Archive: Insurance

  • The Hurricane Mitigation Promotion Act March 15, 2013

    The Hurricane Mitigation Promotion Act Summary This Act creates an annual “Hurricane Mitigation Week,” in which the Governor calls on individuals, business owners, and commercial property owners to prepare for the hurricane season, and to urge county and municipal governments to help citizens prepare as well.  Also, the Act creates a Special Advisory Commission on Hurricane Mitigation to evaluate and strengthen the state’s preparedness for hurricanes.  Finally, the Act enacts a state sales tax exemption on portable generators and other hurricane preparedness equipment during Hurricane Mitigation Week. Model Legislation {Title, enacting clause, etc.} Section 1. {Designation.} The period from May […]

  • Resolution Opposing Unfair and Unbalanced Insurance “Bad Faith” Legislation March 15, 2013

    Summary  This resolution is responsive to efforts by the plaintiffs’ bar, represented by the Association of American Justice (formerly the Association of Trial Lawyers of America) and its state-level affiliates, to enact legislation that undermines settled principles of contract law by unreasonably expanding the liability of insurance companies for so-called “bad faith” in claims handling and processing.  These efforts seek to create new or expansive private causes of action, lower existing viable and fair standards that need to be met in order to file an action, and allow for recovery of additional penalties, including damages multipliers, punitive damages and one-way […]

  • Resolution on the State Regulation of Insurance March 15, 2013

    Resolution on the State Regulation of Insurance Summary The Resolution on the State Regulation of Insurance opposes any attempt by the federal government to regulate the insurance industry. Specifically, the Resolution calls on Congress to adopt a proportional liability scheme for cleaning up waste sites, giving states the maximum flexibility and capability to clean-up waste sites without passing clean-up costs to taxpayers through joint and several liability. Model Resolution WHEREAS, [insert state here] supports the continuation of state regulation of the insurance industry and opposes any attempt at federal preemption; and WHEREAS, [insert state here] is opposed to any federal […]

  • After-Market Crash Parts Act March 15, 2013

    After-Market Crash Parts Act Summary Since only bodily injury claims are litigated, no-fault insurance only saves money in the bodily injury component of insurance premiums. However, savings can be achieved in the property damage component of premiums, as well. Often, the price of a replacement part reflects whether or not the original manufacturer has competition from a non-original manufacturer. Naturally, insurers have sought to utilize these less expensive non-original equipment manufacturer crash parts (fenders, quarter panels, hoods, etc.), and as the market develops, it is likely that its beneficial effect will be seen through the lowering of the costs to […]

  • Resolution in Support of Insurance Commissioners’ Exclusive State Regulatory Authority Over Variable Life Insurance and Variable Annuities March 15, 2013

    Resolution in Support of Insurance Commissioners’ Exclusive State Regulatory Authority Over Variable Life Insurance and Variable Annuities Model Resolution WHEREAS, variable life insurance and variable annuities are subject to a comprehensive federal and state regulatory structure, enforced by state insurance commissioners, the Securities and Exchange Commission and the National Association of Securities Dealers, which covers these products from design through their marketing and sale and WHEREAS, an overwhelming majority of the states give their insurance commissioners exclusive state jurisdiction to regulate the issuance and sale of variable life insurance and variable annuities and WHEREAS, an overwhelming majority of the state […]

  • The Property/Casualty Insurance Form Filing Act March 15, 2013

    The Property/Casualty Insurance Form Filing Act Summary This model bill establishes a file and use system for the approval of policy forms and endorsements for personal and commercial lines of insurance. This creates a more competitive and less onerous regulatory environment in the insurance industry. Model Legislation Section 1. {Short Title} This act shall be known as the Property/Casualty Insurance Form Filing Act. Section 2. {Legislative Declaration} This legislature finds and declares that a modernized and competitive procedure be employed1 A. To promote insurance product competition and price competition among insurers; B. To expand insurance policy options and choices for […]

  • Resolution Opposing Regulation Intruding on the States’ Traditional Role as the Primary Regulator of Homeowners’ Insurance March 15, 2013

    Resolution Opposing Regulation Intruding on the States’ Traditional Role as the Primary Regulator of Homeowners’ Insurance Summary This Resolution upholds the McCarran-Ferguson Act and reserves the primacy of homeowners’ insurance regulation to the states by opposing the listing of the provision and pricing of homeowners’ insurance by the U.S. Department of Housing and Urban Development as an example of a housing policy that may have a disparate impact on a specific group of persons. Model Resolution WHEREAS, the United States Department of Housing and Urban Development published notice of a proposed rule in the Federal Register on November 16, 2011, […]

  • Resolution on the National Association of Insurance Commissioners March 15, 2013

    Resolution on the National Association of Insurance Commissioners Summary The Resolution on the National Association of Insurance Commissioners (NAIC) opposes the NAIC’s current accreditation process and urges the NAIC to remain an advisor organization which does not attempt to use sanctions to force legislative action. Furthermore, the Resolution calls on the NAIC to create a mechanism whereby legislators are allowed to participate in the organization and provide input on legislative matters. Model Resolution WHEREAS, states have the primary responsibility for regulating the business of insurance through laws and regulations; and WHEREAS, the current accreditation process of the National Association of […]

  • A Resolution Concerning the Use of Credit Information in Personal Insurance March 15, 2013

    A Resolution Concerning the Use of Credit Information in Personal Insurance  Summary This resolution opposes any state laws or regulations that ban or impose significant limits on the use of credit information in personal insurance rating and underwriting decisions. Model Resolution WHEREAS, insurance is the most important area of economic activity regulated almost entirely at the state level in the United States and; WHEREAS, a functioning insurance market depends on the fair, effective use of data relevant to risk; WHEREAS, studies by the Federal Trade Commission, the Texas Department of Insurance, and academic researchers at the University of Pennsylvania and […]

  • Resolution Opposing “Pay at the Pump” Automobile Insurance March 15, 2013

    Resolution Opposing “Pay at the Pump” Automobile Insurance Summary “Pay at the pump” plans would replace the present personal choice automobile insurance market with a government program. Each car would be covered by basic auto insurance upon registration and issuance of license tags through higher registration and tag fees, and the state would use the proceeds of a gasoline surtax of up to 50 cents per gallon to pay for future claims. States would contract with insurance companies to handle claims, and insurance companies would compete in bidding to insure blocks of motorists. Individuals could exercise choice of package provided […]