SENATE COMMERCE COMMITTEE
STATEMENT TO
SENATE, No. 3371
with committee amendments
STATE OF NEW JERSEY
DATED: JUNE 10, 2024
The Senate Commerce Committee reports favorably and with
committee amendments Senate Bill No. 3371.
As amended, this bill revises the limits for net cash surrender
and net cash withdrawal values for certain annuity policies and
contracts from $100,000 to $250,000 and makes the change
effective immediately.
Under the bill, the New Jersey Life and Health Guaranty
Association will pay a policyholder of an annuity policy or contract
up to $250,000 for any net cash surrender or net cash withdrawal
that a policyholder makes on an annuity issued by a member
insurance company that becomes insolvent. Current law only
allows the association to pay a policyholder up to $100,000 for a
net cash surrender or net cash withdrawal made on an annuity
issued by a now-insolvent member insurance company.
COMMITTEE AMENDMENTS
The committee amended the bill to make its provisions effective
immediately upon enactment.