HB 6437 — AN ACT CONCERNING INSURANCE MARKET CONDUCT AND LICENSING.

House of Representatives General Assembly SubstituteFile Bill No.

643764 January Session, 2025 ANSubstitute ACTHouse CONCERNINGBill INSURANCENo. MARKET CONDUCT AND LICENSING.

6437 House of Representatives, March 10, 2025 The Committee on Insurance and Real Estate reported through REP.

WOOD of the 29th Dist., Chairperson of the Committee on the part of the House, that the substitute bill ought to pass.

AN ACT CONCERNING INSURANCE MARKET CONDUCT AND LICENSING.

(1) To [that] such person's, or such person's designee's, last-known principal place of business, residence, electronic mail address or post-office address, or (2) if a foreign insurance company,sHB6437 to/ theFile secretaryNo. of the company or designee of the company, or (3) if an alien insurance company, to the resident manager, if any, in this country, or (4) if a fraternal benefit society, to the secretary or corresponding officer of the society.

Process64 sent by electronic mail in accordance with the provisions of this subsection shall be sent to such person's, or such person's designee's, last-known electronic mail LCO 1 ofsHB6437 8File Substitute Bill No.

643764 addresscompany, asto filedthe withsecretary andof maintainedthe bycompany or designee of the commissionercompany, or (3) if an alien insurance company, to the resident manager, if any, in accordancethis withcountry, or (4) if a fraternal benefit society, to the provisionssecretary or corresponding officer of thisthe title.society.

Process sent by electronic mail in accordance with the provisions of this subsection shall be sent to such person's, or such person's designee's, last-known electronic mail address as filed with and maintained by the commissioner in accordance with the provisions of this title.

(b)sHB6437 Notwithstanding/ theFile provisionsNo. of subsection (c) of section 4-182, as amended by this act, the commissioner may provide notice of suspension or revocation of a license pursuant to this section or section 4-182, as amended by this act, to any person licensed by or registered with the commissioner by personal delivery, as defined in section 4-166.

For64 any firm, association or corporation licensed by or registered with LCO 2 ofsHB6437 8File Substitute Bill No.

643764 the(b) commissioner,Notwithstanding the electronicprovisions mailof addresssubsection (c) of anysection natural4-182, personas designatedamended asby athis primaryact, contactthe bycommissioner suchmay firm,provide associationnotice orof corporationsuspension shallor constituterevocation anof acceptablea meanslicense ofpursuant communicationto forthis personalsection delivery,or andsection a4-182, noticeas sentamended by electronicthis mailact, to suchany primaryperson contactlicensed atby suchor electronicregistered mailwith addressthe shallcommissioner constituteby noticepersonal ofdelivery, suspensionas ordefined revocationin ofsection such4-166. license.

For any firm, association or corporation licensed by or registered with the commissioner, the electronic mail address of any natural person designated as a primary contact by such firm, association or corporation shall constitute an acceptable means of communication for personal delivery, and a notice sent by electronic mail to such primary contact at such electronic mail address shall constitute notice of suspension or revocation of such license.

Appeals under this section shall be privileged in respectsHB6437 to/ theFile orderNo. of trial assignment.

64 3 sHB6437 File No.

64 respect to the order of trial assignment.

(a) When the grant, denial or renewal of a license is required to be LCOpreceded 3by notice and opportunity for hearing, the provisions of 8this Substitutechapter Billconcerning No.contested cases apply.

6437 preceded by notice and opportunity for hearing, the provisions of this chapter concerning contested cases apply.

or (B) (i) adopt regulations, in accordance with the provisions of chapter 54, that provide a procedure for the revocation or suspension of such license consistentsHB6437 with/ theFile requirementsNo. of said subsection (c), and (ii) revoke or suspend such license in accordance with such regulations.

(2)64 Nothing in this subsection shall be construed to affect (A) the validity of any regulation adopted in accordance with this chapter and LCO 4 ofsHB6437 8File Substitute Bill No.

643764 effectiveconsistent onwith orthe beforerequirements Octoberof 1,said 1999,subsection or(c), (B)and any(ii) contestedrevoke caseor insuspend whichsuch alicense noticein underaccordance sectionwith 4-177such isregulations. issued on or before October 1, 1999.

