Indiana House Bill HB1332 Engrossed / Bill

                    *EH1332.2*
Reprinted
March 5, 2024
ENGROSSED
HOUSE BILL No. 1332
_____
DIGEST OF HB 1332 (Updated March 4, 2024 4:35 pm - DI 141)
Citations Affected:  IC 27-1; IC 27-2; IC 27-4; IC 27-6; IC 27-8;
IC 27-13.
Synopsis:  Department of insurance regulatory matters. Repeals the
law requiring an alien or foreign insurance company to annually submit
to the department of insurance (department) a condensed statement of
(Continued next page)
Effective:  June 30, 2024; July 1, 2024.
Carbaugh, Lehman
(SENATE SPONSOR — BALDWIN)
January 10, 2024, read first time and referred to Committee on Insurance.
January 25, 2024, amended, reported — Do Pass.
January 31, 2024, read second time, ordered engrossed. Engrossed.
February 1, 2024, read third time, passed. Yeas 95, nays 0.
SENATE ACTION
February 7, 2024, read first time and referred to Committee on Health and Provider
Services.
February 29, 2024, amended, reported favorably — Do Pass.
March 4, 2024, read second time, amended, ordered engrossed.
EH 1332—LS 6979/DI 55 Digest Continued
its assets and liabilities and requiring the department to publish the
statement in a newspaper. Adds to the law on the regulation of
insurance holding company systems provisions concerning liquidity
stress testing according to the framework established by the National
Association of Insurance Commissioners. Amends the law on insurance
administrators to set forth certain circumstances under which an
insurance administrator is required to apply to Indiana for a license.
Requires an insurer to mail a written notice of nonrenewal to an insured
at least 60 days before the anniversary date of the policy if the coverage
is provided to a municipality or county entity. Amends the law on
individual prescription drug rebates and the law on group prescription
drug rebates to authorize the department to adopt rules for the
enforcement of those laws and to specify that a violation of either of
those laws is an unfair or deceptive act or practice in the business of
insurance. Requires an insurer to only offer to plan sponsors the
following plans: (1) A plan that applies 100% of the rebates to reduce
premiums for all covered individuals equally. (2) A plan that calculates
defined cost sharing for covered individuals of the plan sponsor at the
point of sale based on a price that is reduced by an amount equal to at
least 85% of all of the rebates received or estimated to be received by
the insurer. Changes the date of applicability for provisions regarding
a notice of material change from after June 30, 2024, to after June 30,
2025. Amends the property and casualty insurance guaranty association
law concerning the allocation, transfer, or assumption by one insurer
of a policy that was issued by another insurer.
EH 1332—LS 6979/DI 55EH 1332—LS 6979/DI 55 Reprinted
March 5, 2024
Second Regular Session of the 123rd General Assembly (2024)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in this style type, and deletions will appear in this style type.
  Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in  this  style  type. Also, the
word NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
  Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
between statutes enacted by the 2023 Regular Session of the General Assembly.
ENGROSSED
HOUSE BILL No. 1332
A BILL FOR AN ACT to amend the Indiana Code concerning
insurance.
Be it enacted by the General Assembly of the State of Indiana:
1 SECTION 1. IC 27-1-18-5 IS REPEALED [EFFECTIVE JULY 1,
2 2024]. Sec. 5. At the time of filing its annual statement, an alien or
3 foreign company shall submit, on a form prescribed by the department,
4 a condensed statement of its assets and liabilities as of December 31 of
5 the preceding year. If the department, on examination of such
6 statement, determines from information available to it that it is true and
7 correct, it shall cause such statement to be published in a newspaper in
8 this state selected by the department. In the event the department
9 determines that the statement submitted by a company is inaccurate or
10 incorrect, it shall, after giving the company notice of the proposed
11 changes and an opportunity to be heard, certify the corrected statement
12 and proceed with its publication as above provided. The company shall
13 bear the expenses of the publication, but in no event shall an amount
14 exceeding forty dollars ($40) be charged for such publication. Any cost
15 of publication that exceeds forty dollars ($40) must be borne by the
16 newspaper publishing the statement.
17 SECTION 2. IC 27-1-23-1, AS AMENDED BY P.L.72-2016,
EH 1332—LS 6979/DI 55 2
1 SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
2 JULY 1, 2024]: Sec. 1. As used in this chapter, the following terms
3 shall have the respective meanings set forth in this section, unless the
4 context shall otherwise require:
5 (a) An "acquiring party" is the specific person by whom an
6 acquisition of control of a domestic insurer or of any corporation
7 controlling a domestic insurer is to be effected, and each person who
8 directly, or indirectly through one (1) or more intermediaries, controls
9 the person specified.
10 (b) An "affiliate" of, or person "affiliated" with, a specific person,
11 is a person that directly, or indirectly through one (1) or more
12 intermediaries, controls, or is controlled by, or is under common
13 control with, the person specified.
14 (c) A "beneficial owner" of a voting security includes any person
15 who, directly or indirectly, through any contract, arrangement,
16 understanding, relationship, revocable or irrevocable proxy, or
17 otherwise has or shares:
18 (1) voting power including the power to vote, or to direct the
19 voting of, the security; or
20 (2) investment power which includes the power to dispose, or to
21 direct the disposition, of the security.
22 (d) "Commissioner" means the insurance commissioner of this state.
23 (e) "Control" (including the terms "controlling", "controlled by", and
24 "under common control with") means the possession, direct or indirect,
25 of the power to direct or cause the direction of the management and
26 policies of a person, whether through the beneficial ownership of
27 voting securities, by contract other than a commercial contract for
28 goods or nonmanagement services, or otherwise, unless the power is
29 the result of an official position or corporate office. Control shall be
30 presumed to exist if any person beneficially owns ten percent (10%) or
31 more of the voting securities of any other person. The commissioner
32 may determine this presumption has been rebutted only by a showing
33 made in the manner provided by section 3(k) of this chapter that
34 control does not exist in fact, after giving all interested persons notice
35 and an opportunity to be heard. Control shall be presumed again to
36 exist upon the acquisition of beneficial ownership of each additional
37 five percent (5%) or more of the voting securities of the other person.
38 The commissioner may determine, after furnishing all persons in
39 interest notice and opportunity to be heard, that control exists in fact,
40 notwithstanding the absence of a presumption to that effect.
41 (f) "Department" means the department of insurance created by
42 IC 27-1-1-1.
EH 1332—LS 6979/DI 55 3
1 (g) A "domestic insurer" is an insurer organized under the laws of
2 this state.
3 (h) "Earned surplus" means an amount equal to the unassigned
4 funds of an insurer as set forth in the most recent annual statement of
5 an insurer that is submitted to the commissioner, excluding surplus
6 arising from unrealized capital gains or revaluation of assets.
7 (i) "Enterprise risk" means an activity, circumstance, event, or series
8 of events that involves at least one (1) affiliate of an insurer that, if not
9 remedied promptly, is likely to have a material adverse effect upon the
10 financial condition or liquidity of the insurer or the insurer's insurance
11 holding company system as a whole, including an activity,
12 circumstance, event, or series of events that would cause the:
13 (1) insurer's risk based capital to fall into company action level
14 under IC 27-1-36; or
15 (2) insurer to be in hazardous financial condition subject to
16 IC 27-1-3-7 and rules adopted under IC 27-1-3-7.
17 (j) This subsection is effective beginning January 1, 2026.
18 "Group Capital Calculation Instructions" refers to the group
19 capital calculation instructions as adopted by the NAIC and as
20 amended by the NAIC from time to time in accordance with the
21 procedures adopted by the NAIC.
22 (j) (k) "Group wide supervisor" means the regulatory official who
23 is:
24 (1) authorized by the commissioner to conduct and coordinate
25 group wide supervision of an internationally active insurance
26 group; and
27 (2) determined by the commissioner to have sufficient significant
28 contact with the internationally active insurance group to enable
29 group wide supervision.
30 (k) (l) An "insurance holding company system" consists of two (2)
31 or more affiliated persons, one (1) or more of which is an insurer.
32 (l) (m) "Insurer" has the same meaning as set forth in IC 27-1-2-3,
33 except that it does not include:
34 (1) agencies, authorities, or instrumentalities of the United States,
35 its possessions and territories, the Commonwealth of Puerto Rico,
36 the District of Columbia, or a state or political subdivision of a
37 state; or
38 (2) nonprofit medical and hospital service associations.
39 The term includes a health maintenance organization (as defined in
40 IC 27-13-1-19) and a limited service health maintenance organization
41 (as defined in IC 27-13-1-27).
42 (m) (n) "Internationally active insurance group" means an insurance
EH 1332—LS 6979/DI 55 4
1 holding company system that:
2 (1) includes an insurer that is registered under section 3 of this
3 chapter; and
4 (2) meets the following requirements:
5 (A) The insurance holding company system has premiums
6 written in at least three (3) countries.
7 (B) The percentage of the insurance holding company system's
8 gross premiums written outside the United States is at least ten
9 percent (10%) of the insurance holding company system's total
10 gross written premiums.
11 (C) Based on a three (3) year rolling average, the:
12 (i) total assets of the insurance holding company system are
13 at least fifty billion dollars ($50,000,000,000); or
14 (ii) total gross written premiums of the insurance holding
15 company system are at least ten billion dollars
16 ($10,000,000,000).
17 (n) (o) "NAIC" refers to the National Association of Insurance
18 Commissioners.
19 (p) This subsection is effective beginning January 1, 2026.
20 "NAIC Liquidity Stress Test Framework" refers to a separate
21 NAIC publication that includes:
22 (1) a history of the NAIC's development of regulatory
23 liquidity stress testing;
24 (2) the Scope Criteria applicable for a specific data year; and
25 (3) the Liquidity Stress Test instructions and reporting
26 templates for a specific data year, such Scope Criteria,
27 instructions, and a reporting template as adopted by the
28 NAIC and as amended by the NAIC from time to time in
29 accordance with the procedures adopted by the NAIC.
30 (q) This subsection is effective beginning January 1, 2026.
31 "Scope Criteria", as detailed in the NAIC Liquidity Stress Test
32 Framework, refers to the designated exposure bases, along with the
33 minimum magnitudes of the designated exposure bases, for the
34 specified data year, which are used to establish a preliminary list
35 of insurers considered scoped into the NAIC Liquidity Stress Test
36 Framework for that data year.
37 (o) (r) "Supervisory college" means a temporary or permanent
38 forum:
39 (1) comprised of regulators, including other state, federal, and
40 international regulators, responsible for the supervision of:
41 (A) a domestic insurer that is part of an insurance holding
42 company system that has international operations;
EH 1332—LS 6979/DI 55 5
1 (B) an insurance holding company system described in clause
2 (A); or
3 (C) an affiliate of:
4 (i) a domestic insurer described in clause (A); or
5 (ii) an insurance holding company system described in
6 clause (B); and
7 (2) established to facilitate communication and cooperation
8 between the regulators described in subdivision (1).
9 (p) (s) A "person" is an individual, a corporation, a limited liability
10 company, a partnership, an association, a joint stock company, a trust,
11 an unincorporated organization, any similar entity or any combination
12 of the foregoing acting in concert. The term does not include the
13 following:
14 (1) A securities broker performing no more than the usual and
15 customary broker's function.
16 (2) A joint venture partnership that is exclusively engaged in
17 owning, managing, leasing, or developing real or tangible
18 personal property.
19 (q) (t) A "policyholder" of a domestic insurer includes any person
20 who owns an insurance policy or annuity contract issued by the
21 domestic insurer, any person reinsured by the domestic insurer under
22 a reinsurance contract or treaty between the person and the domestic
23 insurer, and any health maintenance organization with which the
24 domestic insurer has contracted to provide services or protection
25 against the cost of care.
26 (r) (u) "Securityholder" means a person that owns a security of a
27 specified person, including common stock, preferred stock, debt
28 obligations, and any other security that:
29 (1) is convertible to; or
30 (2) evidences the right to acquire;
31 a common stock, preferred stock, or debt obligation.
32 (s) (v) A "subsidiary" of a specified person is an affiliate controlled
33 by that person directly or indirectly through one (1) or more
34 intermediaries.
35 (t) (w) "Surplus" means the total of gross paid in and contributed
36 surplus, special surplus funds, and unassigned surplus, less treasury
37 stock at cost.
