AN ACT TO PROVIDE A CANCELLATION PERIOD FOR RESIDENTIAL ROOF REPLACEMENT OR REPAIR CONTRACTS, TO PERMIT CERTAIN INSURANCE TRADE PRACTICES RELATED TO GIFTS, REBATES, AND SERVICES OFFERED FOR FREE OR FOR LESS THAN MARKET VALUE, AND TO PLACE A CAP ON INSURANCE REFERRAL FEES PAID TO NONLICENSED PERSONS. SL 2024-11. Enacted June 20, 2024. Effective October 1, 2024.
PREDATORY ROOFING/INS. REBATE REFORM. (NEW)
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AN ACT TO PROVIDE A CANCELLATION PERIOD FOR RESIDENTIAL ROOF REPLACEMENT OR REPAIR CONTRACTS, TO PERMIT CERTAIN INSURANCE TRADE PRACTICES RELATED TO GIFTS, REBATES, AND SERVICES OFFERED FOR FREE OR FOR LESS THAN MARKET VALUE, AND TO PLACE A CAP ON INSURANCE REFERRAL FEES PAID TO NONLICENSED PERSONS.Intro. by Johnson.
SOG comments (3):
Long title change
Committee substitute to the 2nd edition changed the long title. Previous long title was AN ACT PERMITTING CERTAIN INSURANCE TRADE PRACTICES RELATED TO GIFTS, REBATES, AND SERVICES OFFERED FOR FREE OR FOR LESS THAN MARKET VALUE AND PLACING A CAP ON INSURANCE REFERRAL FEES PAID TO NONLICENSED PERSONS.
Long title change
House committee substitute to the 3rd edition changed the long title. Previous title was AN ACT TO PROVIDE A CANCELLATION PERIOD FOR RESIDENTIAL ROOF REPLACEMENT OR REPAIR CONTRACTS.
Bill History:
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Thu, 16 Feb 2023 Senate: Filed
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Thu, 16 Feb 2023 Senate: Filed
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Thu, 16 Feb 2023 Senate: Filed
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Mon, 20 Feb 2023 Senate: Passed 1st Reading
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Mon, 20 Feb 2023 Senate: Passed 1st Reading
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Mon, 20 Feb 2023 Senate: Ref To Com On Rules and Operations of the Senate
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Mon, 20 Feb 2023 Senate: Ref To Com On Rules and Operations of the Senate
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Mon, 20 Feb 2023 Senate: Passed 1st Reading
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Mon, 20 Feb 2023 Senate: Ref To Com On Rules and Operations of the Senate
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Mon, 20 Feb 2023 Senate: Passed 1st Reading
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Mon, 20 Feb 2023 Senate: Ref To Com On Rules and Operations of the Senate
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Tue, 21 Mar 2023 Senate: Withdrawn From Com
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Tue, 21 Mar 2023 Senate: Withdrawn From Com
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Tue, 21 Mar 2023 Senate: Withdrawn From Com
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Tue, 25 Apr 2023 Senate: Reptd Fav Com Substitute
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Tue, 25 Apr 2023 Senate: Com Substitute Adopted
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Tue, 25 Apr 2023 Senate: Re-ref Com On Rules and Operations of the Senate
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Tue, 25 Apr 2023 Senate: Reptd Fav Com Substitute
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Tue, 25 Apr 2023 Senate: Com Substitute Adopted
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Tue, 25 Apr 2023 Senate: Re-ref Com On Rules and Operations of the Senate
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Tue, 25 Apr 2023 Senate: Reptd Fav Com Substitute
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Tue, 25 Apr 2023 Senate: Com Substitute Adopted
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Tue, 25 Apr 2023 Senate: Re-ref Com On Rules and Operations of the Senate
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Wed, 26 Apr 2023 Senate: Reptd Fav
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Wed, 26 Apr 2023 Senate: Reptd Fav
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Wed, 26 Apr 2023 Senate: Reptd Fav
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Thu, 27 Apr 2023 Senate: Passed 2nd Reading
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Thu, 27 Apr 2023 Senate: Passed 3rd Reading
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Thu, 27 Apr 2023 Senate: Passed 2nd Reading
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Thu, 27 Apr 2023 Senate: Passed 3rd Reading
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Thu, 27 Apr 2023 Senate: Passed 2nd Reading
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Thu, 27 Apr 2023 Senate: Passed 3rd Reading
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Tue, 2 May 2023 Senate: Regular Message Sent To House
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Tue, 2 May 2023 House: Regular Message Received From Senate
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Tue, 2 May 2023 Senate: Regular Message Sent To House
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Tue, 2 May 2023 House: Regular Message Received From Senate
