The bill amends various sections of Alaska's insurance regulations to clarify and expand upon practices related to insurance rebates, advertising, and the powers of the director of the division of insurance. Notably, it adds provisions that allow insurers and insurance producers to offer value-added products or services at no cost or reduced cost, provided these offerings are related to the insurance coverage and designed to mitigate loss or enhance health. The bill also introduces new requirements for these offerings, including ensuring that the costs are reasonable relative to the customer's premium and that the offerings are not unfairly discriminatory. Additionally, it prohibits certain advertising practices, such as suggesting that insurance coverage is free.

Furthermore, the bill modifies existing language regarding prohibited practices, specifically removing the terms "agent" and "solicitor" from the definition of who may not offer inducements related to insurance. It establishes that the director of the division of insurance has the authority to adopt necessary regulations to implement these changes, with the regulations taking effect under the Administrative Procedure Act. The bill is set to take effect on January 1, 2026, with certain provisions taking effect immediately.

Statutes affected:
SB0185A, AM SB 185, introduced 04/25/2025: 21.36.010, 21.36.110, 21.36.090, 21.36.100, 21.54.100, 21.36.120