Bill Text: MI HB5149 | 2009-2010 | 95th Legislature | Engrossed
Bill Title: Insurance; unfair trade practices; insurance whistleblower protection fund; create. Amends 1956 PA 218 (MCL 500.100 - 500.8302) by adding sec. 2035a. TIE BAR WITH: HB 4846'09, HB 5144'09
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2009-08-26 - Referred To Committee On Economic Development And Regulatory Reform [HB5149 Detail]
Download: Michigan-2009-HB5149-Engrossed.html
HB-5149, As Passed House, August 19, 2009
HOUSE BILL No. 5149
June 25, 2009, Introduced by Rep. Ebli and referred to the Committee on Insurance.
A bill to amend 1956 PA 218, entitled
"The insurance code of 1956,"
(MCL 500.100 to 500.8302) by adding section 2035a.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 2035a. (1) The insurance whistleblower protection fund is
created within the state treasury.
(2) The state treasurer may receive money or other assets from
any source for deposit into the fund. The state treasurer shall
direct the investment of the fund. The state treasurer shall credit
to the fund interest and earnings from fund investments.
(3) Money in the fund at the close of the fiscal year shall
remain in the fund and shall not lapse to the general fund.
(4) The office of financial and insurance regulation shall be
the administrator of the fund for auditing purposes.
(5) The office of financial and insurance regulation shall
expend money from the insurance whistleblower protection fund, upon
appropriation, only for 1 or more of the following purposes:
(a) Not more than 10% of the amount deposited each year into
the fund shall be used to pay the costs of administering the fund
and the reward program.
(b) Not more than 50% of the amount deposited each year into
the fund shall be used for consumer information and education
concerning insurance practices and consumer insurance rights.
(c) The balance of the fund may be used to reward full-time or
part-time employees of an insurer regulated under this act who
report an unfair or deceptive act or practice in the business of
insurance that is a violation of this act, if the information the
employee provides aids in an administrative or judicial action
against the employer. The amount of each reward shall be determined
by the office of financial and insurance regulation, based on the
severity of the offense reported, the importance of the information
provided to the prosecution, the outcome of the administrative or
judicial proceeding, and the amount of the fund balance.
Enacting section 1. This amendatory act does not take effect
unless all of the following bills of the 95th Legislature are
enacted into law:
(a) Senate Bill No.____ or House Bill No. 5144(request no.
01155'09).
(b) House Bill No. 4846.