2016 -- H 7784 | |
======== | |
LC005244 | |
======== | |
STATE OF RHODE ISLAND | |
IN GENERAL ASSEMBLY | |
JANUARY SESSION, A.D. 2016 | |
____________ | |
A N A C T | |
RELATING TO INSURANCE - ACCIDENT AND SICKNESS INSURANCE POLICIES | |
| |
Introduced By: Representatives Messier, Morin, McLaughlin, and Kazarian | |
Date Introduced: March 02, 2016 | |
Referred To: House Corporations | |
It is enacted by the General Assembly as follows: | |
1 | SECTION 1. Chapter 27-18 of the General Laws entitled "Accident and Sickness |
2 | Insurance Policies" is hereby amended by adding thereto the following section: |
3 | 27-18-8.5. Commission plans for solicitors or insurance producers. – No person shall |
4 | be engaged to solicit subscribers to any accident and sickness insurance plan upon a commission |
5 | basis or upon any other basis by which the payment of the compensation or expenses of that |
6 | person shall be conditioned upon the enrollment of subscribers, unless the method of solicitation |
7 | and rate of compensation shall have had the prior written approval of the insurance |
8 | commissioner. |
9 | SECTION 2. Chapter 27-41 of the General Laws entitled "Health Maintenance |
10 | Organizations" is hereby amended by adding thereto the following section: |
11 | 27-41-8.1. Commission plans for solicitors or insurance producers. – No person shall |
12 | be engaged to solicit subscribers to any health maintenance organization plan upon a commission |
13 | basis or upon any other basis by which the payment of the compensation or expenses of that |
14 | person shall be conditioned upon the enrollment of subscribers, unless the method of solicitation |
15 | and rate of compensation shall have had the prior written approval of the insurance |
16 | commissioner. |
| |
1 | SECTION 3. This act shall take effect on January 1, 2017. |
======== | |
LC005244 | |
======== | |
| LC005244 - Page 2 of 3 |
EXPLANATION | |
BY THE LEGISLATIVE COUNCIL | |
OF | |
A N A C T | |
RELATING TO INSURANCE - ACCIDENT AND SICKNESS INSURANCE POLICIES | |
*** | |
1 | This act would extend the prohibition of commission based broker compensation and |
2 | state oversight of broker compensation plans to all entities issuing policies of accident and |
3 | sickness insurance or licensed as health maintenance organizations. |
4 | This act would take effect on January 1, 2017. |
======== | |
LC005244 | |
======== | |
| LC005244 - Page 3 of 3 |