38 (u) (x) "Voting security" includes any security convertible into or
39 evidencing a right to acquire a voting security.
40 SECTION 3. IC 27-1-23-3, AS AMENDED BY P.L.124-2018,
41 SECTION 41, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
42 JULY 1, 2024]: Sec. 3. (a) Every insurer which is authorized to do
EH 1332—LS 6979/DI 55 6
1 business in this state and which is a member of an insurance holding
2 company system shall register with the commissioner, except a foreign
3 insurer subject to disclosure requirements and standards adopted by
4 statute or regulation in the jurisdiction of its domicile which are
5 substantially similar to those contained in:
6 (1) this section;
7 (2) section 4(a) and 4(c) of this chapter; and
8 (3) section 4(b) of this chapter or a provision such as the
9 following:
10 Each registered insurer shall keep current the information
11 required to be disclosed in its registration statement by
12 reporting all material changes or additions within fifteen
13 (15) days after the end of the month in which it learns of
14 each such change or addition.
15 Any insurer which is subject to registration under this section shall
16 register within fifteen (15) days after it becomes subject to registration,
17 and annually thereafter by July 1 of each year for the previous calendar
18 year, unless the commissioner for good cause shown extends the time
19 for registration, and then within such extended time. The commissioner
20 may require any authorized insurer which is a member of an insurance
21 holding company system but not subject to registration under this
22 section to furnish a copy of the registration statement or other
23 information filed by such insurer with the insurance regulatory
24 authority of its domiciliary jurisdiction.
25 (b) Every insurer subject to registration shall file a registration
26 statement on a form prescribed by the commissioner, which shall
27 contain current information about all of the following:
28 (1) The capital structure, general financial condition, ownership
29 and management of the insurer and any person controlling the
30 insurer.
31 (2) The identity of every member of the insurance holding
32 company system.
33 (3) The following agreements in force, relationships subsisting,
34 and transactions that are currently outstanding or that have
35 occurred during the last calendar year between such insurer and
36 its affiliates:
37 (A) loans, other investments, or purchases, sales or exchanges
38 of securities of the affiliates by the insurer or of the insurer by
39 its affiliates;
40 (B) purchases, sales, or exchanges of assets;
41 (C) transactions not in the ordinary course of business;
42 (D) guarantees or undertakings for the benefit of an affiliate
EH 1332—LS 6979/DI 55 7
1 which result in an actual contingent exposure of the insurer's
2 assets to liability, other than insurance contracts entered into
3 in the ordinary course of the insurer's business;
4 (E) all management and service contracts and all cost-sharing
5 arrangements;
6 (F) reinsurance agreements;
7 (G) dividends and other distributions to shareholders; and
8 (H) consolidated tax allocation agreements.
9 (4) Any pledge of the insurer's stock, including stock of any
10 subsidiary or controlling affiliate, for a loan made to any member
11 of the insurance holding company system.
12 (5) If requested by the commissioner, financial statements of the
13 insurance holding company system, the parent corporation of the
14 insurer, or all affiliates, including annual audited financial
15 statements filed with the federal Securities and Exchange
16 Commission under the Securities Act of 1933 (15 U.S.C. 77a et
17 seq.) or the federal Securities Exchange Act of 1934 (15 U.S.C.
18 78a et seq.).
19 (6) Statements reflecting that the insurer's:
20 (A) board of directors oversees corporate governance and
21 internal controls; and
22 (B) officers or senior management have approved and
23 implemented and maintain and monitor corporate governance
24 and internal control procedures.
25 (7) Other matters concerning transactions between registered
26 insurers and any affiliates as may be included from time to time
27 in any registration forms prescribed by the commissioner.
28 (8) Other information that the commissioner requires under rules
29 adopted under IC 4-22-2.
30 (c) Every registration statement must contain a summary outlining
31 all items in the current registration statement representing changes
32 from the prior registration statement.
33 (d) No information need be disclosed on the registration statement
34 filed pursuant to subsection (b) if such information is not material for
35 the purposes of this section. Unless the commissioner by rule or order
36 provides otherwise, sales, purchases, exchanges, loans or extensions of
37 credit, or investments, involving one-half of one per cent percent
38 (0.5%) or less of an insurer's admitted assets as of the 31st thirty-first
39 day of December next preceding shall not be deemed material for
40 purposes of this section. Beginning January 1, 2026, the definition
41 of materiality set forth in this subsection does not apply for
42 purposes of the Group Capital Calculation or the Liquidity Stress
EH 1332—LS 6979/DI 55 8
1 Test Framework.
2 (e) Each registered insurer shall keep current the information
3 required to be disclosed in its registration statement by reporting all
4 material changes or additions on amendment forms prescribed by the
5 commissioner within fifteen (15) days after the end of the month in
6 which it learns of each such change or addition.
7 (f) A person within an insurance holding company system subject
8 to registration under this chapter shall provide complete and accurate
9 information to an insurer when that information is reasonably necessary
10 to enable the insurer to comply with this chapter.
11 (g) The commissioner shall terminate the registration of any insurer
12 which demonstrates that it no longer is subject to the provisions of this
13 section.
14 (h) The commissioner may require or allow two (2) or more
15 affiliated insurers subject to registration under this section to file a
16 consolidated registration statement or consolidated reports amending
17 their consolidated registration statement or their individual registration
18 statements.
19 (i) The commissioner may allow an insurer which is authorized to
20 do business in this state and which is a member of an insurance holding
21 company system to register on behalf of any affiliated insurer which is
22 required to register under subsection (a) and to file all information and
23 material required to be filed under this section.
24 (j) The provisions of this section shall not apply to any insurer,
25 information, or transaction if and to the extent that the commissioner
26 by rule or order shall exempt the same from the provisions of this
27 section.
28 (k) Any person may file with the commissioner a disclaimer of
29 affiliation with any authorized insurer or such a disclaimer may be filed
30 by such insurer or any member of an insurance holding company
31 system. The disclaimer shall fully disclose all material relationships
32 and bases for affiliation between such person and such insurer as well
33 as the basis for disclaiming such affiliation. After a disclaimer has been
34 filed, the insurer shall be relieved of any duty to register or report under
35 this section which may arise out of the insurer's relationship with such
36 person unless and until the commissioner disallows such disclaimer. A
37 disclaimer of affiliation is considered to have been granted unless the
38 commissioner, less than thirty (30) days after receiving a disclaimer,
39 notifies the person filing the disclaimer that the disclaimer is
40 disallowed. The commissioner shall disallow such disclaimer only after
41 furnishing all parties in interest with notice and opportunity to be
42 heard.
EH 1332—LS 6979/DI 55 9
1 (l) The person that ultimately controls an insurer that is subject to
2 registration shall file with the lead state commissioner of the insurance
3 holding company system (as determined by the procedures in the
4 Financial Analysis Handbook) an annual enterprise risk report that
5 identifies, to the best of the person's knowledge, the material risks
6 within the insurance holding company system that could pose
7 enterprise risk to the insurer.
8 (m) This subsection is effective beginning January 1, 2026.
9 Except as otherwise provided in subdivisions (1) through (7), the
10 ultimate controlling person of every insurer subject to registration
11 shall file, concurrently with the registration, an annual group
12 capital calculation as directed by the lead state commissioner. The
13 report shall be completed in accordance with the NAIC Group
14 Capital Calculation Instructions, which may permit the lead state
15 commissioner to allow a controlling person that is not the ultimate
16 controlling person to file the group capital calculation. The report
17 shall be filed with the lead state commissioner of the insurance
18 holding company system as determined by the commissioner in
19 accordance with the procedures within the Financial Analysis
20 Handbook adopted by the NAIC. Insurance holding company
21 systems described in the following are exempt from filing the group
22 capital calculation:
23 (1) An insurance holding company system that has only one
24 (1) insurer within its holding company structure, writes
25 business only in its domestic state, is licensed only in its
26 domestic state, and assumes no business from any other
27 insurer.
28 (2) An insurance holding company system that is required to
29 perform a group capital calculation specified by the United
30 States Federal Reserve Board. The lead state commissioner
31 shall request the calculation from the Federal Reserve Board
32 under the terms of information sharing agreements in effect.
33 If the Federal Reserve Board cannot share the calculation
34 with the lead state commissioner, the insurance holding
35 company system is not exempt from the group capital
36 calculation filing.
37 (3) An insurance holding company system whose non-United
38 States group wide supervisor is located within a Reciprocal
39 Jurisdiction as described in IC 27-6-10.1 that recognizes the
40 United States state regulatory approach to group supervision
41 and group capital.
42 (4) An insurance holding company system:
EH 1332—LS 6979/DI 55 10
1 (A) that provides information to the lead state that meets
2 the requirements for accreditation under the NAIC
3 financial standards and accreditation program, either
4 directly or indirectly through the group wide supervisor,
5 who has determined such information is satisfactory to
6 allow the lead state to comply with the NAIC group
7 supervision approach, as detailed in the Financial Analysis
8 Handbook adopted by the NAIC; and
9 (B) whose non-United States group wide supervisor that is
10 not in a Reciprocal Jurisdiction recognizes and accepts, as
11 specified by the commissioner in regulation, the group
12 capital calculation as the world wide group capital
13 assessment for United States insurance groups that operate
14 in that jurisdiction.
15 (5) Notwithstanding the provisions of subdivisions (3) and (4),
16 a lead state commissioner shall require the group capital
17 calculation for United States operations of any non-United
18 States based insurance holding company system where, after
19 any necessary consultation with other supervisors or officials,
20 it is deemed appropriate by the lead state commissioner for
21 prudential oversight and solvency monitoring purposes or for
22 ensuring the competitiveness of the insurance marketplace.
23 (6) Notwithstanding the exemptions from filing the group
24 capital calculation stated in subdivisions (1) through (4), the
25 lead state commissioner has the discretion to exempt the
26 ultimate controlling person from filing the annual group
27 capital calculation or to accept a limited group capital filing
28 or report in accordance with criteria as specified by the
29 commissioner in regulation.
30 (7) If the lead state commissioner determines that an
31 insurance holding company system no longer meets one (1) or
32 more of the requirements for an exemption from filing the
33 group capital calculation under this section, the insurance
34 holding company system shall file the group capital
35 calculation at the next annual filing date unless given an
36 extension by the lead state commissioner based on reasonable
37 grounds shown.
38 (n) This subsection is effective beginning January 1, 2026. The
39 ultimate controlling person of every insurer that is subject to
40 registration and is also scoped into the NAIC Liquidity Stress Test
41 Framework shall file the results of a specific year's Liquidity Stress
42 Test. The filing shall be made to the lead state commissioner of the
EH 1332—LS 6979/DI 55 11
1 insurance holding company system as determined by the
2 procedures within the Financial Analysis Handbook adopted by the
3 NAIC, subject to the following:
4 (1) The NAIC Liquidity Stress Test Framework includes
5 Scope Criteria applicable to a specific data year. These Scope
6 Criteria are reviewed at least annually by the NAIC Financial
7 Stability Task Force or its successor. Any change to the NAIC
8 Liquidity Stress Test Framework or to the data year for
9 which the Scope Criteria are to be measured shall be effective
10 on January 1 of the year following the calendar year when
11 such changes are adopted. Insurers meeting at least one (1)
12 threshold of the Scope Criteria are considered scoped into the
13 NAIC Liquidity Stress Test Framework for the specified data
14 year unless the lead state commissioner, in consultation with
15 the NAIC Financial Stability Task Force or its successor,
16 determines that the insurer should not be scoped into the
17 NAIC Liquidity Stress Test Framework for that data year.
18 Similarly, insurers that do not trigger at least one (1)
19 threshold of the Scope Criteria are considered scoped out of
20 the NAIC Liquidity Stress Test Framework for the specified
21 data year unless the lead state commissioner, in consultation
22 with the NAIC Financial Stability Task Force or its successor,
23 determines that the insurer should be scoped into the NAIC
24 Liquidity Stress Test Framework for that data year.
25 (2) The performance of, and the filing of the results from, a
26 specific year's Liquidity Stress Test shall comply with the
27 NAIC Liquidity Stress Test Framework's instructions and
28 reporting templates for that year and any lead state
29 commissioner determinations, in consultation with the NAIC
30 Financial Stability Task Force or its successor, that are
31 provided within the NAIC Liquidity Stress Test Framework.
