This bill amends Section 41-1315 of the Idaho Code to clarify exceptions to discrimination or rebate provisions in insurance practices. It removes references to life or disability policies and annuity contracts, and introduces new language that outlines specific practices that are not considered discriminatory or illegal inducements. These practices include paying bonuses to policyholders, making allowances for direct premium payments, adjusting group insurance premiums based on experience, and issuing policies at reduced rates based on administrative savings. Additionally, the bill allows insurers to offer value-added products or services at no or reduced cost, provided they meet certain criteria related to risk management and consumer education.

The bill also establishes a framework for insurers or producers to test new products or services under a pilot program for up to one year, pending notification to the Department of Insurance. Furthermore, it empowers the director of the Department of Insurance to adopt regulations to ensure consumer protection in relation to these practices. The bill declares an emergency, making it effective on July 1, 2025.

Statutes affected:
Bill Text: 41-1315