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Tue, 2 May 2023 Senate: Regular Message Sent To House
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Tue, 2 May 2023 House: Regular Message Received From Senate
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Wed, 3 May 2023 House: Passed 1st Reading
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Wed, 3 May 2023 House: Passed 1st Reading
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Wed, 3 May 2023 House: Passed 1st Reading
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Wed, 8 May 2024 House: Withdrawn From Com
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Wed, 8 May 2024 House: Withdrawn From Com
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Wed, 8 May 2024 House: Withdrawn From Com
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Wed, 15 May 2024 House: Reptd Fav Com Substitute
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Wed, 15 May 2024 House: Re-ref Com On Insurance
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Wed, 15 May 2024 House: Reptd Fav Com Substitute
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Wed, 15 May 2024 House: Re-ref Com On Insurance
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Wed, 22 May 2024 House: Reptd Fav Com Sub 2
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Wed, 22 May 2024 House: Re-ref Com On Rules, Calendar, and Operations of the House
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Wed, 5 Jun 2024 House: Reptd Fav
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Wed, 5 Jun 2024 House: Cal Pursuant Rule 36(b)
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Wed, 5 Jun 2024 House: Added to Calendar
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Wed, 5 Jun 2024 House: Passed 2nd Reading
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Wed, 5 Jun 2024 House: Passed 3rd Reading
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Thu, 6 Jun 2024 House: Regular Message Sent To Senate
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Thu, 6 Jun 2024 Senate: Regular Message Received For Concurrence in H Com Sub
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Thu, 6 Jun 2024 Senate: Ref To Com On Rules and Operations of the Senate
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Tue, 11 Jun 2024 Senate: Withdrawn From Com
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Tue, 11 Jun 2024 Senate: Placed On Cal For 06/12/2024
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Wed, 12 Jun 2024 Senate: Concurred In H Com Sub
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Wed, 12 Jun 2024 Senate: Ordered Enrolled
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Thu, 13 Jun 2024 Senate: Ratified
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Fri, 14 Jun 2024 Senate: Pres. To Gov. 6/14/2024
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Thu, 20 Jun 2024 Senate: Signed by Gov. 6/20/2024
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Thu, 20 Jun 2024 Senate: Signed by Gov. 6/20/2024
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Thu, 20 Jun 2024 Senate: Ch. SL 2024-11
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Thu, 20 Jun 2024 Senate: Ch. SL 2024-11
Bill Summaries:
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Bill S 124 (2023-2024)Summary date: Jun 20 2024 - View Summary
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Bill S 124 (2023-2024)Summary date: May 22 2024 - View Summary
House committee substitute to the 3rd edition makes the following changes. Amends definition of residential roof replacement and repair services under GS 14-401.13 (failure to give right to cancel in off-premises sales) to specify that the licensure that the contractor performing the services holds must be issued under Article 1 of GS Chapter 87.
Adds new GS 58-63-16 (permitted trade practices) permitting an insurer, insurance producer (defined), or limited representative (defined) to offer products or services when the products or services are: (1) offered in connection with the marketing, purchase, or retention of an insurance contract and do not exceed an aggregate retail value of $250 per person per year; (2) are offered without fee or at a reduced fee and are related to the servicing of an insurance contract or are offered or undertaken to provide risk control for the benefit of an insured; or (3) are offered without fee or at a reduced fee and are not contingent upon the purchase of insurance, are offered on the same terms to everyone, and the requirements of this subdivision are conspicuously disclosed to the recipient in writing. Specifies that new GS 58-63-16 does not apply to title insurance. Expands the activities not covered by GS 58-33-85 (rebates and charges in excess of premium prohibited; exceptions) and GS 58-63-15(7) and (8) (unfair trade practices) to include the trade practices permitted by GS 58-63-16. Makes organizational and technical changes to GS 58-33-85.