32 (m) (o) The commissioner may impose on a person a civil penalty
33 of one hundred dollars ($100) per day that the person fails to file,
34 within the period specified, a:
35 (1) registration statement; or
36 (2) summary of a registration statement or enterprise risk filing;
37 required by this section. The commissioner shall deposit a civil penalty
38 collected under this subsection in the department of insurance fund
39 established by IC 27-1-3-28.
40 SECTION 4. IC 27-1-24.5-20, AS ADDED BY P.L.68-2020,
41 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
42 JULY 1, 2024]: Sec. 20. (a) The commissioner shall do the following:
EH 1332—LS 6979/DI 55 12
1 (1) Prescribe an application for use in applying for a license to
2 operate as a pharmacy benefit manager.
3 (2) Adopt rules under IC 4-22-2 to establish the following:
4 (A) Pharmacy benefit manager licensing requirements.
5 (B) Licensing fees.
6 (C) A license application.
7 (D) Financial standards for pharmacy benefit managers.
8 (E) Reporting requirements described in section sections 21
9 and 29 of this chapter.
10 (F) The time frame for the resolution of an appeal under
11 section 22 of this chapter.
12 (b) The commissioner may do the following:
13 (1) Charge a license application fee and renewal fees established
14 under subsection (a)(2) in an amount not to exceed five hundred
15 dollars ($500) to be deposited in the department of insurance fund
16 established by IC 27-1-3-28.
17 (2) Examine or audit the books and records of a pharmacy benefit
18 manager one (1) time per year to determine if the pharmacy
19 benefit manager is in compliance with this chapter.
20 (3) Adopt rules under IC 4-22-2 to:
21 (A) implement this chapter; and
22 (B) specify requirements for the following:
23 (i) Prohibited market conduct practices.
24 (ii) Data reporting in connection with violations of state law.
25 (iii) Maximum allowable cost list compliance and
26 enforcement requirements, including the requirements of
27 sections 22 and 23 of this chapter.
28 (iv) Prohibitions and limits on pharmacy benefit manager
29 practices that require licensure under IC 25-22.5.
30 (v) Pharmacy benefit manager affiliate information sharing.
31 (vi) Lists of health plans administered by a pharmacy benefit
32 manager in Indiana.
33 (c) Financial information and proprietary information submitted by
34 a pharmacy benefit manager to the department is confidential.
35 SECTION 5. IC 27-1-25-11.1, AS AMENDED BY P.L.124-2018,
36 SECTION 48, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
37 JULY 1, 2024]: Sec. 11.1. (a) If the home state of a person is Indiana,
38 the person shall:
39 (1) apply to act as an administrator in Indiana upon the uniform
40 application for third party administrator license;
41 (2) pay an application fee in an amount determined by the
42 commissioner; and
EH 1332—LS 6979/DI 55 13
1 (3) receive a license from the commissioner;
2 before performing the function of an administrator in Indiana. The
3 commissioner shall deposit a fee paid under subdivision (2) into the
4 department of insurance fund established by IC 27-1-3-28.
5 (b) For the purposes of this section:
6 (1) if:
7 (A) an administrator is incorporated in Indiana; or
8 (B) Indiana is the administrator's principal place of
9 business within the United States;
10 the administrator shall apply to Indiana for a resident
11 administrator license; and
12 (2) if:
13 (A) neither the state in which an administrator is
14 incorporated nor the state that is the administrator's
15 principal place of business have adopted this chapter or a
16 substantially similar law governing administrators; and
17 (B) the administrator has not designated any other state
18 that has adopted this chapter or a substantially similar law
19 governing administrators as its home state;
20 the administrator shall apply to Indiana for licensure as its
21 designated home state.
22 (b) (c) The uniform application for third party administrator license
23 must include or be accompanied by the following:
24 (1) Basic organizational documents of the applicant, including:
25 (A) articles of incorporation;
26 (B) articles of association;
27 (C) partnership agreement;
28 (D) trade name certificate;
29 (E) trust agreement;
30 (F) shareholder agreement;
31 (G) other applicable documents; and
32 (H) amendments to the documents specified in clauses (A)
33 through (G).
34 (2) Bylaws, rules, regulations, or other documents that regulate
35 the internal affairs of the applicant.
36 (3) The NAIC biographical affidavits for individuals who are
37 responsible for the conduct of affairs of the applicant, including:
38 (A) members of the applicant's:
39 (i) board of directors;
40 (ii) board of trustees;
41 (iii) executive committee; or
42 (iv) other governing board or committee;
EH 1332—LS 6979/DI 55 14
1 (B) principal officers, if the applicant is a corporation;
2 (C) partners or members, if the applicant is:
3 (i) a partnership;
4 (ii) an association; or
5 (iii) a limited liability company;
6 (D) shareholders or members that hold, directly or indirectly,
7 at least ten percent (10%) of the:
8 (i) voting stock;
9 (ii) voting securities; or
10 (iii) voting interest;
11 of the applicant; and
12 (E) any other person who exercises control or influence over
13 the affairs of the applicant.
14 (4) Financial information reflecting a positive net worth,
15 including:
16 (A) audited annual financial statements prepared by an
17 independent certified public accountant for the two (2) most
18 recent fiscal years; or
19 (B) if the applicant has been in business for less than two (2)
20 fiscal years, financial statements or reports that are:
21 (i) prepared in accordance with GAAP; and
22 (ii) certified by an officer of the applicant;
23 for any completed fiscal years and for any month during the
24 current fiscal year for which financial statements or reports
25 have been completed.
26 If an audited financial statement or report required under clause
27 (A) or (B) is prepared on a consolidated basis, the statement or
28 report must include a columnar consolidating or combining
29 worksheet that includes the amounts shown on the consolidated
30 audited financial statement or report, separately reported on the
31 worksheet for each entity included on the statement or report, and
32 an explanation of consolidating and eliminating entries.
33 (5) Information determined by the commissioner to be necessary
34 for a review of the current financial condition of the applicant.
35 (6) A description of the business plan of the applicant, including:
36 (A) information on staffing levels and activities proposed in
37 Indiana and nationwide; and
38 (B) details concerning the applicant's ability to provide a
39 sufficient number of experienced and qualified personnel for:
40 (i) claims processing;
41 (ii) record keeping; and
42 (iii) underwriting.
EH 1332—LS 6979/DI 55 15
1 (7) Any other information required by the commissioner.
2 (c) (d) An administrator that applies for licensure under this section
3 shall make copies of written agreements with insurers available for
4 inspection by the commissioner.
5 (d) (e) An administrator that applies for licensure under this section
6 shall:
7 (1) produce the administrator's accounts, records, and files for
8 examination; and
9 (2) make the administrator's officers available to provide
10 information concerning the affairs of the administrator;
11 whenever reasonably required by the commissioner.
12 (e) (f) The commissioner may refuse to issue a license under this
13 section if the commissioner determines that:
14 (1) the administrator or an individual who is responsible for the
15 conduct of the affairs of the administrator:
16 (A) is not:
17 (i) competent;
18 (ii) trustworthy;
19 (iii) financially responsible; or
20 (iv) of good personal and business reputation; or
21 (B) has had an:
22 (i) insurance certificate of authority or insurance license; or
23 (ii) administrator certificate of authority or administrator
24 license;
25 denied or revoked for cause by any jurisdiction;
26 (2) the financial information provided under subsection (b)(4)
27 (c)(4) does not reflect that the applicant has a positive net worth;
28 or
29 (3) any of the grounds set forth in section 12.4 of this chapter
30 exists with respect to the administrator.
31 (f) (g) An administrator that applies for a license under this section
32 shall immediately notify the commissioner of a material change in:
33 (1) the ownership or control of the administrator; or
34 (2) another fact or circumstance that affects the administrator's
35 qualification for a license.
36 The commissioner, upon receiving notice under this subsection, shall
37 report the change to the centralized insurance producer license registry
38 described in IC 27-1-15.6-7.
39 (g) (h) An administrator that applies for a license under this section
40 and will administer a governmental plan or a church plan shall obtain
41 a bond as required under section 4(g) of this chapter.
42 (h) (i) A license that is issued under this section is valid:
EH 1332—LS 6979/DI 55 16
1 (1) for one (1) year after the date of issuance, unless subdivision
2 (2) applies; or
3 (2) until:
4 (A) the license is:
5 (i) surrendered; or
6 (ii) suspended or revoked by the commissioner; or
7 (B) the administrator:
8 (i) ceases to do business in Indiana; or
9 (ii) is not in compliance with this chapter.
10 SECTION 6. IC 27-1-25-12.3, AS AMENDED BY P.L.124-2018,
11 SECTION 50, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
12 JULY 1, 2024]: Sec. 12.3. (a) An administrator that is licensed under
13 section 11.1 of this chapter shall, not later than July 1 of each year
14 unless the commissioner grants an extension of time for good cause,
15 file a report for the previous calendar year that complies with the
16 following:
17 (1) The report must contain financial information reflecting a
18 positive net worth prepared in accordance with section 11.1(b)(4)
19 11.1(c)(4) of this chapter.
20 (2) The report must be in the form and contain matters prescribed
21 by the commissioner.
22 (3) The report must be verified by at least two (2) officers of the
23 administrator.
24 (4) The report must include the complete names and addresses of
25 insurers with which the administrator had a written agreement
26 during the preceding fiscal year.
27 (5) The report must be accompanied by a filing fee in an amount
28 determined by the commissioner.
29 The commissioner shall collect a filing fee paid under subdivision (5)
30 and deposit the fee into the department of insurance fund established
31 by IC 27-1-3-28.
32 (b) The commissioner shall review a report filed under subsection
33 (a) not later than September 1 of the year in which the report is filed.
34 Upon completion of the review, the commissioner shall:
35 (1) issue a certification to the administrator:
36 (A) indicating that:
37 (i) the financial statement reflects a positive net worth; and
38 (ii) the administrator is currently licensed and in good
39 standing; or
40 (B) noting deficiencies found in the report; or
41 (2) update the centralized insurance producer license registry
42 described in IC 27-1-15.6-7:
EH 1332—LS 6979/DI 55 17
1 (A) indicating that the administrator is solvent and in
2 compliance with this chapter; or
3 (B) noting deficiencies found in the report.
4 SECTION 7. IC 27-1-31-3, AS AMENDED BY P.L.196-2021,
5 SECTION 28, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
6 JULY 1, 2024]: Sec. 3. (a) Except as provided in subsection (b), if an
7 insurer refuses to renew a policy of insurance written by the insurer, the
8 insurer shall mail written notice of nonrenewal to the insured:
9 (1) at least forty-five (45) days before the expiration date of the
10 policy, if the coverage provided is for one (1) year, or less; or
11 (2) at least forty-five (45) days before the anniversary date of the
12 policy, if the coverage provided is for more than one (1) year.
13 (b) This subsection does not apply to worker's compensation
14 insurance. If an insurer refuses to renew a policy of insurance
15 written by the insurer, the insurer shall mail written notice of
16 nonrenewal to the insured at least sixty (60) days before the
17 anniversary date of the policy if the coverage is provided to a
18 municipality (as defined in IC 36-1-2-11) or county entity.
19 (b) (c) A notice of nonrenewal is not required if:
20 (1) the insured is transferred from an insurer to an affiliate of the
21 insurer for future coverage; and
22 (2) the transfer results in the same or broader coverage.
23 SECTION 8. IC 27-1-49-9, AS ADDED BY P.L.166-2023,
24 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
25 JULY 1, 2024]: Sec. 9. (a) The department may enforce the
26 requirements of this chapter to the extent permissible under applicable
27 law.
28 (b) A violation of this chapter is an unfair or deceptive act or
29 practice in the business of insurance under IC 27-4-1-4.
30 (c) The department may adopt rules under IC 4-22-2 to set forth
31 fines for violations of this chapter.
32 SECTION 9. IC 27-1-50-9, AS ADDED BY P.L.166-2023,
33 SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
34 JULY 1, 2024]: Sec. 9. (a) At the time of contracting, an insurer shall
35 provide only offer to plan sponsors the option of following plans:
36 (1) A plan that applies one hundred percent (100%) of the
37 rebates to reduce premiums for all covered individuals
38 equally.
