HB79 Alabama 2011 Session
Bill Summary
Under existing law, life insurers are not required to notify policy owners of the option to sell their policy instead of allowing it to lapse without value
This bill would provide that insurance companies must notify insureds who are 60 years old and older or individuals suffering from a terminal or chronic illness of their options regarding a life insurance policy instead of allowing it to lapse
This bill would require insurance companies to provide notice to its insureds of options in lieu of lapsing including life settlements, accelerated death benefits, and conversion to long-term care policies
This bill would provide for a civil penalty if the notice is not provided
To provide that insurance companies must notify insureds who are 60 years old and older or individuals suffering from a terminal or chronic illness of their options regarding a life insurance policy instead of allowing it to lapse; to require the insurance companies to provide notice to its insureds of options in lieu of lapsing including life settlements, accelerated death benefits, and conversion to long-term care policies; and to provide for a civil penalty if the notice is not provided.
Bill Actions
| Action Date | Chamber | Action |
|---|---|---|
| March 1, 2011 | Read for the first time and referred to the House of Representatives committee on Insurance |
Bill Text
Bill Documents
| Type | Link |
|---|---|
| Bill Text | HB79 Alabama 2011 Session - Introduced |