Life and Health News
November 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!
ACTUARIAL
New York issued a letter to life insurance companies doing business in the state focused on solvency and actuarial opinions and memorandums. Special Considerations Letter dated October 6, 2023
AGENT / PRODUCER CONTINUING EDUCATION
Georgia adopted amendments concerning prelicensing course and provider approval. 120-2-3-.08
Montana amended its rules for continuing education of producers, including removing the definition of proctor, requiring the submission of each course for approval prior to offering, and providing a process for reconsideration of disapproved courses. 6.6.4202
AGENT / PRODUCER LICENSING AND APPOINTMENT
Oklahoma's renewal notice outlines the deadlines and important dates regarding renewal processing. 2023 Appointment Renewal Notification
Oregon's bulletin informs all insurance producers and producer license applicants of the expectations of the Department regarding filing and issuing of licenses. Bulletin 2023-3
Washington promulgated a rule dealing with licensing requirements and procedures. Pre-licensing education is removed as a requirement for a resident producer license. Rule 284-17-001
CLAIMS / CLAIMS ISSUES
Nebraska announced a change to the judgment interest rate which is also used as the interest rate to be added to payment of late death claims. This is effective January 1, 2024. Judgment Interest Rate Notice dated October 6, 2023
CONFIDENTIALITY / PRIVACY
California enacted certain privacy protections for individuals receiving medical treatment related to gender affirming care, abortion, contraception, and related medical treatment. AB 352
California updated the California Consumer Privacy Act to include, in the definition of "sensitive personal information" personal information that reveals a consumer's citizenship or immigration status. AB 947
CREDIT INSURANCE
South Carolina’s Insurance Department published credit accident and health insurance 3 day retro rates sold in conjunction with loans subject to the South Carolina Consumer Protection Code. Order 2023-02
Wisconsin's Department of Insurance published new prima facie credit life and accident and sickness rates for a three-year period beginning January 1, 2024. The credit life rates have a basic loss ratio of 45%. Notice dated September 28, 2023
CYBERSECURITY
Maryland published a bulletin reminding insurers of the obligation to maintain a comprehensive, written information security program and a written incident response plan to respond to a cybersecurity event. Bulletin 23-18
DISCRIMINATION
Michigan expanded its definition of unfair trade practices to include a refusal to insure, to continue to insure or limit the amount of coverage based on race, creed, marital status, sex, national origin, gender identity or expression or sexual orientation. HB 4619
DRUG / PRESCRIPTION COVERAGE
Alaska published a bulletin advising insurers of expectations given the intermittent retail pharmacy closures. The department expects insurers to suspend network requirements until 11-27-2023. The department also expects insurers to allow refills for longer supplies - insurers are to cover a 90-day supply for individuals who are impacted by a pharmacy closure. Bulletin B23-06
HEALTH INSURANCE - COMPREHENSIVE
Colorado issued a bulletin reminding carriers of their obligation to provide coverage for COVID 19 vaccines. Bulletin B-4.135
Illinois published a bulletin reminding insurers of their obligation to cover certain preventive services and specifically mentions the vaccine for RSV. Bulletin 2023-14
Massachusetts published a bulletin communicating updates to its policy on reimbursement to providers delivering telehealth services at parity with in-person services. Bulletin 379
Nevada issued guidance to health insurers regarding their obligation to provide coverage for COVID-19 vaccines, including the recently updated mRNA COVID-19 vaccine without cost sharing. Bulletin 23-002
Wyoming's Insurance Commissioner reminded health insurance carriers of their obligation to provide COVID-19 vaccines including the recently updated mRNA COVID-19 vaccine without cost-sharing. Memorandum dated October 3, 2023
HOLDING COMPANIES
North Carolina amended the standards and management sections of its Insurance Holding Company law. SB 452
IIPRC / INTERSTATE COMPACT
Wyoming passed a regulation opting out of the provisions of the Interstate Insurance Product Regulation Compact (IIPRC) with regard to group and individual disability income insurance as well as disability income buy-sell policies. The Commissioner finds that the protections to Wyoming citizens are not adequate. Chapter 68
MISCELLANEOUS
California amended the existing law requiring the license number of an organization to appear adjacent to or on the line below the organization's name. The amendment clarifies that the license number of an organizational licensee shall appear adjacent to or on the line below the organization's name if the email is sent from the organization and not an individual licensee and the communication involves an activity for which a license is required. AB 1578
The Federal Center for Medicare and Medicaid Services (CMS) issued Frequently Asked Questions (FAQs) regarding the No Surprises Independent Dispute Resolution (IDR) partial re-opening of dispute initiation. As a result of a federal lawsuit some federal IDR functions were suspended but are now being resumed. CMS Notice dated October 6, 2023
Louisiana rescinded bulletin 2018-02, regarding reporting mandatory contacts. The bulletin was formalized by Regulation 117. Bulletin 2018-02 -R (Rescinds Bulletin 2018-02)
Montana adopted the updated rules needed to implement HB 836, providing for a "regulatory sandbox" waiver. The rules address the process to apply for a waiver, requirements for reporting and the process for revocation of the waiver. 6.6.9001
PHARMACY BENEFIT MANAGERS
Arkansas published a bulletin reminding pharmacy benefit managers of the need to submit a certification by January 1 of each year, certifying compliance with the Arkansas Pharmacy Benefit Manager Share the Savings Act. The act requires PBMs to pass along the benefit of rebates. Bulletin 16-2023
South Carolina issued a data call to all Pharmacy Benefit Managers licensed in the state. Notice of PBM Data Call
PRE-EXISTING CONDITIONS
Michigan amended its law to prohibit a health insurer from limiting or excluding coverage by imposing a preexisting condition exclusion. The bill spells out certain exceptions. HB 4620
REINSURANCE
New Mexico adopted regulations to conform with established national standards governing reserve financing arrangements for term and universal life insurance policies. The regulation outlines the valuation used for purposes of calculation and outlines the actuarial method to establish the required level of primary security for each reinsurance treaty subject to the regulation. Regulation 13.9.21.1+ NMAC
West Virginia published a list of active accredited and trusted reinsurers in the state. Notice dated September 30, 2023