39 (2) A plan calculating that calculates defined cost sharing for
40 covered individuals of the plan sponsor at the point of sale based
41 on a price that is reduced by some or an amount equal to at least
42 eighty-five percent (85%) of all of the rebates received or
EH 1332—LS 6979/DI 55 18
1 estimated to be received by the insurer concerning the dispensing
2 or administration of the prescription drug.
3 (b) A plan sponsor may choose one (1) of the plans offered
4 under subsection (a).
5 SECTION 10. IC 27-1-50-11, AS ADDED BY P.L.166-2023,
6 SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
7 JULY 1, 2024]: Sec. 11. An insurer shall disclose the following
8 information to a plan sponsor on at least an annual basis:
9 (1) The approximate amount of rebates expected to be received by
10 the insurer concerning the dispensing or administration of
11 prescription drugs to the covered individuals of the plan sponsor.
12 (2) An explanation that the plan sponsor may choose to:
13 (A) apply the rebates to reduce premiums for all covered
14 individuals; or
15 (B) calculate defined cost sharing for a covered individual at
16 the point of sale based on a price that is reduced by an
17 amount equal to at least eighty-five percent (85%) of all
18 rebates received or estimated to be received by the insurer
19 concerning the dispensing or administration of the covered
20 individual's prescription drugs.
21 (3) An explanation that, in the individual market, IC 27-1-49
22 requires that covered individual defined cost sharing be calculated
23 at the point of sale based on a price that is reduced by at least
24 eighty-five percent (85%) of the rebates concerning the
25 dispensing or administration of the covered individual's
26 prescription drugs.
27 SECTION 11. IC 27-1-50-12, AS ADDED BY P.L.166-2023,
28 SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
29 JULY 1, 2024]: Sec. 12. (a) The department may enforce the
30 requirements of this chapter to the extent permissible under applicable
31 law.
32 (b) A violation of this chapter is an unfair or deceptive act or
33 practice in the business of insurance under IC 27-4-1-4.
34 (c) The department may adopt rules under IC 4-22-2 that:
35 (1) provide for the enforcement of this chapter; and
36 (2) set forth fines for violations of this chapter.
37 SECTION 12. IC 27-2-28-1, AS ADDED BY P.L.226-2023,
38 SECTION 20, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
39 JUNE 30, 2024]: Sec. 1. (a) This chapter applies to a personal
40 automobile or homeowner's policy that is issued, delivered, amended,
41 or renewed after June 30, 2024. 2025.
42 (b) This chapter does not apply to notices required by the federal
EH 1332—LS 6979/DI 55 19
1 Fair Credit Reporting Act (15 U.S.C. 1681 et seq.).
2 SECTION 13. IC 27-4-1-4, AS AMENDED BY P.L.56-2023,
3 SECTION 244, IS AMENDED TO READ AS FOLLOWS
4 [EFFECTIVE JULY 1, 2024]: Sec. 4. (a) The following are hereby
5 defined as unfair methods of competition and unfair and deceptive acts
6 and practices in the business of insurance:
7 (1) Making, issuing, circulating, or causing to be made, issued, or
8 circulated, any estimate, illustration, circular, or statement:
9 (A) misrepresenting the terms of any policy issued or to be
10 issued or the benefits or advantages promised thereby or the
11 dividends or share of the surplus to be received thereon;
12 (B) making any false or misleading statement as to the
13 dividends or share of surplus previously paid on similar
14 policies;
15 (C) making any misleading representation or any
16 misrepresentation as to the financial condition of any insurer,
17 or as to the legal reserve system upon which any life insurer
18 operates;
19 (D) using any name or title of any policy or class of policies
20 misrepresenting the true nature thereof; or
21 (E) making any misrepresentation to any policyholder insured
22 in any company for the purpose of inducing or tending to
23 induce such policyholder to lapse, forfeit, or surrender the
24 policyholder's insurance.
25 (2) Making, publishing, disseminating, circulating, or placing
26 before the public, or causing, directly or indirectly, to be made,
27 published, disseminated, circulated, or placed before the public,
28 in a newspaper, magazine, or other publication, or in the form of
29 a notice, circular, pamphlet, letter, or poster, or over any radio or
30 television station, or in any other way, an advertisement,
31 announcement, or statement containing any assertion,
32 representation, or statement with respect to any person in the
33 conduct of the person's insurance business, which is untrue,
34 deceptive, or misleading.
35 (3) Making, publishing, disseminating, or circulating, directly or
36 indirectly, or aiding, abetting, or encouraging the making,
37 publishing, disseminating, or circulating of any oral or written
38 statement or any pamphlet, circular, article, or literature which is
39 false, or maliciously critical of or derogatory to the financial
40 condition of an insurer, and which is calculated to injure any
41 person engaged in the business of insurance.
42 (4) Entering into any agreement to commit, or individually or by
EH 1332—LS 6979/DI 55 20
1 a concerted action committing any act of boycott, coercion, or
2 intimidation resulting or tending to result in unreasonable
3 restraint of, or a monopoly in, the business of insurance.
4 (5) Filing with any supervisory or other public official, or making,
5 publishing, disseminating, circulating, or delivering to any person,
6 or placing before the public, or causing directly or indirectly, to
7 be made, published, disseminated, circulated, delivered to any
8 person, or placed before the public, any false statement of
9 financial condition of an insurer with intent to deceive. Making
10 any false entry in any book, report, or statement of any insurer
11 with intent to deceive any agent or examiner lawfully appointed
12 to examine into its condition or into any of its affairs, or any
13 public official to which such insurer is required by law to report,
14 or which has authority by law to examine into its condition or into
15 any of its affairs, or, with like intent, willfully omitting to make a
16 true entry of any material fact pertaining to the business of such
17 insurer in any book, report, or statement of such insurer.
18 (6) Issuing or delivering or permitting agents, officers, or
19 employees to issue or deliver, agency company stock or other
20 capital stock, or benefit certificates or shares in any common law
21 corporation, or securities or any special or advisory board
22 contracts or other contracts of any kind promising returns and
23 profits as an inducement to insurance.
24 (7) Making or permitting any of the following:
25 (A) Unfair discrimination between individuals of the same
26 class and equal expectation of life in the rates or assessments
27 charged for any contract of life insurance or of life annuity or
28 in the dividends or other benefits payable thereon, or in any
29 other of the terms and conditions of such contract. However,
30 in determining the class, consideration may be given to the
31 nature of the risk, plan of insurance, the actual or expected
32 expense of conducting the business, or any other relevant
33 factor.
34 (B) Unfair discrimination between individuals of the same
35 class involving essentially the same hazards in the amount of
36 premium, policy fees, assessments, or rates charged or made
37 for any policy or contract of accident or health insurance or in
38 the benefits payable thereunder, or in any of the terms or
39 conditions of such contract, or in any other manner whatever.
40 However, in determining the class, consideration may be given
41 to the nature of the risk, the plan of insurance, the actual or
42 expected expense of conducting the business, or any other
EH 1332—LS 6979/DI 55 21
1 relevant factor.
2 (C) Excessive or inadequate charges for premiums, policy
3 fees, assessments, or rates, or making or permitting any unfair
4 discrimination between persons of the same class involving
5 essentially the same hazards, in the amount of premiums,
6 policy fees, assessments, or rates charged or made for:
7 (i) policies or contracts of reinsurance or joint reinsurance,
8 or abstract and title insurance;
9 (ii) policies or contracts of insurance against loss or damage
10 to aircraft, or against liability arising out of the ownership,
11 maintenance, or use of any aircraft, or of vessels or craft,
12 their cargoes, marine builders' risks, marine protection and
13 indemnity, or other risks commonly insured under marine,
14 as distinguished from inland marine, insurance; or
15 (iii) policies or contracts of any other kind or kinds of
16 insurance whatsoever.
17 However, nothing contained in clause (C) shall be construed to
18 apply to any of the kinds of insurance referred to in clauses (A)
19 and (B) nor to reinsurance in relation to such kinds of insurance.
20 Nothing in clause (A), (B), or (C) shall be construed as making or
21 permitting any excessive, inadequate, or unfairly discriminatory
22 charge or rate or any charge or rate determined by the department
23 or commissioner to meet the requirements of any other insurance
24 rate regulatory law of this state.
25 (8) Except as otherwise expressly provided by IC 27-1-47 or
26 another law, knowingly permitting or offering to make or making
27 any contract or policy of insurance of any kind or kinds
28 whatsoever, including but not in limitation, life annuities, or
29 agreement as to such contract or policy other than as plainly
30 expressed in such contract or policy issued thereon, or paying or
31 allowing, or giving or offering to pay, allow, or give, directly or
32 indirectly, as inducement to such insurance, or annuity, any rebate
33 of premiums payable on the contract, or any special favor or
34 advantage in the dividends, savings, or other benefits thereon, or
35 any valuable consideration or inducement whatever not specified
36 in the contract or policy; or giving, or selling, or purchasing or
37 offering to give, sell, or purchase as inducement to such insurance
38 or annuity or in connection therewith, any stocks, bonds, or other
39 securities of any insurance company or other corporation,
40 association, limited liability company, or partnership, or any
41 dividends, savings, or profits accrued thereon, or anything of
42 value whatsoever not specified in the contract. Nothing in this
EH 1332—LS 6979/DI 55 22
1 subdivision and subdivision (7) shall be construed as including
2 within the definition of discrimination or rebates any of the
3 following practices:
4 (A) Paying bonuses to policyholders or otherwise abating their
5 premiums in whole or in part out of surplus accumulated from
6 nonparticipating insurance, so long as any such bonuses or
7 abatement of premiums are fair and equitable to policyholders
8 and for the best interests of the company and its policyholders.
9 (B) In the case of life insurance policies issued on the
10 industrial debit plan, making allowance to policyholders who
11 have continuously for a specified period made premium
12 payments directly to an office of the insurer in an amount
13 which fairly represents the saving in collection expense.
14 (C) Readjustment of the rate of premium for a group insurance
15 policy based on the loss or expense experience thereunder, at
16 the end of the first year or of any subsequent year of insurance
17 thereunder, which may be made retroactive only for such
18 policy year.
19 (D) Paying by an insurer or insurance producer thereof duly
20 licensed as such under the laws of this state of money,
21 commission, or brokerage, or giving or allowing by an insurer
22 or such licensed insurance producer thereof anything of value,
23 for or on account of the solicitation or negotiation of policies
24 or other contracts of any kind or kinds, to a broker, an
25 insurance producer, or a solicitor duly licensed under the laws
26 of this state, but such broker, insurance producer, or solicitor
27 receiving such consideration shall not pay, give, or allow
28 credit for such consideration as received in whole or in part,
29 directly or indirectly, to the insured by way of rebate.
30 (9) Requiring, as a condition precedent to loaning money upon the
31 security of a mortgage upon real property, that the owner of the
32 property to whom the money is to be loaned negotiate any policy
33 of insurance covering such real property through a particular
34 insurance producer or broker or brokers. However, this
35 subdivision shall not prevent the exercise by any lender of the
36 lender's right to approve or disapprove of the insurance company
37 selected by the borrower to underwrite the insurance.
38 (10) Entering into any contract, combination in the form of a trust
39 or otherwise, or conspiracy in restraint of commerce in the
40 business of insurance.
41 (11) Monopolizing or attempting to monopolize or combining or
42 conspiring with any other person or persons to monopolize any
EH 1332—LS 6979/DI 55 23
1 part of commerce in the business of insurance. However,
2 participation as a member, director, or officer in the activities of
3 any nonprofit organization of insurance producers or other
4 workers in the insurance business shall not be interpreted, in
5 itself, to constitute a combination in restraint of trade or as
6 combining to create a monopoly as provided in this subdivision
7 and subdivision (10). The enumeration in this chapter of specific
8 unfair methods of competition and unfair or deceptive acts and
9 practices in the business of insurance is not exclusive or
10 restrictive or intended to limit the powers of the commissioner or
11 department or of any court of review under section 8 of this
12 chapter.
13 (12) Requiring as a condition precedent to the sale of real or
14 personal property under any contract of sale, conditional sales
15 contract, or other similar instrument or upon the security of a
16 chattel mortgage, that the buyer of such property negotiate any
17 policy of insurance covering such property through a particular
18 insurance company, insurance producer, or broker or brokers.
19 However, this subdivision shall not prevent the exercise by any
20 seller of such property or the one making a loan thereon of the
21 right to approve or disapprove of the insurance company selected
22 by the buyer to underwrite the insurance.
