This bill mandates that licensed insurance companies in the state provide advance notice to the insurance department regarding significant changes to their business operations. Specifically, it requires that any insurance company intending to discontinue or significantly reduce a line of business must give 120 days' written notice to both its appointed agents and the commissioner of the insurance department. Additionally, the bill stipulates that insurance companies offering Medicare Advantage Plans must also notify the commissioner 120 days in advance if they plan to terminate their contract with the Centers for Medicare and Medicaid Services (CMS), cease offering these plans in a specific county, or make significant modifications to the plans.

The bill amends existing law by removing the specific mention of "fire or casualty" business from the notice requirements and introduces new provisions that apply to all lines of business, including Medicare Advantage Plans. The new legal language emphasizes the necessity for insurance companies to communicate their intentions clearly and in a timely manner to ensure compliance with regulatory standards. The act is set to take effect 60 days after its passage and is noted to have no fiscal impact on state, county, or local expenditures or revenue.

Statutes affected:
Introduced: 402:84