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| 2 | 2 | | SENATE DOCKET, NO. 623 FILED ON: 1/14/2025 |
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| 3 | 3 | | SENATE . . . . . . . . . . . . . . No. 826 |
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| 4 | 4 | | The Commonwealth of Massachusetts |
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| 5 | 5 | | _________________ |
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| 6 | 6 | | PRESENTED BY: |
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| 7 | 7 | | Michael F. Rush |
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| 8 | 8 | | _________________ |
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| 9 | 9 | | To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General |
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| 10 | 10 | | Court assembled: |
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| 11 | 11 | | The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: |
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| 12 | 12 | | An Act relative to notifying broker prior to termination of coverage. |
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| 13 | 13 | | _______________ |
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| 14 | 14 | | PETITION OF: |
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| 15 | 15 | | NAME:DISTRICT/ADDRESS :Michael F. RushNorfolk and SuffolkPaul McMurtry11th Norfolk1/17/2025 1 of 2 |
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| 16 | 16 | | SENATE DOCKET, NO. 623 FILED ON: 1/14/2025 |
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| 17 | 17 | | SENATE . . . . . . . . . . . . . . No. 826 |
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| 18 | 18 | | By Mr. Rush, a petition (accompanied by bill, Senate, No. 826) of Michael F. Rush and Paul |
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| 19 | 19 | | McMurtry for legislation relative to notify broker prior to termination of coverage. Financial |
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| 20 | 20 | | Services. |
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| 21 | 21 | | [SIMILAR MATTER FILED IN PREVIOUS SESSION |
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| 22 | 22 | | SEE SENATE, NO. 650 OF 2023-2024.] |
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| 23 | 23 | | The Commonwealth of Massachusetts |
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| 24 | 24 | | _______________ |
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| 25 | 25 | | In the One Hundred and Ninety-Fourth General Court |
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| 26 | 26 | | (2025-2026) |
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| 27 | 27 | | _______________ |
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| 28 | 28 | | An Act relative to notifying broker prior to termination of coverage. |
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| 29 | 29 | | Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority |
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| 30 | 30 | | of the same, as follows: |
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| 31 | 31 | | 1 Chapter 175 of the General Laws is hereby amended by adding the following new |
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| 32 | 32 | | 2section:- |
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| 33 | 33 | | 3 (x) If the policy owner of a life, disability or long term care insurance policy has an agent |
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| 34 | 34 | | 4of record, the insurer must also notify the agent of the impending lapse in coverage or mail or |
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| 35 | 35 | | 5send electronically a copy of the notification of the impending lapse in coverage) to the agent at |
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| 36 | 36 | | 6least 21 days before the effective date of any such lapse. Receipt of such notice does not make |
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| 37 | 37 | | 7the agent responsible for any lapse in coverage. An insurer is not required to notify the agent |
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| 38 | 38 | | 8under this section if any of the following applies: 2 of 2 |
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| 39 | 39 | | 9 (a) The insurer maintains an online system that pushes out a notice of pending lapse to |
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| 40 | 40 | | 10the broker of record to independently determine if a policy is about to lapse. |
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| 41 | 41 | | 11 (b) The insurer maintains a procedure that pushes out a notice that allows an agent to |
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| 42 | 42 | | 12independently determine whether the notice of lapse has been sent to the insured. |
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| 43 | 43 | | 13 (c) The insurer has no record of the current agent of record. |
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| 44 | 44 | | 14 (d) The agent is employed by the insurer or an affiliate of the insurer. |
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