Nevada 2023 Regular Session Status: To Executive

AB 439 — Revises provisions governing certain contracts of insurance. (BDR 57-1044)

Last action — Vetoed by the Governor.

  1. ✓
    Introduced
  2. ✓
    In Committee
  3. ✓
    Passed Assembly
  4. ✓
    Passed Senate
  5. 5
    To Executive
  6. 6
    Enacted

This bill died with 2023 Regular Session. It reached “To Executive” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.

Vetoed by Governor Joe Lombardo (Republican) on June 16, 2023.

This bill is no longer active — its legislative session has ended, so there is no live prognosis. It would have to be reintroduced in the current session to move again.

Bill Text

What changed in the latest version

184 added · 225 removed

Plain-language change summary

The recent changes to Assembly Bill 439 clarify that arbitration provisions in health insurance contracts cannot be enforced against individuals making claims. This means that insured individuals have the right to pursue their claims in court rather than being forced into arbitration, which can often limit their ability to seek a fair resolution. Additionally, the updated bill requires such arbitration clauses to explicitly state that they are not binding. This shift is significant as it enhances consumer protection and ensures greater access to legal avenues for those covered under health insurance policies.

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(Reprinted with amendments adopted on April 24, 2023) FIRST REPRINT A.B.
Assembly Bill No.
439 A SSEMBLY B ILLN O.
439–Committee on Commerce and Labor CHAPTER..........
439–COMMITTEE ON C OMMERCE AND LABOR M ARCH 27, 2023 ____________ Referred to Committee on Commerce and Labor SUMMARY—Revises provisions governing certain contracts of insurance.
(BDR 57-1044) FISCAL NOTE:
Effect on Local Government:
No.
Effect on the State:
No.
~ EXPLANATION – Matter in bolded italics is new;
matter between brackets [omitted material] is material to be omitted.
providing that no provision for arbitration in a contract for health insurance is binding upon the named insured or any other person who makes a claim under the contract;
providing, with certain exceptions, that no provision for arbitration in a contract for health insurance is binding upon any person insured under the contract who makes a claim;
Existing law establishes the Nevada Insurance Code, which governs certain for arbitration contained in an automobile liability or motor vehicle liabilityon insurance policy delivered, issued for delivery or renewed in this State is binding upon the named insured or any other person who makes a claim under the policy.
Existing law establishes the Nevada Insurance Code, which governs certain contracts of insurance.
(NRS 690B.017) Sections 4, 6, 7, 15, 16.5, 17, 18.5, 19 and 20 of this bill similarly provide that no provision for arbitration is binding that is contained in any:
(Title 57 of NRS) Existing law provides that no provision for arbitration contained in an automobile liability or motor vehicle liability upon the named insured or any other person who makes a claim under the policy.nding (NRS 690B.017) Sections 4, 6, 7, 15, 16.5, 17, 18.5, 19 and 20 of this bill similarly provide that no provision for arbitration is binding that is contained in any:
(1) insurance;
(1) policy of health insurance by an insurer;
(2) policy of group or blanket health insurance;
(8) evidence of coverage by a prepaid limited health service organization;
(8) evidence of coverage by a prepaid limited organization.
or (9) evidence of coverage by a managed care organization.
Sections 4, 6, 7, 15, 16.5, 17, 18.5, 19 and 20 further provide that a provision for arbitration included in any such contract of insurance must contain a statement that the provision for arbitration is not binding.
Sections 4, 6, 7, 15, 16.5, 17, 18.5, 19 and 20 further provide that a provision for arbitration included in any such contract of insurance must contain a bill make conforming changes to indicate the proper placement of sections 4 and 7this of this bill, respectively, in the Nevada Revised Statutes.
Section 16.5 further provides that such provisions do not apply to a contract between:
Section 22 of this bill repeals certain provisions of the Nevada Insurance Code to eliminate requirements related to provisions for arbitration in certain contracts - *AB439_R1* – 2 – for insurance.
(1) a plan sponsor;
and (2) a hospital or a provider of health care.
Sections 5 and 8 of this bill make conforming changes to indicate the proper placement of sections 4 and 7 of this bill, respectively, in the Nevada Revised Statutes.
to eliminate requirements related to provisions for arbitration in certain contracts for insurance.
EXPLANATION – Matter in bolded italics is new;
matter between brackets [omitted material] is material to be omitted.
Section 1.
Sections 1-3.
2.
(Deleted by amendment.) Sec.
3.
(Deleted by amendment.) Sec.
No provision for arbitration contained in any policy of health insurance delivered, issued for delivery or renewed in this State is binding upon the named insured or any other person who makes a claim under the policy.
