Delaware Senate Bill 71 (Prior Session Legislation)

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Spectrum: Bipartisan Bill
Status: Engrossed on June 17 2015 - 50% progression, died in chamber
Action: 2015-06-23 - Roll Call Rescinded in Senate
Text: Latest bill text (Draft #1) [HTML]

This bill only applies to life insurance carriers who meet certain criteria suggesting a history of issuing fraudulent policies or other financial misconduct. When a covered insurance carrier cancels a life insurance policy for lack of insurable interest they are required to return any premiums paid on the policy to the owner of the life insurance policy so long as the owner did not engage in any wrongdoing related to the issuance of the insurance contract. The bill also advances three goals that are important to Delaware consumers. First, it provides necessary certainty to investors who purchase life insurance policies in the secondary market. That market, in turn, benefits Delaware consumers—particularly senior citizens—by giving them the chance to sell a life insurance policy that they no longer want or need for a substantially higher price than the cash surrender value of the policy. Second, the bill eliminates the undesirable effect of incentivizing insurance companies to cancel policies as late as possible as they continue to collect premiums at no actual risk. Third, the bill eliminates the risk of expensive and unnecessary litigation for owners of life insurance policies issued in this State by establishing a clear and unambiguous rule that is consistent with existing case law.

An Act To Amend Title 18 Of The Delaware Code Creating The "life Insurance Fraud Protection Act."

Sen. Harris McDowell [D]	Rep. Michael Mulrooney [D]	Sen. Charles Paradee [D]	Sen. Colin Bonini [R]
Sen. Bruce Ennis [D]	Sen. Robert Marshall [D]	Rep. Helene Keeley [D]	Rep. Harold Peterman [R]
Rep. Michael Ramone [R]	Rep. Stephen Smyk [R]

2015-06-23 - Senate - Senate Third Reading (Y: 11 N: 10 NV: 0 Abs: 0) [PASS]

Date	Chamber	Action
2015-06-23	Senate	Roll Call Rescinded in Senate
2015-06-17	Senate	Defeated by Senate. Votes: Defeated 9 YES 11 NO 1 NOT VOTING 0 ABSENT 0 VACANT
2015-06-17	Senate	Amendment SA 1 - Passed by Senate. Votes: Passed 18 YES 2 NO 1 NOT VOTING 0 ABSENT 0 VACANT
2015-06-16	Senate	Reported Out of Committee (INSURANCE & TELECOMMUNICATIONS) in Senate with 4 On Its Merits
2015-06-09	Senate	Amendment SA 1 - Introduced and Placed With the Bill in Senate
2015-04-29	Senate	Assigned to Insurance & Telecommunications Committee in Senate

Type	Source
Summary	http://legis.delaware.gov/LIS/lis148.nsf/2bede841c6272c888025698400433a04/f11d208d20eda71b85257e30006c9a04?OpenDocument
Text	http://legis.delaware.gov/LIS/lis148.nsf/vwLegislation/SB+71/$file/legis.html?open
Roll Call	http://legis.delaware.gov/LIS/lis148.nsf/7f1a77c644be3a2985256bea0070457a/50b478db8ffa444385257e6d00654034?OpenDocument