Life and Health News
January 2023
Welcome to our latest newsletter! As a thought leader in the Insurance Industry for over 50 years we are always excited to share the latest sampling of insurance compliance related bulletins, regulations, and legislative activity. Please feel free to share this newsletter with others that may be interested. Contact Us with any questions on the items in this newsletter or with any other compliance related matter we can assist you with. Enjoy!
AGENT / PRODUCER CONTINUING EDUCATION
Louisiana's Insurance Department repealed the requirement for pre-licensing producer education. Rule 9, 37 XI.501
AGENT / PRODUCER LICENSING AND APPOINTMENT
Nebraska's Insurance Department published Requirements for an Apprentice Insurance Producer License. The Department recognized a need for apprenticeship opportunities for those interested in becoming a resident insurance producer. Guidance Document IGD-F8
Wyoming's Insurance Department informed carriers of the timelines and procedures to follow for the 2023 annual appointment renewal process for agents. Bulletin 12-2022
ANNUITIES / ANNUITY CONTRACTS
Massachusetts' Insurance Department amended its rule dealing with annuity transactions to incorporate the latest changes in the NAIC Suitability in Annuity Transactions Model Regulation. 211 CMR 96.01
CREDIT INSURANCE
Massachusetts Insurance Department announced new deviated case rates for credit life and credit accident and health insurance sold by motor vehicle dealers. These rates will be effective from January 1, 2023, through December 31, 2025. Bulletin 2022-10
DENTAL & VISION INSURANCE
New Mexico's Insurance Department amended its rule dealing with minimum standards for dental and vision plans. NMAC 13.10.35.1
DISASTER PREPAREDNESS
Louisiana issued a bulletin noting that the Dep0artment requires all insurers and third-party administrators to maintain and file their catastrophe response plans with the Insurance Department by June 1, 2023. Bulletin 07-01
DISCRIMINATION
New York passed a law prohibiting insurance discrimination against insureds due to hate crimes. An insurer cannot cancel, refuse to issue or renew, or increase premium solely on the basis that one or more claims have been made against a policy in the preceding 60 months for a loss that is the result of a hate crime. AB 8869
DRUG / PRESCRIPTION COVERAGE
Colorado's Division of Insurance amended its regulation dealing with non-discriminatory cost-sharing and tiering requirements for prescription drugs. This applies to the Affordable Care Act compliant individual and small employer health benefit plans issued or renewed on or after January 1, 2023. 3 CCR 702-4
FILINGS: HEALTH
Oregon's Insurance Department announced that it has updated the product standard filing checklist for Group Similar Supplemental Coverage and Champus/Tricare Supplemental Coverage that supplements and fills gaps in the primary health benefit plan. Product Standard 440-5352
HEALTH INSURANCE - COMPREHENSIVE
Delaware's Insurance Department notified insurers providing health insurance coverage of a new law limiting the amount that may be charged for diabetes equipment and supplies, other than insulin, to no more than $35 per month. The law is effective January 1, 2024. Domestic/Foreign Insurers Bulletin 135
HOLDING COMPANIES
Louisiana Department of Insurance revised the Holding Company regulation. One of the changes implements revisions to the NAIC model regulation #450. This relates to transactions subject to notice regarding agreements for cost sharing and management services, and group capital calculations. Regulation 31
Michigan amended its insurance Holding Company law regarding procedures for the annual capital calculation among other changes. HB 6300
MISCELLANEOUS
District of Columbia adopted the Uniform Power of Attorney Amendment Act of 2022 and repealed the Uniform Durable Power of Attorney Act and Uniform Statutory Form Power of Attorney Act. B 121
New Hampshire added a new rule dealing with minimum standards for family and medical leave wage replacement coverage. This rule applies to all individual and group policies that provide coverage for family and medical leave wage replacement benefits (FLMI). Ins 8001.01+
Ohio passed a law allowing the Superintendent of Financial Institutions to establish a regulatory sandbox program. This program will allow interested individuals to test novel insurance services and products on a temporary basis without obtaining a license or authorization otherwise required. SB 249
REINSURANCE
Connecticut's Insurance Department informed all accredited reinsurers of the 2022 and 2023 financial filing requirements. Bulletin FS-4AR-22
New Jersey amended its regulation pertaining to life and health reinsurance agreements. The regulation sets forth requirements for insurers that cede insurance, so their financial statements properly reflect their financial condition. Ins 308.01
REPLACEMENT - LIFE & ANNUITY
Utah amended its life and annuity replacement rule. The rule expands the options a producer can utilize to the forms in both Appendix A or Appendix C rather than just Appendix A. R590-93-4
REPORTS - DATA CALLS & OTHER REPORTS
Arkansas' Insurance Commissioner issued a bulletin that requires health insurers and health maintenance organizations to file a written report by March 1, 2023, discussing how or the extent to which enrollees realized cost savings under their fully insured plans. This is in accordance with the Arkansas Fairness in Cost Sharing Act. Bulletin 9A-2022
Louisiana issued a bulletin reminding health issuers and health maintenance organizations of the requirement to submit an access plan pursuant to the Network Adequacy Act beginning January 1, 2023. Due to a change in the law, more issuers are now required to file a plan. Bulletin 2022-08
New Mexico's Insurance Superintendent issued a bulletin informing fully insured major medical health carriers of a provider credentialing report due on May 1, 2023, for coverage sold in 2021 and 2022. The report is due biennially each May 1 going forward. Dental is excluded from this reporting cycle. Bulletin 2022-024
New Mexico's Insurance Superintendent issued a bulletin ordering all carriers selling fully insured student health insurance plans to students attending school in New Mexico to file a report containing certain data by February 3, 2023. Bulletin 2022-021
RESERVE VALUATION
Connecticut's Insurance Department informs companies writing life, accident and health, and deposit-type contracts that changes to the Principle-Based Reserving Valuation Manual are effective January 1, 2023. Bulletin FS-45
TRADE PRACTICES
Arkansas' Insurance Department informs health insurers and health maintenance organizations that duplicative or excessive medical record requests could result in trade practice penalties. Hospitals and provider organizations have complained of receiving duplicative requests for medical records to adjudicate claims or to process prior authorizations. Bulletin 14-2022
UNCLAIMED PROPERTY
California revised the amount of cash unclaimed property that must be transferred electronically to the State Controller's office from $20,000 to $2,000. A penalty of 2% of the amount of payment is assessed for payments in other than electronic payment format. 2 CCR 1155.150