Sunset Division Of Insurance
Sunset Process - Senate Business, Labor, and Technology Committee. The bill implements the recommendations of the department of regulatory agencies' sunset review and report on the functions of the division of insurance (division) by:
- Continuing the functions of the division for 13 years, until 2030 ( sections 1 and 2 of the bill);
- Establishing a separate sunset date for the regulation of preneed funeral contracts in 2022 ( section 5 );
- Reassigning certain duties related to health maintenance organizations from the executive director of the department of public health and environment to the commissioner of insurance (commissioner) ( sections 6 through 13 );
- Repealing the 'Certified Capital Company Act', effective July 1, 2025 ( section 14 );
- Removing the exemption of policies with more than 4 automobiles from consumer protection provisions ( section 15 );
- Eliminating the requirement that an insurer authorized to transact business in Colorado file a schedule of insurance rates for required minimum coverages by July 1, 2003 ( section 16 );
- Expanding the definition of 'enrollee' to include certain individuals with non-HMO or prepaid plans ( section 17 );
- Revising the definition of 'participating provider' to include providers in other states that are part of the carrier's managed care network since consumers may use contracted providers in other states when Colorado insurance protections are applicable ( section 17 );
- Repealing the 35% surcharge above the modified community rate that an insurance carrier is permitted to impose on small employers that previously purchased self-funded health benefit coverage or a health benefit plan that was not a small group plan ( section 18 );
- Repealing the requirement for a one-time training course that was to be completed by January 1, 2009 ( section 19 );
- Changing a reference to the location of the definition of health care providers from the statutes governing reimbursement to providers of health care services to refer to statutes governing the statewide managed care system ( section 20 ); and
- Clarifying that all bail agents licensed by the division are exempt from the private investigator licensing statute ( section 21 ).
Section 3 of the bill requires fines and penalties levied on insurers to relate to the general business practices and compliance activities of insurers.
Section 4 of the bill requires the division to study the compliance of preneed funeral contract sellers with Colorado law and report the findings of the study to the legislature not later than September 1, 2017.
(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)