No provision for arbitration contained in any policy of health insurance delivered, issued for delivery or renewed in this - 82nd Session (2023) – 2 – State is binding upon any person insured under the policy who makes a claim.
If a policy of health insurance contains a provision for arbitration, the policy of health insurance must include a statement that the arbitration provision is not binding upon the named insured or any other person who makes a claim under the policy of health insurance.
If a policy of health insurance contains a provision for arbitration, the policy of health insurance must include a person insured under the policy of health insurance who makes ay claim.
No provision for arbitration contained in any policy of group or blanket health insurance delivered, issued for delivery or renewed in this State is binding upon the named insured or any other person who makes a claim under the policy.
No provision for arbitration contained in any policy of group or blanket health insurance delivered, issued for delivery or renewed in this State is binding upon any person insured under the policy who makes a claim.
If a policy of group or blanket health insurance contains a provision for arbitration, the policy of group or blanket health insurance must include a statement that the arbitration provision is not binding upon the named insured or any other person who makes a claim under the policy of group or blanket health insurance.
If a policy of group or blanket health insurance contains a provision for arbitration, the policy of group or blanket health insurance must include a statement that the arbitration provision is not binding upon any person insured under the policy of group or blanket health insurance who makes a claim.
Chapter 689C of NRS is hereby amended by adding thereto a new section to read as follows:
Chapter 689C of NRS is hereby amended by adding the1.toNo provision for arbitration contained in any health benefit plan delivered, issued for delivery or renewed in this State is binding upon any person insured under the health benefit plan who makes a claim.
1.
No provision for arbitration contained in any health benefit plan delivered, issued for delivery or renewed in this State - *AB439_R1* – 3 – is binding upon the named insured or any other person who makes a claim under the health benefit plan.
If a health benefit plan contains a provision for arbitration, the health benefit plan must include a statement that the arbitration provision is not binding upon the named insured or any other person who makes a claim under the health benefit plan.
If a health benefit plan contains a provision for arbitration, the health benefit plan must include a statement that the arbitration provision is not binding upon any person insured under the health benefit plan who makes a claim.
Sec.
- 82nd Session (2023) – 3 – Secs.
9.
9-14.
10.
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(Deleted by amendment.) Sec.
11.
(Deleted by amendment.) Sec.
12.
(Deleted by amendment.) Sec.
13.
(Deleted by amendment.) Sec.
14.
(Deleted by amendment.) Sec.
No provision for arbitration contained in any benefit contract delivered, issued for delivery or renewed in this State is binding upon the named insured or any other person who makes a claim under the contract.
No provision for arbitration contained in any benefit binding upon any person insured under the contract who makes ate is claim.
If a benefit contract contains a provision for arbitration, the benefit contract must include a statement that the arbitration provision is not binding upon the named insured or any other person who makes a claim under the benefit contract.
If a benefit contract contains a provision for arbitration, the benefit contract must include a statement that the arbitration provision is not binding upon any person insured under the benefit contract who makes a claim.
Except as otherwise provided in subsection 3:
No provision for arbitration contained in any contract for hospital, medical or dental services delivered, issued for delivery or renewed in this State is binding upon the named insured or any other person who makes a claim under the contract for hospital, medical or dental services.
No provision for arbitration contained in any contract for hospital, medical or dental services delivered, issued for delivery or renewed in this State is binding upon any person insured under the contract for hospital, medical or dental services.
If a contract for hospital, medical or dental services contains a provision for arbitration, the contract must include a statement that the arbitration provision is not binding upon the named insured or any other person who makes a claim under the contract for hospital, medical or dental services.
If a contract for hospital, medical or dental services contains a provision for arbitration, the contract must include a statement that the arbitration provision is not binding upon any person insured under the contract for hospital, medical or dental services.
- *AB439_R1* – 4 – Sec.
3.