23 (13) Issuing, offering, or participating in a plan to issue or offer,
24 any policy or certificate of insurance of any kind or character as
25 an inducement to the purchase of any property, real, personal, or
26 mixed, or services of any kind, where a charge to the insured is
27 not made for and on account of such policy or certificate of
28 insurance. However, this subdivision shall not apply to any of the
29 following:
30 (A) Insurance issued to credit unions or members of credit
31 unions in connection with the purchase of shares in such credit
32 unions.
33 (B) Insurance employed as a means of guaranteeing the
34 performance of goods and designed to benefit the purchasers
35 or users of such goods.
36 (C) Title insurance.
37 (D) Insurance written in connection with an indebtedness and
38 intended as a means of repaying such indebtedness in the
39 event of the death or disability of the insured.
40 (E) Insurance provided by or through motorists service clubs
41 or associations.
42 (F) Insurance that is provided to the purchaser or holder of an
EH 1332—LS 6979/DI 55 24
1 air transportation ticket and that:
2 (i) insures against death or nonfatal injury that occurs during
3 the flight to which the ticket relates;
4 (ii) insures against personal injury or property damage that
5 occurs during travel to or from the airport in a common
6 carrier immediately before or after the flight;
7 (iii) insures against baggage loss during the flight to which
8 the ticket relates; or
9 (iv) insures against a flight cancellation to which the ticket
10 relates.
11 (14) Refusing, because of the for-profit status of a hospital or
12 medical facility, to make payments otherwise required to be made
13 under a contract or policy of insurance for charges incurred by an
14 insured in such a for-profit hospital or other for-profit medical
15 facility licensed by the Indiana department of health.
16 (15) Refusing to insure an individual, refusing to continue to issue
17 insurance to an individual, limiting the amount, extent, or kind of
18 coverage available to an individual, or charging an individual a
19 different rate for the same coverage, solely because of that
20 individual's blindness or partial blindness, except where the
21 refusal, limitation, or rate differential is based on sound actuarial
22 principles or is related to actual or reasonably anticipated
23 experience.
24 (16) Committing or performing, with such frequency as to
25 indicate a general practice, unfair claim settlement practices (as
26 defined in section 4.5 of this chapter).
27 (17) Between policy renewal dates, unilaterally canceling an
28 individual's coverage under an individual or group health
29 insurance policy solely because of the individual's medical or
30 physical condition.
31 (18) Using a policy form or rider that would permit a cancellation
32 of coverage as described in subdivision (17).
33 (19) Violating IC 27-1-22-25, IC 27-1-22-26, or IC 27-1-22-26.1
34 concerning motor vehicle insurance rates.
35 (20) Violating IC 27-8-21-2 concerning advertisements referring
36 to interest rate guarantees.
37 (21) Violating IC 27-8-24.3 concerning insurance and health plan
38 coverage for victims of abuse.
39 (22) Violating IC 27-8-26 concerning genetic screening or testing.
40 (23) Violating IC 27-1-15.6-3(b) concerning licensure of
41 insurance producers.
42 (24) Violating IC 27-1-38 concerning depository institutions.
EH 1332—LS 6979/DI 55 25
1 (25) Violating IC 27-8-28-17(c) or IC 27-13-10-8(c) concerning
2 the resolution of an appealed grievance decision.
3 (26) Violating IC 27-8-5-2.5(e) through IC 27-8-5-2.5(j) (expired
4 July 1, 2007, and removed) or IC 27-8-5-19.2 (expired July 1,
5 2007, and repealed).
6 (27) Violating IC 27-2-21 concerning use of credit information.
7 (28) Violating IC 27-4-9-3 concerning recommendations to
8 consumers.
9 (29) Engaging in dishonest or predatory insurance practices in
10 marketing or sales of insurance to members of the United States
11 Armed Forces as:
12 (A) described in the federal Military Personnel Financial
13 Services Protection Act, P.L.109-290; or
14 (B) defined in rules adopted under subsection (b).
15 (30) Violating IC 27-8-19.8-20.1 concerning stranger originated
16 life insurance.
17 (31) Violating IC 27-2-22 concerning retained asset accounts.
18 (32) Violating IC 27-8-5-29 concerning health plans offered
19 through a health benefit exchange (as defined in IC 27-19-2-8).
20 (33) Violating a requirement of the federal Patient Protection and
21 Affordable Care Act (P.L. 111-148), as amended by the federal
22 Health Care and Education Reconciliation Act of 2010 (P.L.
23 111-152), that is enforceable by the state.
24 (34) After June 30, 2015, violating IC 27-2-23 concerning
25 unclaimed life insurance, annuity, or retained asset account
26 benefits.
27 (35) Willfully violating IC 27-1-12-46 concerning a life insurance
28 policy or certificate described in IC 27-1-12-46(a).
29 (36) Violating IC 27-1-37-7 concerning prohibiting the disclosure
30 of health care service claims data.
31 (37) Violating IC 27-4-10-10 concerning virtual claims payments.
32 (38) Violating IC 27-1-24.5 concerning pharmacy benefit
33 managers.
34 (39) Violating IC 27-7-17-16 or IC 27-7-17-17 concerning the
35 marketing of travel insurance policies.
36 (40) Violating IC 27-1-49 concerning individual prescription
37 drug rebates.
38 (41) Violating IC 27-1-50 concerning group prescription drug
39 rebates.
40 (b) Except with respect to federal insurance programs under
41 Subchapter III of Chapter 19 of Title 38 of the United States Code, the
42 commissioner may, consistent with the federal Military Personnel
EH 1332—LS 6979/DI 55 26
1 Financial Services Protection Act (10 U.S.C. 992 note), adopt rules
2 under IC 4-22-2 to:
3 (1) define; and
4 (2) while the members are on a United States military installation
5 or elsewhere in Indiana, protect members of the United States
6 Armed Forces from;
7 dishonest or predatory insurance practices.
8 SECTION 14. IC 27-6-8-4, AS AMENDED BY P.L.52-2013,
9 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
10 JULY 1, 2024]: Sec. 4. (a) As used in this chapter, unless otherwise
11 provided:
12 (1) The term "account" means any one (1) of the three (3)
13 accounts created by section 5 of this chapter.
14 (2) The term "association" means the Indiana Insurance Guaranty
15 Association created by section 5 of this chapter.
16 (3) The term "commissioner" means the commissioner of
17 insurance of this state.
18 (4) The term "covered claim" means an unpaid claim which arises
19 out of and is within the coverage and not in excess of the
20 applicable limits of an insurance policy to which this chapter
21 applies issued by an insurer, if the insurer becomes an insolvent
22 insurer after the effective date (January 1, 1972) of this chapter
23 and (a) the claimant or insured is a resident of this state at the
24 time of the insured event or (b) the property from which the claim
25 arises is permanently located in this state. "Covered claim" shall
26 be limited as provided in section 7 of this chapter, and shall not
27 include the following:
28 (A) Any amount due any reinsurer, insurer, insurance pool, or
29 underwriting association, as subrogation recoveries or
30 otherwise. However, a claim for any such amount, asserted
31 against a person insured under a policy issued by an insurer
32 which has become an insolvent insurer, which if it were not a
33 claim by or for the benefit of a reinsurer, insurer, insurance
34 pool or underwriting association, would be a "covered claim"
35 may be filed directly with the receiver or liquidator of the
36 insolvent insurer, but in no event may any such claim be
37 asserted in any legal action against the insured of such
38 insolvent insurer.
39 (B) Any supplementary obligation including but not limited to
40 adjustment fees and expenses, attorney fees and expenses,
41 court costs, interest and bond premiums, whether arising as a
42 policy benefit or otherwise, prior to the appointment of a
EH 1332—LS 6979/DI 55 27
1 liquidator.
2 (C) Any unpaid claim that is filed with the association after the
3 final date set by the court for the filing of claims against the
4 liquidator or receiver of an insolvent insurer. For the purpose
5 of filing a claim under this clause, notice of a claim to the
6 liquidator of the insolvent insurer is considered to be notice to
7 the association or the agent of the association and a list of
8 claims must be periodically submitted to the association (or
9 another state's association that is similar to the association) by
10 the liquidator.
11 (D) A claim that is excluded under section 11.5 of this chapter
12 due to the high net worth of an insured.
13 (E) Any claim by a person who directly or indirectly controls,
14 is controlled, or is under common control with an insolvent
15 insurer on December 31 of the year before the order of
16 liquidation.
17 All covered claims filed in the liquidation proceedings shall be
18 referred immediately to the association by the liquidator for
19 processing as provided in this chapter.
20 (5) The term "high net worth insured" means the following:
21 (A) For purposes of section 11.5(a) of this chapter, an insured
22 that has a net worth (including the aggregate net worth of the
23 insured and all subsidiaries and affiliates of the insured,
24 calculated on a consolidated basis) that exceeds twenty-five
25 million dollars ($25,000,000) on December 31 of the year
26 immediately preceding the year in which the insurer becomes
27 an insolvent insurer.
28 (B) For purposes of section 11.5(b) of this chapter, an insured
29 that has a net worth (including the aggregate net worth of the
30 insured and all subsidiaries and affiliates of the insured,
31 calculated on a consolidated basis) that exceeds fifty million
32 dollars ($50,000,000) on December 31 of the year immediately
33 preceding the year in which the insurer becomes an insolvent
34 insurer.
35 (6) The term "insolvent insurer" means (a) a member insurer
36 holding a valid certificate of authority to transact insurance in this
37 state either at the time the policy was issued or when the insured
38 event occurred and (b) against whom a final order of liquidation,
39 with a finding of insolvency, to which there is no further right of
40 appeal, has been entered by a court of competent jurisdiction in
41 the company's state of domicile. "Insolvent insurer" shall not be
42 construed to mean an insurer with respect to which an order,
EH 1332—LS 6979/DI 55 28
1 decree, judgment or finding of insolvency whether preliminary or
2 temporary in nature or order to rehabilitation or conservation has
3 been issued by any court of competent jurisdiction prior to
4 January 1, 1972 or which is adjudicated to have been insolvent
5 prior to that date.
6 (7) The term "member insurer" means any person who is licensed
7 or holds a certificate of authority under IC 27-1-6-18 or
8 IC 27-1-17-1 to transact in Indiana any kind of insurance for
9 which coverage is provided under section 3 of this chapter,
10 including the exchange of reciprocal or inter-insurance contracts.
11 The term includes any insurer whose license or certificate of
12 authority to transact such insurance in Indiana may have been
13 suspended, revoked, not renewed, or voluntarily surrendered. A
14 "member insurer" does not include farm mutual insurance
15 companies organized and operating pursuant to IC 27-5.1 other
16 than a company to which IC 27-5.1-2-6 applies.
17 (8) The term "net direct written premiums" means direct gross
18 premiums written in this state on insurance policies to which this
19 chapter applies, less return premiums thereon and dividends paid
20 or credited to policyholders on such direct business. "Net direct
21 premiums written" does not include premiums on contracts
22 between insurers or reinsurers.
23 (9) The term "person" means an individual, an aggregation of
24 individuals, a corporation, a partnership, or another entity.
25 (b) Notwithstanding any other provision in this chapter, an
26 insurance policy that is issued by a member insurer and later
27 allocated, transferred, assumed by, or otherwise made the sole
28 responsibility of another insurer, pursuant to a state statute
29 providing for the division of an insurance company or the statutory
30 assumption or transfer of designated policies and under which
31 there is no remaining obligation to the transferring entity, shall be
32 considered to have been issued by a member insurer which is an
33 insolvent insurer for the purposes of this chapter in the event that
34 the insurer to which the policy has been allocated, transferred,
35 assumed by, or otherwise made the sole responsibility of is placed
36 in liquidation.
37 (c) An insurance policy that was issued by a nonmember insurer
38 and later allocated, transferred, assumed by, or otherwise made
39 the sole responsibility of a member insurer under a state statute
40 shall not be considered to have been issued by a member insurer
41 for the purposes of this chapter.
