Bill Summary for S 496 (2021-2022)
- Business and Commerce
- Development, Land Use and Housing
- Property and Housing
- Elementary and Secondary Education
- Higher Education
- Public Safety and Emergency Management
- State Agencies
- UNC System
- Department of Insurance
- Local Government
- Health and Human Services
- Health Insurance
|View NCGA Bill Details||2021|
AN ACT TO AMEND AND TO MAKE CLARIFYING CHANGES TO VARIOUS INSURANCE LAWS, AS RECOMMENDED BY THE DEPARTMENT OF INSURANCE, TO AMEND LAWS RELATED TO BROKER AND INSURANCE PRODUCER LICENSES, TO ALLOW SELF-INSURANCE TO SERVE AS PROOF OF FINANCIAL RESPONSIBILITY, TO PROHIBIT DISCLOSURE OF REPLACEMENT COST ESTIMATORS, TO REQUIRE CERTAIN APPOINTMENTS TO THE NORTH CAROLINA REINSURANCE FACILITY'S BOARD OF GOVERNORS, TO AMEND A REPORTING DATE FOR MEMBERS OF THE NORTH CAROLINA INSURANCE UNDERWRITING ASSOCIATION, TO EXEMPT CERTAIN EMPLOYMENT CONTRACTS ENTERED INTO BY THE DEPARTMENT OF INSURANCE, TO AMEND INNOVATION WAIVER EXEMPTIONS, TO REVISE INSURANCE REQUIREMENTS FOR TRANSPORTATION NETWORK COMPANIES, TO AUTHORIZE FUNDING BY THE NORTH CAROLINA GLOBAL TRANSPARK AUTHORITY, TO AMEND THE DUE DATE FOR HOME INSPECTION REPORTS, TO SHORTEN THE TIME FRAME TO RETAKE THE HOME INSPECTOR EXAMINATION, AND TO AMEND MINIMUM INSULATION REQUIREMENTS.Intro. by Johnson, Edwards, McInnis.
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House committee substitute to the 2nd edition makes the following changes.
Revises and adds to the proposed changes to GS 58-2-46, which provides for parameters that are effective when disaster declarations are proclaimed for the state or an area of the state or a Presidential major disaster declaration has been issued for the state or an area of the state, and the Commissioner of Insurance has issued an order declaring the parameters to be in effect for the specific disaster. Makes organizational changes to proposed new provisions. Regarding the deferral of premiums during the time period covered by the proclamation or declaration, specifies that the accompanying deferral of any time limits imposed on an insurer, insured, claimant, or customer to perform any act during the time period required by any statute, rule, or other policy or contract provision does not require a request to defer. Eliminates duplicative exiting law and proposed changes related to the deferral of time limits during the deferral period. Changes the time that must lapse between the expiration of the deferral period and the cancellation of insurance policies or contracts, or premium finance agreements, for unpaid premiums due from the 21st day following the expiration of the deferral period to the 15th day, applicable to both property and casualty insurance companies and described policies, as well as premium finance companies and premium finance agreements that have financed such described property and casualty insurance policies.
Organizes previous new subsection (b) as new subsection (c), now providing for provisions that apply when the proclamation or declaration is the result of a public health emergency as determined by the Secretary of the US Department of Health and Human Services under specified federal law, or other situations where the Governor has, by executive order, ordered all individuals in the state to stay at home or at their place of residence (previously, more generally stated that the provisions apply during a public health emergency or other situations that require citizens to shelter in place). Now allows for cancellation of insurance policies or premium finance agreements by property and casualty insurance companies or premium finance agreements fifteen days (was, 21 days) following the expiration of the deferral period and proper notice as previously described upon nonpayment of premiums due. Provides that subsection (c) does not prohibit property and casualty insurance companies from not renewing or cancelling a policy during a public health emergency or situation that may require all individuals in the state to stay at home (replacing the previous provision that provided that the subsection does not prohibit property and casualty policy nonrenewals or cancellations during a public health emergency or situation that may require citizens to shelter in place). Conditions the directive for collection agencies to discontinue attempts to collect debt against their customers who reside within the designated area in the proclamation or declaration during the deferral period upon the customer notifying the collection agency that he or she is experiencing significant financial hardship related to the public health emergency or stay at home order. Eliminates applicability to health benefit plans.
Adds descriptive captions to subdivisions and makes further technical and conforming changes throughout.
Eliminates the proposed standard notice statement added to GS 58-44B-15 that must be included in travel protection plans. Instead, adds to the requirements of fulfillment materials covered by a travel protection plan, now requiring the fulfillment materials to: comply with specified state law regarding the provisions of information on a plan's pre-existing condition exclusions; advise the policyholder to read the policy, certificate of insurance, and other documents to be informed of the plan's terms, conditions, and coverage and assistance details; and provide contact information for the company.
Makes technical changes to the act's effective date provision.