Tennessee Senate Bill SB0409

Tennessee 2023-2024 Regular Session

• Introduced: 1/24/23

Caption

AN ACT to amend Tennessee Code Annotated, Title 4; Title 8; Title 56; Title 63; Title 68 and Title 71, relative to insurance.

Impact

The enactment of SB 0409 would impact how insurance companies manage their policies and compliance with state laws. By extending the notice period from fifteen to twenty days, the bill aims to provide insurance companies with more time to communicate effectively with policyholders regarding important updates or changes. This could potentially lead to improved customer relations as companies adapt to the new regulations, reinforcing the need for flexible operational practices within the industry.

Summary

Senate Bill 0409, introduced in the Tennessee General Assembly, seeks to amend several sections of the Tennessee Code Annotated, specifically within Titles 4, 8, 56, 63, 68, and 71, which pertain to insurance regulation. The primary objective of this bill is to modify the existing timeframe in Section 56-6-115(c) from fifteen days to twenty days, likely to allow for longer compliance periods for insurance companies and their policyholders. This amendment is indicative of a shift designed to improve the operational workflow for companies within the insurance sector.

Sentiment

Overall, the sentiment surrounding SB 0409 appears to be positive among those in the insurance sector who see the amendment as a beneficial change that eases the operational burdens on companies. Stakeholders in the industry have echoed that the extra days for compliance will enhance communication and processing times, increasing overall efficiency. However, there may be concerns from regulatory bodies about ensuring that consumers still receive timely information about their insurance products.

Contention

One notable point of contention regarding SB 0409 could arise from stakeholders who are cautious about the extended periods for compliance. Some individuals may worry that lengthening the notice period could delay necessary updates that consumers require, thereby affecting their understanding of coverage options. The balance between ensuring proper industry operation and maintaining consumer awareness poses a critical discussion point among legislators and industry representatives, revealing the complexity in regulating insurance practices.