Sets a cap for insurance commissions, fees, or other valuable consideration to an unlicensed broker under GS 58-33-82(f) (commissions) at $50. Permits imposition of a fine not to exceed to $2,000 per violations for violations of the subtitle. Exempts title insurance. Applies to any referral of insurance business made on or after October 1, 2024.
Makes conforming changes to act’s titles.
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Bill S 124 (2023-2024)Summary date: May 15 2024 - View Summary
House committee substitute to the 2nd edition replaces the content of the previous edition with the following.
Amends GS 14-401.13 by making contracts for residential roof replacement or repair subject to a five-business day cancellation period following an insurance claim denial for the work to be performed under the contract. Prohibits the seller from beginning work or collecting payment until the expiration of the five business days. Entitles the residential roofing contractor to collect the amount due for emergency services at the time they are rendered, if the services were acknowledged by the insured as necessary to prevent further damage to the premises. Violations are a Class 1 misdemeanor. Amends the terms that are defined for use in this statute by adding and defining residential roof replacement and repair services and to amend the definitions of consumer goods or services and seller to account for residential roof replacement and repair services. Applies to contracts entered into on or after October 1, 2024.
Makes conforming changes to the act’s titles.
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Bill S 124 (2023-2024)Summary date: Apr 25 2023 - View Summary
Senate committee substitute to the 1st edition makes the following changes. Amends prong three of new GS 58-63-16 authorizing insurers, insurance producers, and limited representatives to offer or provide products and services without or at a reduced fee (was, without or at a reduced fee regardless of whether the products or services are related to an insurance contract) if all of the following are met: their receipt is not contingent upon the purchase of insurance, they are offered on the same terms to all potential eligible customers (was, just all potential customers), and these such requirements are received by the recipient in writing. Makes clarifying changes, and no longer specifies that the provisions in new GS 58-63-16 (a) are notwithstanding GS 58-33-58 and GS 58-63-15. Enacts new GS 58-33-82(f) (commissions) capping commissions, fees or other valuable consideration for certain referral of insurance business by an unlicensed individual to a licensed insurance agent or broker at $50. Specifies that a violation of the new subsection can be punished by a fine not to exceed $2,000 for each violation. Exempts title insurance from $50 cap. Applies to any referral of insurance business made after October 1, 2023. Amends the act's long title.
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Bill S 124 (2023-2024)Summary date: Feb 16 2023 - View Summary
Enacts GS 58-63-16 to authorize insurers, insurance producers, and limited representatives to offer or provide products and services:
- of up to $250 in aggregate retail value, per person per year, in connection with the marketing, purchase, or retention of an insurance contract;
- without or at a reduced fee for products or services related to servicing an insurance contract or offered or undertaken to provide risk control for the insured; and
- without or at a reduced fee if their receipt is not contingent upon the purchase of insurance, they are offered on the same terms to all potential customers, and these such requirements are received by the recipient in writing.
Defines insurance producer and limited representative by statutory cross references. Provides that this described authority is granted notwithstanding state laws prohibiting rebates beyond premiums under GS 58-33-85, or unfair methods of competition and unfair or deceptive acts or practices under GS 58-63-15. Makes conforming changes to GS 58-33-85 and GS 58-63-15. Effective October 1, 2023.
Senate committee substitute to the 1st edition changed the long title. Original title was AN ACT PERMITTING CERTAIN INSURANCE TRADE PRACTICES RELATED TO GIFTS, REBATES, AND SERVICES OFFERED FOR FREE OR FOR LESS THAN MARKET VALUE.