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ARIZONA HOUSE OF REPRESENTATIVESFifty-fourth Legislature Second Regular Session |
Senate: FIN DPA/SE 6-0-4-0 | 3rd Read 30-0-0-0 |
SB 1079: insurance; unfair settlement practices; rulemaking
Sponsor: Senator Farnsworth D, LD 16
Committee on Regulatory Affairs
Overview
Requires the Arizona Department of Insurance and Financial Institutions (DIFI) to adopt rules that substantially conform to the current version of the National Association of Insurance Commissioners (NAIC) Unfair Claim Settlement Practices Model Act (Act).
History
The NAIC is the regulatory support organization created and governed by the chief insurance regulators of the United States. Through the NAIC, state insurance regulators establish standards and best practices, conduct peer review, and coordinate their regulatory oversight.
The Act sets forth standards for the investigation and disposition of claims arising under policies or certificates of insurance issued. The Act is not intended to cover claims involving worker's compensation, fidelity, suretyship or boiler and machinery insurance.
Provisions
1.
Requires the Department of Insurance and
Financial Institutions to adopt rules that substantially conform to the current
version of the NAIC Act and that comply with Arizona unfair claim settlement practices
statute. (Sec. 1)
2. States that DIFI must amend rules to conform to the rules governing coordination of benefits. (Sec. 1)
3. Exempts DIFI from rulemaking for one year after the effective date of this act. (Sec. 1)
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SB 1079
Initials JR/LB Page 0 Regulatory Affairs
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