HB 1143-1_ Filed 01/13/2000, 13:58
Adopted 1/13/2000


Text Box

Adopted Rejected


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COMMITTEE REPORT


                                                        YES:

12

                                                        NO:
0

MR. SPEAKER:

    Your Committee on       Insurance, Corporations and Small Business     , to which was referred       House Bill 1143     , has had the same under consideration and begs leave to report the same back to the House with the recommendation that said bill be amended as follows:

SOURCE: Page 8, line 2; (00)CR114301.8. -->     Page 8, line 2, after "shall" delete "," and insert ":
             (A)".
    Page 8, line 2, after "fraud" delete "," and insert " in connection with a viaticated policy as provided in clause (B),".
    Page 8, line 5, after "date" delete "," and insert "; and
            (B) in the event of fraud in connection with a viaticated policy (as defined in IC 27-8-19.8-6), be incontestable after the policy has been in force during the lifetime of the insured for five (5) years after the date of issue, or, at the option of the company after the policy has been in force for five (5) years after the date of issue;
".
    Page 10, delete lines 34 through 42, begin a new line block indented and insert:
        "(2) A provision that the validity of the policy may not be contested except for nonpayment of premiums, after the policy has been in force for two (2) years after its date of issue and that

no statement made by a person insured under the policy relating to the person's insurability may be used in contesting the validity of the insurance with respect to which the statement was made, unless: except as provided in clause (A), (B), (C), or (D):
            (A) the insurance has not been in force for a period of two (2) years or longer during the person's lifetime; or The validity of a policy may be contested at any time for nonpayment of premiums.
            (B) the statement is contained in a written instrument signed by the insured person. The validity of a policy may be contested based on a statement made by a person insured under the policy that relates to the person's insurability if:
                (i) the statement is set forth in a written instrument signed by the insured; and
                (ii) the policy has not been in force for two (2) years after the date of issue.
            (C) The validity of a policy may be contested based on a statement made by a person insured under the policy that relates to the person's insurability if:
                (i) the policy has not been in force for at least two (2) years during the person's lifetime; and
                (ii) the policy has not been in force for two (2) years after its date of issue.
            (D) The validity of a viaticated policy (as defined in IC 27-8-19.8-6) may be contested on the grounds of fraud until the policy has been in force for five (5) years after the date of issue.
".
    Page 11, delete lines 1 through 2.
    (Reference is to HB 1143 as introduced.)

and when so amended that said bill do pass.

__________________________________

Representative Fry


CR114301/DI 97    2000