42 SECTION 15. IC 27-6-8-5, AS AMENDED BY P.L.52-2013,
EH 1332—LS 6979/DI 55 29
1 SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
2 JULY 1, 2024]: Sec. 5. There is created a nonprofit unincorporated
3 legal entity to be known as the Indiana Insurance Guaranty Association
4 (referred to in this chapter as the "association"). All insurers defined as
5 member insurers in section 4(7) 4(a)(7) of this chapter shall be and
6 remain members of the association as a condition of their authority to
7 transact insurance in this state. The association shall perform its
8 functions under a plan of operation established and approved under
9 section 8 of this chapter and shall exercise its powers through a board
10 of directors established under section 6 of this chapter. For purposes of
11 administration and assessment, the association shall be divided into
12 three (3) separate accounts:
13 (1) The worker's compensation insurance account.
14 (2) The automobile insurance account.
15 (3) The account for all other insurance to which this chapter
16 applies.
17 SECTION 16. IC 27-6-8-11.5, AS ADDED BY P.L.52-2013,
18 SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
19 JULY 1, 2024]: Sec. 11.5. (a) The association is not obligated to pay
20 a first party claim by a high net worth insured described in section
21 4(5)(A) 4(a)(5)(A) of this chapter.
22 (b) The association has the right to recover from a high net worth
23 insured described in section 4(5)(B) 4(a)(5)(B) of this chapter all
24 amounts paid by the association to or on behalf of the high net worth
25 insured, regardless of whether the amounts were paid for indemnity,
26 defense, or otherwise.
27 (c) The association is not obligated to pay a claim that:
28 (1) would otherwise be a covered claim;
29 (2) is an obligation to or on behalf of a person who has a net
30 worth greater than the net worth allowed by the insurance
31 guaranty association law of the state of residence of the claimant
32 at the time specified by the applicable law of the state of
33 residence of the claimant; and
34 (3) has been denied by the association of the state of residence of
35 the claimant on the basis described in subdivision (2).
36 (d) The association shall establish reasonable procedures, subject to
37 the approval of the commissioner, for requesting financial information
38 from insureds:
39 (1) on a confidential basis; and
40 (2) in the application of this section.
41 (e) The procedures established under subsection (d) must provide
42 for sharing of the financial information obtained from insureds with:
EH 1332—LS 6979/DI 55 30
1 (1) any other association that is similar to the association; and
2 (2) the liquidator for an insolvent insurer;
3 on the same confidential basis.
4 (f) If an insured refuses to provide financial information that is:
5 (1) requested under the procedures established under subsection
6 (d); and
7 (2) available;
8 the association may, until the time that the financial information is
9 provided to the association, consider the insured to be a high net worth
10 insured for purposes of subsections (a) and (b).
11 (g) In an action contesting the applicability of this section to an
12 insured that refuses to provide financial information under the
13 procedures established under subsection (d), the insured bears the
14 burden of proof concerning the insured's net worth at the relevant time.
15 If the insured fails to prove that the insured's net worth at the relevant
16 time was less than the applicable amount set forth in section 4(5)(A) or
17 4(5)(B) 4(a)(5)(A) or 4(a)(5)(B) of this chapter, the court shall award
18 to the association the association's full costs, expenses, and reasonable
19 attorney's fees incurred in contesting the claim.
20 SECTION 17. IC 27-8-11-7, AS AMENDED BY P.L.190-2023,
21 SECTION 30, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
22 JULY 1, 2024]: Sec. 7. (a) This section applies to an insurer that issues
23 or administers a policy that provides coverage for basic health care
24 services (as defined in IC 27-13-1-4).
25 (b) As used in this section, "clean credentialing application" means
26 an application for network participation that:
27 (1) is submitted by a provider under this section;
28 (2) does not contain an error; and
29 (3) may be processed by the insurer without returning the
30 application to the provider for a revision or clarification.
31 (c) As used in this section, "credentialing" means a process by
32 which an insurer makes a determination that:
33 (1) is based on criteria established by the insurer; and
34 (2) concerns whether a provider is eligible to:
35 (A) provide health services to an individual eligible for
36 coverage; and
37 (B) receive reimbursement for the health services;
38 under an agreement that is entered into between the provider and
39 the insurer.
40 (d) As used in this section, "unclean credentialing application"
41 means an application for network participation that:
42 (1) is submitted by a provider under this section;
EH 1332—LS 6979/DI 55 31
1 (2) contains at least one (1) error; and
2 (3) must be returned to the provider to correct the error.
3 (e) The department of insurance shall prescribe the credentialing
4 application form used by the Council for Affordable Quality Healthcare
5 (CAQH) in electronic or paper format, which must be used by:
6 (1) a provider who applies for credentialing by an insurer; and
7 (2) an insurer that performs credentialing activities.
8 (f) An insurer shall notify a provider concerning a deficiency on a
9 completed unclean credentialing application form submitted by the
10 provider not later than five (5) business days after the entity receives
11 the completed unclean credentialing application form. A notice
12 described in this subsection must:
13 (1) provide a description of the deficiency; and
14 (2) state the reason why the application was determined to be an
15 unclean credentialing application.
16 (g) A provider shall respond to the notification required under
17 subsection (f) not later than five (5) business days after receipt of the
18 notice.
19 (h) An insurer shall notify a provider concerning the status of the
20 provider's completed clean credentialing application when:
21 (1) the provider is provisionally credentialed; and
22 (2) the insurer makes a final credentialing determination
23 concerning the provider.
24 (i) If the insurer fails to issue a credentialing determination within
25 fifteen (15) business days after receiving a completed clean
26 credentialing application form from a provider, the insurer shall
27 provisionally credential the provider in accordance with the standards
28 and guidelines governing provisional credentialing from the National
29 Committee for Quality Assurance or its successor organization. The
30 provisional credentialing license is valid until a determination is made
31 on the credentialing application of the provider.
32 (j) Once an insurer fully credentials a provider that holds
33 provisional credentialing and a network provider agreement has been
34 executed, then reimbursement payments under the contract shall be
35 paid retroactive to the date the provider was provisionally credentialed.
36 The insurer shall reimburse the provider at the rates determined by the
37 contract between the provider and the insurer.
38 (k) If an insurer does not fully credential a provider that is
39 provisionally credentialed under subsection (i), the provisional
40 credentialing is terminated on the date the insurer notifies the provider
41 of the adverse credentialing determination. The insurer is not required
42 to reimburse for services rendered while the provider was provisionally
EH 1332—LS 6979/DI 55 32
1 credentialed.
2 SECTION 18. IC 27-13-43-2, AS AMENDED BY P.L.190-2023,
3 SECTION 36, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
4 JULY 1, 2024]: Sec. 2. (a) As used in this section, "clean credentialing
5 application" means an application for network participation that:
6 (1) is submitted by a provider under this section;
7 (2) does not contain an error; and
8 (3) may be processed by the health maintenance organization
9 without returning the application to the provider for a revision or
10 clarification.
11 (b) As used in this section, "credentialing" means a process by
12 which a health maintenance organization makes a determination that:
13 (1) is based on criteria established by the health maintenance
14 organization; and
15 (2) concerns whether a provider is eligible to:
16 (A) provide health services to an individual eligible for
17 coverage; and
18 (B) receive reimbursement for the health services;
19 under an agreement that is entered into between the provider and
20 the health maintenance organization.
21 (c) As used in this section, "unclean credentialing application"
22 means an application for network participation that:
23 (1) is submitted by a provider under this section;
24 (2) contains at least one (1) error; and
25 (3) must be returned to the provider to correct the error.
26 (d) The department shall prescribe the credentialing application
27 form used by the Council for Affordable Quality Healthcare (CAQH)
28 in electronic or paper format. The form must be used by:
29 (1) a provider who applies for credentialing by a health
30 maintenance organization; and
31 (2) a health maintenance organization that performs credentialing
32 activities.
33 (e) A health maintenance organization shall notify a provider
34 concerning a deficiency on a completed unclean credentialing
35 application form submitted by the provider not later than five (5)
36 business days after the entity receives the completed unclean
37 credentialing application form. A notice described in this subsection
38 must:
39 (1) provide a description of the deficiency; and
40 (2) state the reason why the application was determined to be an
41 unclean credentialing application.
42 (f) A provider shall respond to the notification required under
EH 1332—LS 6979/DI 55 33
1 subsection (e) not later than five (5) business days after receipt of the
2 notice.
3 (g) A health maintenance organization shall notify a provider
4 concerning the status of the provider's completed clean credentialing
5 application when:
6 (1) the provider is provisionally credentialed; and
7 (2) the health maintenance organization makes a final
8 credentialing determination concerning the provider.
9 (h) If the health maintenance organization fails to issue a
10 credentialing determination within fifteen (15) business days after
11 receiving a completed clean credentialing application form from a
12 provider, the health maintenance organization shall provisionally
13 credential the provider in accordance with the standards and guidelines
14 governing provisional credentialing from the National Committee for
15 Quality Assurance or its successor organization. The provisional
16 credentialing license is valid until a determination is made on the
17 credentialing application of the provider.
18 (i) Once a health maintenance organization fully credentials a
19 provider that holds provisional credentialing and a network provider
20 agreement has been executed, then reimbursement payments under the
21 contract shall be paid retroactive to the date the provider was
22 provisionally credentialed. The health maintenance organization shall
23 reimburse the provider at the rates determined by the contract between
24 the provider and the health maintenance organization.
25 (j) If a health maintenance organization does not fully credential a
26 provider that is provisionally credentialed under subsection (h), the
27 provisional credentialing is terminated on the date the health
28 maintenance organization notifies the provider of the adverse
29 credentialing determination. The health maintenance organization is
30 not required to reimburse for services rendered while the provider was
31 provisionally credentialed.
EH 1332—LS 6979/DI 55 34
COMMITTEE REPORT
Mr. Speaker: Your Committee on Insurance, to which was referred
House Bill 1332, has had the same under consideration and begs leave
to report the same back to the House with the recommendation that said
bill be amended as follows:
Page 1, delete lines 1 through 17, begin a new paragraph and insert:
"SECTION 1. IC 24-15-1-1, AS ADDED BY P.L.94-2023,
SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2026]: Sec. 1. (a) This article applies to a person that
conducts business in Indiana or produces products or services that are
targeted to residents of Indiana and that during a calendar year:
(1) controls or processes personal data of at least one hundred
thousand (100,000) consumers who are Indiana residents; or
(2) controls or processes personal data of at least twenty-five
thousand (25,000) consumers who are Indiana residents and
derives more than fifty percent (50%) of gross revenue from the
sale of personal data.
(b) This article does not apply to any of the following:
(1) Either of the following:
(A) The state, a state agency, or a body, authority, board,
bureau, commission, district, or agency of any political
subdivision of the state.
(B) A third party under contract with an entity described in
clause (A), when acting on behalf of the entity. This clause
does not exempt data held or created by third parties outside
of the scope of the contract with the entity.
(2) Any financial institutions and affiliates, or data subject to Title
V of the federal Gramm-Leach-Bliley Act (15 U.S.C. 6801 et
seq.).
(3) Any covered entity or business associate governed by the
privacy, security, and breach notification rules issued by the
United States Department of Health and Human Services (45 CFR
Parts 160 and 164) pursuant to HIPAA.
(4) Any nonprofit organization.
(5) Any institution of higher education.
(6) Any public utility (as defined in IC 8-1-2-1(a)) or service
company affiliated with a public utility (as defined in
IC 8-1-2-1(a)). For purposes of this subdivision, "service
company" means an associate company within a holding company
system organized specifically for the purpose of providing goods
or services to a public utility (as defined in IC 8-1-2-1(a)) in the
EH 1332—LS 6979/DI 55 35
same holding company system.
(7) Any organization exempt from taxation under Section
501(c)(4) of the Internal Revenue Code that is:
(A) established to detect or prevent insurance related
crime or fraud; and
(B) subject to a memorandum of understanding with a
statewide law enforcement agency.".
Delete pages 2 through 5.
Page 6, delete lines 1 through 39.
Page 22, between lines 20 and 21, begin a new paragraph and insert:
"SECTION 11. IC 27-1-50-8 IS REPEALED [EFFECTIVE JULY
1, 2024]. Sec. 8. An insurer shall pass through to a plan sponsor one
hundred percent (100%) of all rebates concerning the dispensing or
administration of prescription drugs to the covered individuals of the
plan sponsor.
SECTION 12. IC 27-1-50-9, AS ADDED BY P.L.166-2023,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2024]: Sec. 9. (a) At the time of contracting, an insurer shall
provide offer to plan sponsors the option of following plans:
(1) A plan that applies one hundred percent (100%) of the
rebates to reduce premiums for all covered individuals
equally.
