The bill amends various sections of the Iowa Code to enhance financial literacy and investor education, establish funds for financial exploitation prevention, and modify regulations related to health insurance and insurer withdrawals. Key provisions include the creation of a "financial literacy and investor education fund" and a "financial exploitation prevention fund," which will receive appropriations to support their initiatives. It also introduces new requirements for insurers planning to withdraw from the market, mandating them to submit a detailed withdrawal plan that must be approved by the commissioner of insurance. Insurers that withdraw from all lines of insurance must wait a minimum of five years before resuming operations in the state without prior approval.

Additionally, the bill revises existing laws regarding service contracts, requiring them to be written in clear language and include specific disclosures. Licensed service companies must maintain their licenses, report material changes, and provide written explanations to service contract holders when denying claims. The bill also updates the examination process for service companies, ensuring that examination costs do not exceed ten percent of the company's reported net income. Furthermore, it mandates vehicle owners to certify financial liability coverage when applying for registration and outlines penalties for non-compliance. The bill is set to take effect on December 1, 2028, for certain sections related to motor vehicle financial liability coverage.

Statutes affected:
Introduced: 502.410, 502.601, 546.14, 505.7, 546.12, 432.1A, 505.19, 507B.4, 505.36, 523C.1, 523C.2, 523C.3, 523C.9, 523C.5, 523C.13, 523C.23, 714.16, 523C.19, 476.78
Reprinted: 502.410, 502.601, 546.14, 505.7, 546.12, 12C.7, 432.1A, 505.19, 507B.4, 505.36, 523C.1, 523C.2, 523C.3, 523C.9, 523C.5, 523C.13, 523C.23, 714.16, 523C.19, 513C.10, 262.7, 523I.810, 523I.813, 321.20, 321.20B, 805.8A, 321.40