(2) Nothing in this subsection shall be construed to affect (A) the validity of any regulation adopted in accordance with this chapter and effective on or before October 1, 1999, or (B) any contested case in which a notice under section 4-177 is issued on or before October 1, 1999.

Upon the request of the Insurance Commissioner, any insurance companysHB6437 shall/ furnishFile toNo. the Insurance Department the facts relative to the termination of an agent's appointment and the causes thereof.

If64 any insurance company terminates an agent's appointment for cause, such termination shall be reported by such insurance company to said department not later than thirty calendar days after the date of such LCO 5 ofsHB6437 8File Substitute Bill No.

643764 termination.company shall furnish to the Insurance Department the facts relative to the termination of an agent's appointment and the causes thereof.

If any insurance company terminates an agent's appointment for cause, such termination shall be reported by such insurance company to said department not later than thirty calendar days after the date of such termination.

Any information obtained relative to fraud or potential fraud may be disclosed to any central reporting bureau and any law enforcement agency.sHB6437 / File No.

[(c)64 On or before March thirty-first of each year, each insurance company shall provide the Insurance Commissioner annual reports detailing all information received or investigations conducted by such LCO 6 ofsHB6437 8File Substitute Bill No.

643764 companyagency. during the past year concerning insurance fraud in any claim under a motor vehicle insurance policy.

[(c) On or before March thirty-first of each year, each insurance company shall provide the Insurance Commissioner annual reports detailing all information received or investigations conducted by such company during the past year concerning insurance fraud in any claim under a motor vehicle insurance policy.

Subsection (b) of section 3-70a, sections 3-71a and 4-164, subsection (c) of section 4- 183, subdivision (4) of subsection (g) of section 10-153e, subparagraph (C) of subdivision (4) of subsection (e) of section 10a-109n, sections 12- 3a, 12-89, 12-103, 12-208, 12-237, 12-242hh, 12-242ii, 12-242kk, 12-268l, 12-307, 12-312, 12-330m, 12-405k, 12-422, 12-448, 12-454, 12-463, 12-489, 12-522, 12-554, 12-586g and 12-597, subsection (b) of section 12-638i, sections 12-730, 14-57, 14-66, 14-195, 14-324, 14-331 and 19a-85, subsection (f) of section 19a-332e, sections 20-156, 20-247, 20-307, 20-373, 20-583 and 21a-55, subsection (e) of section 22-7, sections 22-320d and 22-386, subsection (e) of section 22a-6b, section 22a-30, subsection (a) of section 22a-34, subsection (b) of section 22a-34, section 22a-182a, subsection (f) of section 22a-225, sections 22a-227, 22a-344, 22a-374, 22a- 408sHB6437 and/ 22a-449g,File subsection (f) of section 25-32e, section 29-158, subsection (f) of section 29-161z, sections 36b-30 and 36b-76, subsection (f) of section 38a-41, section 38a-52, subsection (c) of section 38a-150, sections 38a-185, 38a-209 and 38a-225, subdivision (3) of section 38a- LCO 7 of 8 Substitute Bill No.

643764 226b,7 sectionssHB6437 38a-241,File 38a-337No. and 38a-657, subsection [(c)] (d) of section 38a-774, as amended by this act, section 38a-776, subsection (c) of section 38a-817 and section 38a-994.

64 408 and 22a-449g, subsection (f) of section 25-32e, section 29-158, subsection (f) of section 29-161z, sections 36b-30 and 36b-76, subsection (f) of section 38a-41, section 38a-52, subsection (c) of section 38a-150, sections 38a-185, 38a-209 and 38a-225, subdivision (3) of section 38a- 226b, sections 38a-241, 38a-337 and 38a-657, subsection [(c)] (d) of section 38a-774, as amended by this act, section 38a-776, subsection (c) of section 38a-817 and section 38a-994.

-LCO LCOsHB6437 8/ ofFile 8No.

64 8 sHB6437 File No.

64 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 26 $ FY 27 $ Insurance Dept.