(2) A plan calculating that calculates defined cost sharing for
covered individuals of the plan sponsor at the point of sale based
on a price that is reduced by some or an amount equal to at least
eighty-five percent (85%) of all of the rebates received or
estimated to be received by the insurer concerning the dispensing
or administration of the prescription drug.
(b) A plan sponsor may choose one (1) of the plans offered
under subsection (a).
SECTION 13. IC 27-1-50-10, AS ADDED BY P.L.166-2023,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2024]: Sec. 10. Nothing in this chapter prohibits an insurer
from decreasing a covered individual's defined cost sharing by an
amount greater than the amount required under section 8 9 of this
chapter.
SECTION 14. IC 27-1-50-11, AS ADDED BY P.L.166-2023,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2024]: Sec. 11. An insurer shall disclose the following
information to a plan sponsor on at least an annual basis:
(1) The approximate amount of rebates expected to be received by
the insurer concerning the dispensing or administration of
EH 1332—LS 6979/DI 55 36
prescription drugs to the covered individuals of the plan sponsor.
(2) An explanation that the plan sponsor may choose to:
(A) apply the rebates to reduce premiums for all covered
individuals; or
(B) calculate defined cost sharing for a covered individual at
the point of sale based on a price that is reduced by an
amount equal to at least eighty-five percent (85%) of all
rebates received or estimated to be received by the insurer
concerning the dispensing or administration of the covered
individual's prescription drugs.
(3) An explanation that, in the individual market, IC 27-1-49
requires that covered individual defined cost sharing be calculated
at the point of sale based on a price that is reduced by at least
eighty-five percent (85%) of the rebates concerning the
dispensing or administration of the covered individual's
prescription drugs.".
Page 22, between lines 30 and 31, begin a new paragraph and insert:
"SECTION 12. IC 27-2-28-1, AS ADDED BY P.L.226-2023,
SECTION 20, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JUNE 30, 2024]: Sec. 1. (a) This chapter applies to a personal
automobile or homeowner's policy that is issued, delivered, amended,
or renewed after June 30, 2024. 2025.
(b) This chapter does not apply to notices required by the federal
Fair Credit Reporting Act (15 U.S.C. 1681 et seq.).".
Page 34, after line 6, begin a new paragraph and insert:
"SECTION 16. IC 27-8-11-7, AS AMENDED BY P.L.190-2023,
SECTION 30, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2024]: Sec. 7. (a) This section applies to an insurer that issues
or administers a policy that provides coverage for basic health care
services (as defined in IC 27-13-1-4).
(b) As used in this section, "clean credentialing application" means
an application for network participation that:
(1) is submitted by a provider under this section;
(2) does not contain an error; and
(3) may be processed by the insurer without returning the
application to the provider for a revision or clarification.
(c) As used in this section, "credentialing" means a process by
which an insurer makes a determination that:
(1) is based on criteria established by the insurer; and
(2) concerns whether a provider is eligible to:
(A) provide health services to an individual eligible for
coverage; and
EH 1332—LS 6979/DI 55 37
(B) receive reimbursement for the health services;
under an agreement that is entered into between the provider and
the insurer.
(d) As used in this section, "unclean credentialing application"
means an application for network participation that:
(1) is submitted by a provider under this section;
(2) contains at least one (1) error; and
(3) must be returned to the provider to correct the error.
(e) The department of insurance shall prescribe the credentialing
application form used by the Council for Affordable Quality Healthcare
(CAQH) in electronic or paper format, which must be used by:
(1) a provider who applies for credentialing by an insurer; and
(2) an insurer that performs credentialing activities.
(f) An insurer shall notify a provider concerning a deficiency on a
completed unclean credentialing application form submitted by the
provider not later than five (5) business days after the entity receives
the completed unclean credentialing application form. A notice
described in this subsection must:
(1) provide a description of the deficiency; and
(2) state the reason why the application was determined to be an
unclean credentialing application.
(g) A provider shall respond to the notification required under
subsection (f) not later than five (5) business days after receipt of the
notice.
(h) An insurer shall notify a provider concerning the status of the
provider's completed clean credentialing application when:
(1) the provider is provisionally credentialed; and
(2) the insurer makes a final credentialing determination
concerning the provider.
(i) If the insurer fails to issue a credentialing determination within
fifteen (15) business days after receiving a completed clean
credentialing application form from a provider, the insurer shall
provisionally credential the provider in accordance with the standards
and guidelines governing provisional credentialing from the National
Committee for Quality Assurance or its successor organization. The
provisional credentialing license is valid until a determination is made
on the credentialing application of the provider.
(j) Once an insurer fully credentials a provider that holds
provisional credentialing and a network provider agreement has been
executed, then reimbursement payments under the contract shall be
paid retroactive to the date the provider was provisionally credentialed.
The insurer shall reimburse the provider at the rates determined by the
EH 1332—LS 6979/DI 55 38
contract between the provider and the insurer.
(k) If an insurer does not fully credential a provider that is
provisionally credentialed under subsection (i), the provisional
credentialing is terminated on the date the insurer notifies the provider
of the adverse credentialing determination. The insurer is not required
to reimburse for services rendered while the provider was provisionally
credentialed.
SECTION 17. IC 27-13-43-2, AS AMENDED BY P.L.190-2023,
SECTION 36, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2024]: Sec. 2. (a) As used in this section, "clean credentialing
application" means an application for network participation that:
(1) is submitted by a provider under this section;
(2) does not contain an error; and
(3) may be processed by the health maintenance organization
without returning the application to the provider for a revision or
clarification.
(b) As used in this section, "credentialing" means a process by
which a health maintenance organization makes a determination that:
(1) is based on criteria established by the health maintenance
organization; and
(2) concerns whether a provider is eligible to:
(A) provide health services to an individual eligible for
coverage; and
(B) receive reimbursement for the health services;
under an agreement that is entered into between the provider and
the health maintenance organization.
(c) As used in this section, "unclean credentialing application"
means an application for network participation that:
(1) is submitted by a provider under this section;
(2) contains at least one (1) error; and
(3) must be returned to the provider to correct the error.
(d) The department shall prescribe the credentialing application
form used by the Council for Affordable Quality Healthcare (CAQH)
in electronic or paper format. The form must be used by:
(1) a provider who applies for credentialing by a health
maintenance organization; and
(2) a health maintenance organization that performs credentialing
activities.
(e) A health maintenance organization shall notify a provider
concerning a deficiency on a completed unclean credentialing
application form submitted by the provider not later than five (5)
business days after the entity receives the completed unclean
EH 1332—LS 6979/DI 55 39
credentialing application form. A notice described in this subsection
must:
(1) provide a description of the deficiency; and
(2) state the reason why the application was determined to be an
unclean credentialing application.
(f) A provider shall respond to the notification required under
subsection (e) not later than five (5) business days after receipt of the
notice.
(g) A health maintenance organization shall notify a provider
concerning the status of the provider's completed clean credentialing
application when:
(1) the provider is provisionally credentialed; and
(2) the health maintenance organization makes a final
credentialing determination concerning the provider.
(h) If the health maintenance organization fails to issue a
credentialing determination within fifteen (15) business days after
receiving a completed clean credentialing application form from a
provider, the health maintenance organization shall provisionally
credential the provider in accordance with the standards and guidelines
governing provisional credentialing from the National Committee for
Quality Assurance or its successor organization. The provisional
credentialing license is valid until a determination is made on the
credentialing application of the provider.
(i) Once a health maintenance organization fully credentials a
provider that holds provisional credentialing and a network provider
agreement has been executed, then reimbursement payments under the
contract shall be paid retroactive to the date the provider was
provisionally credentialed. The health maintenance organization shall
reimburse the provider at the rates determined by the contract between
the provider and the health maintenance organization.
(j) If a health maintenance organization does not fully credential a
provider that is provisionally credentialed under subsection (h), the
provisional credentialing is terminated on the date the health
maintenance organization notifies the provider of the adverse
credentialing determination. The health maintenance organization is
not required to reimburse for services rendered while the provider was
provisionally credentialed.".
Renumber all SECTIONS consecutively.
and when so amended that said bill do pass.
(Reference is to HB 1332 as introduced.)
EH 1332—LS 6979/DI 55 40
CARBAUGH
Committee Vote: yeas 13, nays 0.
_____
COMMITTEE REPORT
Madam President: The Senate Committee on Health and Provider
Services, to which was referred House Bill No. 1332, has had the same
under consideration and begs leave to report the same back to the
Senate with the recommendation that said bill be AMENDED as
follows:
Page 1, delete lines 1 through 17.
Page 2, delete lines 1 through 25, begin a new paragraph and insert:
"SECTION 1. IC 27-1-15.7-4, AS AMENDED BY P.L.148-2017,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2024]: Sec. 4. (a) The commissioner shall approve and
disapprove continuing education courses after considering
recommendations made by the insurance producer education and
continuing education advisory council created commission established
under section 6 6.5 of this chapter.
(b) The commissioner may not approve a course under this section
if the course:
(1) is designed to prepare an individual to receive an initial
license under this chapter;
(2) concerns only routine, basic office skills, including filing,
keyboarding, and basic computer skills; or
(3) may be completed by a licensee without supervision by an
instructor, unless the course involves an examination process that
is:
(A) completed and passed by the licensee as determined by the
provider of the course; and
(B) approved by the commissioner.
(c) The commissioner shall approve a course under this section that
is submitted for approval by an insurance trade association or
professional insurance association if:
(1) the objective of the course is to educate a manager or an
owner of a business entity that is required to obtain an insurance
producer license under IC 27-1-15.6-6(d);
(2) the course teaches insurance producer management and is
designed to result in improved efficiency in insurance producer
operations, systems use, or key functions;
EH 1332—LS 6979/DI 55 41
(3) the course is designed to benefit consumers; and
(4) the course is not described in subsection (b).
(d) Approval of a continuing education course under this section
shall be for a period of not more than two (2) years.
(e) A prospective provider of a continuing education course shall
pay:
(1) a fee of forty dollars ($40) for each course submitted for
approval of the commissioner under this section; or
(2) an annual fee of five hundred dollars ($500) not later than
January 1 of a calendar year, which entitles the prospective
provider to submit an unlimited number of courses for approval
of the commissioner under this section during the calendar year.
The commissioner may waive all or a portion of the fee for a course
submitted under a reciprocity agreement with another state for the
approval or disapproval of continuing education courses. Fees collected
under this subsection shall be deposited in the department of insurance
fund established under IC 27-1-3-28.
(f) A prospective provider of a continuing education course may
electronically deliver to the commissioner any supporting materials for
the course.
(g) The commissioner shall adopt rules under IC 4-22-2 to establish
procedures for approving continuing education courses.
SECTION 2. IC 27-1-15.7-5, AS AMENDED BY P.L.81-2012,
SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2024]: Sec. 5. (a) To qualify as a certified prelicensing course
of study for purposes of IC 27-1-15.6-6, an insurance producer program
of study must meet all of the following criteria:
(1) Be conducted or developed by an:
(A) insurance trade association;
(B) accredited college or university;
(C) educational organization certified by the insurance
producer education and continuing education advisory council;
commission; or
(D) insurance company licensed to do business in Indiana.
(2) Provide for self-study or instruction provided by an approved
instructor in a structured setting, as follows:
(A) For life insurance producers, not less than twenty (20)
hours of instruction in a structured setting or comparable
self-study on:
(i) ethical practices in the marketing and selling of
insurance;
(ii) requirements of the insurance laws and administrative
EH 1332—LS 6979/DI 55 42
rules of Indiana; and
(iii) principles of life insurance.
(B) For health insurance producers, not less than twenty (20)
hours of instruction in a structured setting or comparable
self-study on:
(i) ethical practices in the marketing and selling of
insurance;
(ii) requirements of the insurance laws and administrative
rules of Indiana; and
(iii) principles of health insurance.
(C) For life and health insurance producers, not less than forty
(40) hours of instruction in a structured setting or comparable
self-study on:
(i) ethical practices in the marketing and selling of
insurance;
(ii) requirements of the insurance laws and administrative
rules of Indiana;
(iii) principles of life insurance; and
(iv) principles of health insurance.
