The Senate Committee on Insurance and Financial Institutions, to which was referred House Bill No. 1555, has had the same under consideration and begs leave to report the same back to the Senate with the recommendation that said bill be AMENDED as follows:
SOURCE: Page 2, line 15; (01)CR155502.2. -->
Page 2, line 15, delete ".".
Page 2, line 15, reset in roman "obtained for the employee".
Page 2, line 16, reset in roman "by the employer.".
Page 4, between lines 29 and 30, begin a new paragraph and insert:
SOURCE: IC 27-1-3-15; (01)CR155502.4. --> "SECTION 4. IC 27-1-3-15 , AS AMENDED BY P.L.268-1999, SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2001]: Sec. 15. (a) Except as provided in subsection (g), the commissioner shall collect the following filing fees:
Articles of incorporation $ 350
Amendment of articles of
incorporation $ 10
Filing of annual statement
and consolidated statement $ 100
Annual renewal of company license
fee $ 50
Withdrawal of certificate
of authority $ 25
Certified statement of condition $ 5
Any other document required to be
Sec. 2. A person may not disclose any nonpublic personal information to a non-affiliated third party in violation of Title V of the Gramm-Leach-Blilely Act of 1999, 15 U.S.C. 6801 et seq.
Sec. 3. The commissioner may adopt rules under IC 4-22-2 to implement this chapter. These rules:
(1) must be consistent with; and
(2) may not be more restrictive than;
the standards contained in 15 U.S.C. 6801 et seq.
Sec. 4. This chapter does not create a private right of action against any person.
SOURCE: IC 27-4-1-4.5; (01)CR155502.7. --> SECTION 7. IC 27-4-1-4.5 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2001]: Sec. 4.5. The following are unfair claim settlement practices if the practice is committed flagrantly and in conscious disregard of this section or if the practice is committed with a frequency that indicates a general business practice:
(1) Misrepresenting pertinent facts or insurance policy provisions relating to coverages at issue.
(2) Failing to acknowledge and act reasonably promptly upon communications with respect to claims arising under insurance policies.
(3) Failing to adopt and implement reasonable standards for the prompt investigation of claims arising under insurance policies.
(4) Refusing to pay claims without conducting a reasonable investigation based upon all available information.
(5) Failing to affirm or deny coverage of claims within a reasonable time after proof of loss statements have been completed.
(6) Not attempting in good faith to effectuate prompt, fair, and equitable settlements of claims in which liability has become reasonably clear.
(7) Compelling insureds to institute litigation to recover amounts due under an insurance policy by offering substantially less than the amounts ultimately recovered in actions brought by such insureds.
(8) Attempting to settle a claim for less than the amount to which a reasonable
man individual would have believed he the
individual was entitled by reference to written or printed
advertising material accompanying or made part of an
(9) Attempting to settle claims on the basis of an application
which that was altered without notice to or knowledge or consent
of the insured.
(10) Making claims payments to insureds or beneficiaries not accompanied by a statement setting forth the coverage under which the payments are being made.
(11) Making known to insureds or claimants a policy of appealing from arbitration awards in favor of insureds or claimants for the purpose of compelling them to accept settlements or compromises less than the amount awarded in arbitration.
(12) Delaying the investigation or payment of claims by requiring an insured, a claimant, or the physician of either to submit a preliminary claim report and then requiring the subsequent submission of formal proof of loss forms, both of which submissions contain substantially the same information.
(13) Failing to promptly settle claims, where liability has become reasonably clear, under one (1) portion of the insurance policy coverage in order to influence settlements under other portions of the insurance policy coverage.
(14) Failing to promptly provide a reasonable explanation of the basis in the insurance policy in relation to the facts or applicable law for denial of a claim or for the offer of a compromise settlement.
(15) In negotiations concerning liability insurance claims, ascribing a percentage of fault to a person seeking to recover from an insured party, in spite of an obvious absence of fault on the part of that person.
(16) The unfair claims settlement practices defined in IC 27-4-1.5.".
SOURCE: Page 6, line 39; (01)CR155502.6. --> Page 6, line 39, after "but" delete ".".
Page 7, line 2, after "violation" insert ".".
Page 7, between lines 12 and 13, begin a new paragraph and insert:
SOURCE: IC 27-4-1-19; (01)CR155502.9. --> "SECTION 9. IC 27-4-1-19 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2001]: Sec. 19. (a) The
commissioner shall, on an annual basis and in a manner determined by
the commissioner, publish figures
indicating and produce a report
containing the following information:
(1) The ratio of valid consumer complaints lodged against each company weighted by the direct premiums earned in Indiana by each company.
(2) A separate listing of any company determined by the commissioner to have committed a practice that is designated an unfair claim settlement practice under section 4.5 of this chapter if the practice is committed flagrantly and in conscious disregard of section 4.5 of this chapter or if the practice is committed with a frequency that indicates a general business practice.
(3) Any enforcement action taken by the commissioner as a result of a practice described in subdivision (2).
(b) The commissioner shall provide a copy of the report required under subsection (a) to the house of representatives and senate committees of the general assembly that are assigned responsibility for insurance issues.".
SOURCE: Page 7, line 34; (01)CR155502.7. --> Page 7, line 34, delete "or "cancelled"".
Page 16, line 11, delete "the grievance is" and insert " the insurer receives all information reasonably necessary to complete the review.".
Page 16, line 12, delete "filed.".
Page 20, between lines 32 and 33, begin a new line block indented and insert:
" (6) The covered individual requesting the external grievance review.".
Page 37, line 41, delete "commissioner of the Indiana department of insurance" and insert " insurance commissioner".
and when so amended that said bill do pass.
Committee Vote: Yeas 10, Nays 0.
CR155502/DI 104 2001