SB 1015 — AN ACT PROHIBITING LIFE INSURANCE COMPANIES FROM DISCRIMINATING AGAINST FIRST RESPONDERS DIAGNOSED WITH POST-TRAUMATIC STRESS DISORDER.

Senate General Assembly RaisedFile Bill No.

1015343 January Session, 2023 LCOSenate Bill No.

40421015 ReferredSenate, toMarch 30, 2023 The Committee on INSURANCEInsurance ANDand REALReal ESTATEEstate Introducedreported by:through SEN.

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AN ACT PROHIBITING LIFE INSURANCE COMPANIES FROM DISCRIMINATING AGAINST FIRST RESPONDERS DIAGNOSED WITH POST-TRAUMATIC STRESS DISORDER.

(1) Make any distinction or discrimination between persons on the basis of race, sexual orientation, gender identity, status as a victim of domestic violence, [or] erased criminal history record information, as defined in section 46a-80a or status as a first responder, as defined in section 52- 146v, diagnosed withwithpost-traumaticstressdisorder,asto post-traumaticthepremiums stress disorder, as to the premiums or rates charged for policies upon the lives of such persons;

(2) demand or require greater premiums from persons of one race, sexual orientation or gender identity than such as are at that time required by that company fromfrompersonsof personsanotherrace, ofsexualorientationorgender another race, sexual orientation or gender identity, or persons who have been victims of domestic violence than suchSB1015 as/ areFile at that time required by that LCO 4042 \\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01015-R01 of 3 SB.docx Bill No.

1015343 company1 fromSB1015 personsFile whoNo. have not been victims of domestic violence, of the same age, sex, general condition of health and hope of longevity;

(3)343 demand or require greater premiums from persons with erased criminal history record information than such as are at that time required by that company from persons withoutwho erasedhave criminalnot historybeen recordvictimsof informationdomestic violence, of the same age, sex, general conditionscondition of health and hope of longevity;

(3) demand or require greater premiums from persons with erased criminal history record informationthansuch asare at that time requiredby that company from persons without erased criminal history record information of the same age, sex, general conditions of health and hope of longevity;

LCOSB1015 4042/ {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01012File of 3 R01-SB.docx } Bill No.

1015343 This2 actSB1015 shallFile takeNo. effect as follows and shall amend the following sections:

343 This act shall take effect as follows and shall amend the following sections:

2 October 1, 2023 New section INS Joint Favorable LCOSB1015 4042/ R01-SB.docxFile }OUSERS\FORZANOF\WS\2023SB-01015-No. 3 of 3

343 3 SB1015 File No.

343 The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do not represent the intent of the General Assembly or either chamber thereof for any purpose.

In general, fiscal impacts are based upon a variety of informational sources, including the analyst’s professional knowledge.

Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.

OFA Fiscal Note State Impact:

Agency Affected Fund-Effect FY 24 $ FY 25 $ Insurance Dept.

GF - Potential Minimal Minimal Revenue Gain Note:

GF=General Fund Municipal Impact:

None Explanation The bill results in a potential minimal revenue gain to the General Fund starting in FY 24, to the extent additional fines or penalties are assessed for violationsoftheConnecticut Unfair Insurance Practices Act (CUIPA).

The bill prohibits life insurers from discriminating against first responders diagnosed with post-traumatic stress disorder (PTSD) and makes charging such individuals a different premium or lowering the benefit amount paid upon death based on that status a violation of CUIPA.

CUIPA fines can range from $5,000 per violation up to a maximum of $250,000 in aggregate penalties per insurer in any six- month period.

There is no anticipated cost to the Insurance Department, as the agency has the necessary staff and expertise for enforcement.

The Out Years The annualized ongoing fiscal impact identified above would continueintothefuturesubjectto thenumberandtypeofviolationsthat occur.

SB1015 / File No.

343 4 SB1015 File No.

343 OLR Bill Analysis SB 1015 AN ACT PROHIBITING LIFE INSURANCE COMPANIES FROM DISCRIMINATING AGAINST FIRST RESPONDERS DIAGNOSED WITH POST-TRAUMATIC STRESS DISORDER.

SUMMARY This bill prohibits life insurers from delivering, issuing, renewing, or continuing a life insurance or annuity policy in Connecticut that excludes coverage solely because someone is a “first responder” (e.g., ambulance driver) diagnosed with post-traumatic stress disorder (PTSD).

The bill also prohibits life insurers from taking any of the following actions based on an individual’s status as a first responder diagnosed with PTSD:

1.

making any distinction or discrimination against a person in premiums or rates;

2.

demanding or requiring greater premiums than from a first responder not diagnosed with PTSD of the same age, sex, general health, and hope of longevity;

or 3.

rebating, discounting, or lowering the benefit amount paid upon death, or similarly requiring heirs, executors, or beneficiaries to accept less than the full payout compared to a similarly situated person.

Under the bill, a violation of any of these three provisions is an unfair and deceptive insurance practice under the Connecticut Unfair Insurance Practices Act (CUIPA) (see BACKGROUND).

EFFECTIVE DATE: