Life and Health News
November 2018
Welcome to our latest newsletter! As a thought leader in the Insurance Industry for over 49 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 LICENSING AND APPOINTMENT
Texas updated some of its agent and adjuster licensing rules to bring them more in line with Texas law and best industry practices. Texas Department of Insurance News Release 9/18/18
Wisconsin issued a press release about veterans being eligible for reimbursement of examination fees required to become licensed in certain types of insurance. Insurance exams eligible for the reimbursement program include life, accident and health, property, casualty, personal lines property and casualty, title, credit, and navigator. Veterans testing for life, accident and health, property, casualty, and personal lines property and casualty who previously held a license in those areas are also eligible for reimbursement. Press Release 9/10/18
CLAIMS / CLAIMS ISSUES
California has passed a law, effective 01/01/2020, stating insurers are required to cooperate with Department of Child Support Services to identify claimants who also owe past-due child support and to report those claimants to the department. Insurers must report a claimant if claim seeks an economic benefit. AB 2802
CONFIDENTIALITY / PRIVACY
California has made several amendments to the Consumer Privacy Act of 2018 which will be effective 01/01/20. The contents of this bill, however, will be effective immediately. The amendments pertain to collection of consumer information, consumer's right to delete information, and the responsibilities of the companies collecting the information. SB 1121
DISASTER / CATASTROPHIC EVENT
Florida issued an emergency order for 35 counties in anticipation of Hurricane Michael. Such orders require all health insurers to allow for early prescription refills effective from the beginning of the declared state of emergency to its expiration. Executive Orders 18-276 and 277
North Carolina issued an order that activated the state of disaster automatic stay of proof of loss requirements, and premium and debt deferral. On 09/28/18 the Department amended the bulletin to include more counties, 27 in total. Bulletin 18-B-12
The South Carolina DOI has established a moratorium on policy cancellation due to nonpayment of premiums and non-renewals due to Hurricane Florence. This rule also extends insurance-related provisions affecting insureds affected by the hurricane. R. 69-79; Emergency Order 2018-EO-001
DISCLOSURE REQUIREMENTS
Rhode Island has released a bulletin to notify insurers that two laws enacted in July 2018, Public Law chs. 126 & 196, will become effective on 01/01/19. The laws amend provisions requiring the Department to develop and post a written notice and requires life insurers to advise policyholders of important information. Insurance Bulletin Number 2018-12
DRUG / PRESCRIPTION COVERAGE
New York adopted a regulation regarding the formulary exception process for detoxification medication or maintenance treatment of substance use disorders that creates several new requirements for insurers. 11 NYCRR 52.73
FRAUD / ANTI-FRAUD
Michigan released an order which gives authority to the Department of Insurance and Financial Services to establish an Anti-Fraud Unit to investigate fraud and obtain the information required to enforce Michigan Law. Executive Order No. 2018-09
New Jersey enacted legislation broadening the scope of information sharing and civil immunity related to insurance fraud. SB 2970
HEALTH CARE EXCHANGE / MARKETPLACE
Oregon amended the Standard Bronze and Silver Plans for 2019, effective 10/20/18. Chapter 836
HEALTH INSURANCE / HEALTH RATES
Colorado issued a bulletin which provides carriers with the annual maximum benefit amount for early intervention services for grandfathered individual health benefit plans and all other individual and group policies. This annual amount is effective 01/01/19. Bulletin B-4.31
MISCELLANEOUS
California has passed a bill making it unlawful for any person to use a bot to communicate with another person online with the intent to deceive the person about the content of the communication to incentivize a purchase or sale of goods or services or to influence a vote in an election. The bill defines various terms for these purposes. The bill is already effective, but these provisions will be operative on July 1, 2019. SB 1001
MISCELLANEOUS HEALTH / ACCIDENT
Delaware has released a bulletin to notify all domestic and foreign insurers providing individual health insurance coverage that Delaware law contains new coverage requirements for fertility care services, and that these coverage requirements are now effective, as of the June 30, 2018 bill signing date. Domestic/Foreign Insurers Bulletin 103
Louisiana provided clarification on Act 290 stating that health insurance issuers shall update their network provider directories to list a healthcare provider no later than ten business days after the effective date of the provider's credentialing with the health insurance issuer. Furthermore, incorrect information must be corrected within two business days. Advisory Letter 2018-04
New Jersey enacted legislation modifying temporary disability leave and family leave. When a worker applies for disability resulting from pregnancy and childbirth, the plan must automatically process an application for family leave for that worker. This will be effective 10/5/19. AB 2762
New Mexico has released a rule to standardize the definitions utilized for rules applicable to health insurance carriers. NMAC 13.10.29.7