This bill aims to enhance consumer protection for senior citizens and disabled persons by allowing them to recover benefits from insurers under disability or long-term care policies. It amends Minnesota Statutes 2024, section 325F.71, by redefining certain terms and adding a new subdivision. Notably, the bill introduces a definition for "insurance policy," which encompasses agreements providing income benefits due to disability or long-term care, specifically for senior citizens and disabled individuals.

Additionally, the bill establishes new provisions under a newly added subdivision that allows these individuals to seek private remedies if they can demonstrate that an insurer either lacked a reasonable basis for denying benefits or acted with reckless disregard for the absence of such a basis. This legislative change aims to provide greater accountability for insurers and ensure that vulnerable populations have access to the benefits they are entitled to under their policies.

Statutes affected:
Introduction: 325F.71