(D) For property and casualty insurance producers, not less
than forty (40) hours of instruction in a structured setting or
comparable self-study on:
(i) ethical practices in the marketing and selling of
insurance;
(ii) requirements of the insurance laws and administrative
rules of Indiana;
(iii) principles of property insurance; and
(iv) principles of liability insurance.
(E) For personal lines producers, a minimum of twenty (20)
hours of instruction in a structured setting or comparable
self-study on:
(i) ethical practices in the marketing and selling of
insurance;
(ii) requirements of the insurance laws and administrative
rules of Indiana; and
(iii) principles of property and liability insurance applicable
to coverages sold to individuals and families for primarily
noncommercial purposes.
(F) For title insurance producers, not less than ten (10) hours
of instruction in a structured setting or comparable self-study
on:
(i) ethical practices in the marketing and selling of title
EH 1332—LS 6979/DI 55 43
insurance;
(ii) requirements of the insurance laws and administrative
rules of Indiana;
(iii) principles of title insurance, including underwriting and
escrow issues; and
(iv) principles of the federal Real Estate Settlement
Procedures Act (12 U.S.C. 2608).
(G) For annuity product producers, not less than four (4) hours
of instruction in a structured setting or comparable self-study
on:
(i) types and classifications of annuities;
(ii) identification of the parties to an annuity;
(iii) the manner in which fixed, variable, and indexed
annuity contract provisions affect consumers;
(iv) income taxation of qualified and non-qualified
annuities;
(v) primary uses of annuities; and
(vi) appropriate sales practices, replacement, and disclosure
requirements.
(3) Instruction provided in a structured setting must be provided
only by individuals who meet the qualifications established by the
commissioner under subsection (b).
(b) The commissioner, after consulting with the insurance producer
education and continuing education advisory council, commission,
shall adopt rules under IC 4-22-2 prescribing the criteria that a person
must meet to render instruction in a certified prelicensing course of
study.
(c) The commissioner shall adopt rules under IC 4-22-2 prescribing
the subject matter that an insurance producer program of study must
cover to qualify for certification as a certified prelicensing course of
study under this section.
(d) The commissioner may make recommendations that the
commissioner considers necessary for improvements in course
materials.
(e) The commissioner shall designate a program of study that meets
the requirements of this section as a certified prelicensing course of
study for purposes of IC 27-1-15.6-6.
(f) For each person that provides one (1) or more certified
prelicensing courses of study, the commissioner shall annually
determine, of all individuals who received classroom instruction in the
certified prelicensing courses of study provided by the person, the
percentage who passed the examination required by IC 27-1-15.6-5.
EH 1332—LS 6979/DI 55 44
The commissioner shall determine only one (1) passing percentage
under this subsection for all lines of insurance described in
IC 27-1-15.6-7(a) for which the person provides classroom instruction
in certified prelicensing courses of study.
(g) The commissioner may, after notice and opportunity for a
hearing, do the following:
(1) Withdraw the certification of a course of study that does not
maintain reasonable standards, as determined by the
commissioner for the protection of the public.
(2) Disqualify a person that is currently qualified under
subsection (b) to render instruction in a certified prelicensing
course of study from rendering the instruction if the passing
percentage calculated under subsection (f) is less than forty-five
percent (45%).
(h) Current course materials for a prelicensing course of study that
is certified under this section must be submitted to the commissioner
upon request, but not less frequently than once every three (3) years.
SECTION 3. IC 27-1-15.7-6 IS REPEALED [EFFECTIVE JULY
1, 2024]. Sec. 6. (a) As used in this section, "council" refers to the
insurance producer education and continuing education advisory
council created under subsection (b).
(b) The insurance producer education and continuing education
advisory council is created within the department. The council consists
of the commissioner and fifteen (15) members appointed by the
governor as follows:
(1) Two (2) members recommended by the Professional Insurance
Agents of Indiana.
(2) Two (2) members recommended by the Independent Insurance
Agents of Indiana.
(3) Two (2) members recommended by the Indiana Association
of Insurance and Financial Advisors.
(4) Two (2) members recommended by the Indiana State
Association of Health Underwriters.
(5) Two (2) representatives of direct writing or exclusive
producer's insurance companies.
(6) One (1) representative of the Association of Life Insurance
Companies.
(7) One (1) member recommended by the Insurance Institute of
Indiana.
(8) One (1) member recommended by the Indiana Land Title
Association.
(9) Two (2) other individuals.
EH 1332—LS 6979/DI 55 45
(c) Members of the council serve for a term of three (3) years.
Members may not serve more than two (2) consecutive terms.
(d) Before making appointments to the council, the governor must:
(1) solicit; and
(2) select appointees to the council from;
nominations made by organizations and associations that represent
individuals and corporations selling insurance in Indiana.
(e) The council shall meet at least semiannually.
(f) A member of the council is entitled to the minimum salary per
diem provided under IC 4-10-11-2.1(b). A member is also entitled to
reimbursement for traveling expenses and other expenses actually
incurred in connection with the member's duties, as provided in the
state travel policies and procedures established by the state department
of administration and approved by the state budget agency.
(g) The council shall review and make recommendations to the
commissioner with respect to course materials, curriculum, and
credentials of instructors of each prelicensing course of study for which
certification by the commissioner is sought under section 5 of this
chapter and shall make recommendations to the commissioner with
respect to educational requirements for insurance producers.
(h) A member of the council or designee of the commissioner shall
be permitted access to any classroom while instruction is in progress
to monitor the classroom instruction.
(i) The council shall make recommendations to the commissioner
concerning the following:
(1) Continuing education courses for which the approval of the
commissioner is sought under section 4 of this chapter.
(2) Rules proposed for adoption by the commissioner that would
affect continuing education.
SECTION 4. IC 27-1-15.7-6.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2024]: Sec. 6.5. (a) As used in this section,
"commission" refers to the insurance producer education and
continuing education commission established by subsection (b).
(b) The insurance producer education and continuing education
commission is established within the department. The
commissioner shall appoint the following seven (7) individuals:
(1) One (1) individual nominated by the Professional
Insurance Agents of Indiana or its successor organization.
(2) One (1) individual nominated by the Independent
Insurance Agents of Indiana or its successor organization.
(3) One (1) individual nominated by the Indiana Association
EH 1332—LS 6979/DI 55 46
of Insurance and Financial Advisors or its successor
organization.
(4) One (1) individual nominated by the Indiana State
Association of Health Underwriters or its successor
organization.
(5) One (1) individual nominated by the Association of Life
Insurance Companies or its successor organization.
(6) One (1) individual nominated by the Insurance Institute of
Indiana or its successor organization.
(7) One (1) individual nominated by the Indiana Land Title
Association or its successor organization.
The commissioner shall solicit nominations from the entities set
forth in this subsection. The commissioner may deny to make the
appointment of an individual nominated under this subsection only
if the commissioner determines that the individual is not in good
standing with the department or is not qualified. If the
commissioner denies the appointment of an individual nominated
under this subsection, the commissioner shall provide the
nominating entity with the reason for the denial and allow the
nominating entity to submit an alternative nomination.
(c) A member of the commission serves for a term of three (3)
years that expires June 30, 2027, and every third year thereafter.
A member may not serve more than two (2) consecutive terms.
(d) The commissioner shall appoint a member of the commission
to serve as chairperson, who serves at the will of the commissioner.
The commission shall meet:
(1) at the call of the chairperson; and
(2) at least semiannually.
The department shall staff the commission. Four (4) members
constitute a quorum of the commission.
(e) The commissioner shall fill a vacancy on the commission
with a nomination from the entity that nominated the predecessor
or the entity's succession. The individual appointed to fill the
vacancy shall serve for the remainder of the predecessor's term.
(f) A member of the commission is entitled to the minimum
salary per diem provided under IC 4-10-11-2.1(b). A member is
also entitled to reimbursement for traveling expenses and other
expenses actually incurred in connection with the member's duties,
in accordance with state travel policies and procedures established
by the Indiana department of administration and approved by the
budget agency. Money paid under this subsection shall be paid
from amounts appropriated to the department.
EH 1332—LS 6979/DI 55 47
(g) The commission shall review and make recommendations to
the commissioner concerning the following:
(1) Course materials and curriculum and instructor
credentials for prelicensing courses of study for which
certification by the commissioner is sought under section 5 of
this chapter.
(2) Continuing education requirements for insurance
producers.
(3) Continuing education courses for which the approval of
the commissioner is sought under section 4 of this chapter.
(4) Rules proposed for adoption by the commissioner
concerning continuing education under this chapter.
(h) A member of the commission or a designee of the
commissioner is permitted access to any classroom while
instruction is in progress to monitor the classroom instruction.".
Page 4, line 17, after "(j)" insert "This subsection is effective
beginning January 1, 2026.".
Page 5, line 18, after "(p)" insert "This subsection is effective
beginning January 1, 2026.".
Page 5, line 28, after "(q)" insert "This subsection is effective
beginning January 1, 2026.".
Page 8, line 37, delete "The" and insert "Beginning January 1,
2026, the".
Page 10, line 4, delete "Group Capital Calculation." and insert "This
subsection is effective beginning January 1, 2026.".
Page 11, line 33, delete "Liquidity Stress Test." and insert "This
subsection is effective beginning January 1, 2026.".
Page 18, delete lines 7 through 11.
Page 18, line 15, after "provide" insert "only".
Page 18, delete lines 27 through 32.
Page 34, after line 17, begin a new paragraph and insert:
"SECTION 19. [EFFECTIVE JULY 1, 2024] (a) The definitions in
IC 27-2-29 apply to this SECTION.
(b) A Marketplace plan may request a temporary waiver in
writing from the department of insurance concerning compliance
with IC 27-1-49 and IC 27-1-50. The Marketplace plan must state
in the request the following:
(1) The reason why the Marketplace plan is unable to comply
with either or both of the following:
(A) IC 27-1-49.
(B) IC 27-1-50.
(2) Verification that the Marketplace plan will comply with
EH 1332—LS 6979/DI 55 48
the statute or statutes for which the waiver is requested
beginning January 1, 2025.
(c) The department of insurance may approve a waiver
requested by a Marketplace plan under subsection (b) for a time
not to exceed December 31, 2024.
(d) This SECTION expires January 1, 2025.".
Renumber all SECTIONS consecutively.
and when so amended that said bill do pass.
(Reference is to HB 1332 as printed January 25, 2024.)
CHARBONNEAU, Chairperson
Committee Vote: Yeas 11, Nays 0.
_____
SENATE MOTION
Madam President: I move that Engrossed House Bill 1332 be
amended to read as follows:
Page 1, delete lines 1 through 17.
Delete pages 2 through 7.
Page 8, delete lines 1 through 26.
Renumber all SECTIONS consecutively.
(Reference is to EHB 1332 as printed March 1, 2024.)
BALDWIN
_____
SENATE MOTION
Madam President: I move that Engrossed House Bill 1332 be
amended to read as follows:
Page 24, between lines 4 and 5, begin a new paragraph and insert:
"SECTION 11. IC 27-1-31-3, AS AMENDED BY P.L.196-2021,
SECTION 28, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2024]: Sec. 3. (a) Except as provided in subsection (b), if an
insurer refuses to renew a policy of insurance written by the insurer, the
insurer shall mail written notice of nonrenewal to the insured:
(1) at least forty-five (45) days before the expiration date of the
EH 1332—LS 6979/DI 55 49
policy, if the coverage provided is for one (1) year, or less; or
(2) at least forty-five (45) days before the anniversary date of the
policy, if the coverage provided is for more than one (1) year.
(b) This subsection does not apply to worker's compensation
insurance. If an insurer refuses to renew a policy of insurance
written by the insurer, the insurer shall mail written notice of
nonrenewal to the insured at least sixty (60) days before the
anniversary date of the policy if the coverage is provided to a
municipality (as defined in IC 36-1-2-11) or county entity.
(b) (c) A notice of nonrenewal is not required if:
(1) the insured is transferred from an insurer to an affiliate of the
insurer for future coverage; and
(2) the transfer results in the same or broader coverage.".
Renumber all SECTIONS consecutively.
(Reference is to EHB 1332 as printed March 1, 2024.)
BALDWIN
_____
SENATE MOTION
Madam President: I move that Engrossed House Bill 1332 be
amended to read as follows:
Page 40, delete lines 14 through 30.
(Reference is to EHB 1332 as printed March 1, 2024.)
CHARBONNEAU
EH 1332—LS 6979/DI 55