1.Notice to 3rd party. An individual life insurance policy that has been in force for at least one year may not be terminated for nonpayment of premium
unless, at least 21 days prior to the expiration of the grace period, the insurer has mailed a notice of cancellation to the
policyholder and any 3rd party designated by the policyholder by name and address in writing. The bureau shall adopt rules
to implement the notice requirements under this subsection.
[
2007, c. 40, §1 (NEW)
.]
2.Restrictions on lapse or termination; organic brain disease. Notwithstanding any other provision of this chapter, the bureau shall adopt rules to provide restrictions on cancellation,
termination or lapse of individual life insurance policies to reduce the danger that a life insurance policyholder will lose
life insurance coverage due to organic brain disease.
[
2007, c. 40, §1 (NEW)
.]
3.Rulemaking. The rules adopted pursuant to this section apply to all life insurance policies and riders delivered or issued for delivery,
continued or renewed in this State. Rules adopted pursuant to this section are routine technical rules as defined in Title
5, chapter 375, subchapter 2-A.
[
2007, c. 40, §1 (NEW)
.]
SECTION HISTORY
2007, c. 40, §1 (NEW).
Data for this page extracted on 11/09/2009 11:20:25.