PRIOR PRINTER'S NOS. 574, 3700 PRINTER'S No. 4080
No. 550 Session of 1999
INTRODUCED BY BARD, NICKOL, E. Z. TAYLOR, DeLUCA, LEDERER,
BAKER, BARRAR, BELARDI, BROWNE, CLARK, L. I. COHEN, M. COHEN,
CURRY, DALEY, FAIRCHILD, GEIST, HARHAI, LAUGHLIN, MAHER,
McNAUGHTON, S. MILLER, ORIE, ROSS, RUBLEY, SEMMEL, SERAFINI,
SEYFERT, STABACK, STEELMAN, THOMAS, TIGUE, TRELLO, VAN HORNE,
WILLIAMS AND YOUNGBLOOD, FEBRUARY 10, 1999
AS AMENDED ON THIRD CONSIDERATION, HOUSE OF REPRESENTATIVES,
OCTOBER 10, 2000
AN ACT
1 Amending the act of May 17, 1921 (P.L.682, No.284), entitled "An
2 act relating to insurance; amending, revising, and
3 consolidating the law providing for the incorporation of
4 insurance companies, and the regulation, supervision, and
5 protection of home and foreign insurance companies, Lloyds
6 associations, reciprocal and inter-insurance exchanges, and
7 fire insurance rating bureaus, and the regulation and
8 supervision of insurance carried by such companies,
9 associations, and exchanges, including insurance carried by
10 the State Workmen's Insurance Fund; providing penalties; and
11 repealing existing laws," providing for payment of life
12 insurance benefits AND FOR PUBLICATION OF RATE INCREASES ON <--
13 HOME PAGE.
14 The General Assembly of the Commonwealth of Pennsylvania
15 hereby enacts as follows:
16 Section 1. The act of May 17, 1921 (P.L.682, No.284), known
17 as The Insurance Company Law of 1921, is amended by adding a <--
18 section SECTIONS to read: <--
19 Section 411B. Payment of Benefits.--(a) Except as set forth
20 in subsection (b), life insurance death benefits not paid within
21 thirty days after satisfactory proof of death was submitted to
1 the insurer shall bear interest at the rate of interest payable
2 on death benefits left on deposit by the beneficiary with the
3 insurer. This interest shall accrue from the date of death of
4 the insured to the date the benefits are paid to the
5 beneficiary. In cases where satisfactory proof of death is
6 submitted more than one hundred eighty days after the death of
7 the insured, and the death benefits are not paid within thirty
8 days after satisfactory proof of death was submitted to the
9 insurer, interest shall accrue from the date on which
10 satisfactory proof was submitted to the date on which the
11 benefits of the policy are paid.
12 (b) Notwithstanding section 6 of the act of May 11, 1949
13 (P.L.1210, No.367), referred to as the Group Life Insurance
14 Policy Law, this section shall apply to all life insurance
15 policies except variable insurance policies.
16 (c) The term "left on deposit" shall mean a specific
17 settlement option provided within the life insurance policy
18 under which the death benefit proceeds are retained by the
19 insurer for the beneficiary and are credited with a specific
20 rate of interest.
21 SECTION 2194. PUBLICATION OF RATE INCREASES ON HOME PAGE.-- <--
22 THE INSURANCE DEPARTMENT SHALL POST ALL PROPOSED AND FINALIZED
23 RATE INCREASES BY PROVIDERS OF HEALTH CARE BENEFITS OVER WHICH,
24 THE INSURANCE COMMISSIONER HAS JURISDICTION ON THE INSURANCE
25 DEPARTMENT'S HOME PAGE AND SHALL PROVIDE RATEPAYERS WITH THE
26 OPPORTUNITY TO FILE COMMENTS ON ANY PROPOSED RATE INCREASE ON-
27 LINE OR BY MAIL.
28 Section 2. (a) Except as provided in subsection (b), the
29 addition of section 411B of the act shall apply to insurance
30 policies issued or renewed on or after the effective date of
19990H0550B4080 - 2 -
1 this act.
2 (b) Unless there is a policy provision to the contrary, the
3 addition of section 411B of the act shall apply to policies in
4 existence on the effective date of this act.
5 Section 3. This act shall take effect in 60 days.
A26L40DMS/19990H0550B4080 - 3 -