendment, would have restricted or outright prohibited basic practices of market research, insights and data analytics. All of it would have been on top of the existing California Consumer Privacy Act (CCPA) and other privacy requirements and artificial intelligence restrictions in the Golden State, and hurt a much broader range of companies and organizations."

  • A.B. 1331: IA had opposed California A.B. 1331 originally because the bill, intended to restrict “worker surveillance,” would have also restricted observation of research subjects who receive incentives, because the bill included independent contractors in its definition of a “worker.” The association helped to defeat the bill in 2025, but it was revived in the 2026 legislative session. This time, before becoming law, it was narrowed to only restrict monitoring or observation in bathrooms, a limited situation that should not impede insights studies.
  • A.B. 1883: A.B. 1883 was another “workplace surveillance” bill opposed by IA for its application to “workers” (defined to include independent contractors). The bill would have prohibited using basically anything that collects or facilitates collecting any manner of data, activities, biometrics or behaviors by anything except "direct observation by a person" to make inferences about someone's emotional state or sentiment, collect neural data, or infer a wide variety of demographic data. All those prohibitions would have applied to insights studies with research subjects, regardless of consent, in a state that already heavily regulates the privacy of research subjects under CCPA and other laws. The Insights Association helped to amend A.B. 1883 to remove independent contractors, which should mean the new law will have minimal impact on the insights industry.
  • S.B. 947: IA opposed another “worker”-focused bill covering independent contractors, S.B. 947, because it would have prohibited AI or automation-derived inferences of common demographic data regarding any research subject receiving an incentive, or predictive behavior analysis of such research subjects. It would also have restricted automated decision-making systems involved in terminating or removing such research subjects from a study or panel and required human review and investigation. The Insights Association helped secure an amendment to S.B. 947 removing independent contractors, so the new law should have minimal impact on the insights industry.

“These three outcomes demonstrate the value of sustained advocacy to ensure that lawmakers understand the distinction between market research and the activities their proposals are actually intended to regulate,” Fienberg said.

The Insights Association also thanked the California insights professionals who contacted their legislators through the association’s Action Center, helping demonstrate how the proposed restrictions could have inadvertently harmed legitimate market research.

Fienberg concluded that, “Knowing that the insights industry and our research subjects were never the intended target, IA continues to engage with policymakers to ensure that research subjects and the insights industry are not accidentally swept up in these kinds of efforts. We value research subjects highly, but they are not workers.”

This information is not intended and should not be construed as or substituted for legal advice. It is provided for informational purposes only. It is advisable to consult with private counsel on the precise scope and interpretation of any laws/regulation/legislation and their impact on your particular business.

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