State SealARIZONA HOUSE OF REPRESENTATIVES

 

HB 2048: insurance; producer fees

PRIME SPONSOR: Representative Livingston, LD 22

BILL STATUS: Banking & Insurance

 

Legend: Amendments – BOLD and Stricken (Committee)

Abstract

☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal NoteRelating to insurance producer fees.

Provisions

1.       Removes the prohibition on insurance producers from charging or receiving any fee or service charge in connection with the transaction of life, annuity, long-term care or Medicare supplement insurance. (Sec. 1)

2.       Makes conforming changes. (Sec. 1)

Current Law

An insurance producer is prohibited from charging or receiving any fee or service charge in addition to the premium in connection with the transaction of insurance, unless:

a.       the fee or service charge and the specific services for which it is charged are disclosed and agreed to in writing by the insured; and

b.       the amount of the fee or service charge is reasonably related to the cost of the service rendered and does not duplicate or increase any fee or service charge included in the insurer's rate filing.

Additionally, an insurance producer is prohibited from charging or receiving any fee or service charge in connection with the transaction of life, annuity, long-term care or Medicare supplement insurance (A.R.S. § 20-465). 

 

 

 

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Fifty-third Legislature                  HB 2048

Second Regular Session                               Version 1: Banking & Insurance

 

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