The provisions of this section do not apply to a contract between:
(a) A plan sponsor, as defined in section 3(16)(B) of the 1002(16)(B), as that section existed on July 16, 1997;
and § (b) A hospital or a provider of health care, as defined in NRS 439.820.
Sec.
No provision for arbitration contained in any evidence of coverage delivered, issued for delivery or renewed in this State is binding upon the named enrollee or any other person who makes a claim under the evidence of coverage.
No provision for arbitration contained in any evidence of coverage delivered, issued for delivery or renewed in this State is binding upon any person insured under the evidence of coverage who makes a claim.
If an evidence of coverage contains a provision for arbitration, the evidence of coverage must include a statement that the arbitration provision is not binding upon the named enrollee or any other person who makes a claim under the evidence of coverage.
If an evidence of coverage contains a provision for arbitration, the evidence of coverage must include a statement that the arbitration provision is not binding upon any person insured under the evidence of coverage who makes a claim.
Sec.
- 82nd Session (2023) – 4 – Sec.
Except as otherwise provided in this chapter or in specific provisions of this title, the provisions of this title are not applicable to any health maintenance organization granted a certificate of authority under this chapter.
Except as otherwise provided in this chapter or in specific provisions of this title, the provisions of this title are not applicable to any health maintenance organization granted a apply to an insurer licensed and regulated pursuant to this titlenot except with respect to its activities as a health maintenance organization authorized and regulated pursuant to this chapter.
This provision does not apply to an insurer licensed and regulated pursuant to this title except with respect to its activities as a health maintenance organization authorized and regulated pursuant to this chapter.
This subsection does not exempt a health maintenance organization from any provision of this chapter for services provided pursuant to any other contract.
This subsection does not exempt a health maintenance organization from any provision of this chapter for services provided pursuant to any oth5.
5.
- *AB439_R1* – 5 – Sec.
Sec.
No provision for arbitration contained in any plan for dental care delivered, issued for delivery or renewed in this State is binding upon the member or any other person who makes a claim under the plan for dental care.
No provision for arbitration contained in any plan for dental care delivered, issued for delivery or renewed in this State is binding upon any person insured under the plan for dental care who makes a claim.
If a plan for dental care contains a provision for arbitration, the plan for dental care must include a statement that the arbitration provision is not binding upon the member or any other person who makes a claim under the plan for dental care.
If a plan for dental care contains a provision for arbitration, the plan for dental care must include a statement that - 82nd Session (2023) – 5 – the arbitration provision is not binding upon any person insured under the plan for dental care who makes a claim.
1.
coverage delivered, issued for delivery or renewed in this State is binding upon any person insured under the evidence of coverage who makes a claim.
No provision for arbitration contained in any evidence of coverage delivered, issued for delivery or renewed in this State is binding upon the named enrollee or any other person who makes a claim under the evidence of coverage.
If an evidence of coverage contains a provision for arbitration, the evidence of coverage must include a statement that the arbitration provision is not binding upon the named enrollee or any other person who makes a claim under the evidence of coverage.
If an evidence of coverage contains a provision for arbitration, the evidence of coverage must include a statement that the arbitration provision is not binding upon any person insured under the evidence of coverage who makes a claim.
No provision for arbitration contained in any evidence of coverage delivered, issued for delivery or renewed in this State is binding upon the named insured or any other person who makes a claim under the evidence of coverage.
No provision for arbitration contained in any evidence of coverage delivered, issued for delivery or renewed in this State is binding upon any person insured under the evidence of coverage who makes a claim.
If an evidence of coverage contains a provision for arbitration, the evidence of coverage must include a statement that the arbitration provision is not binding upon the named insured or any other person who makes a claim under the evidence of coverage.
If an evidence of coverage contains a provision for arbitration, the evidence of coverage must include a statement that the arbitration provision is not binding upon any person insured under the evidence of coverage who makes a claim.
- *AB439_R1* – 6 – LEADLINES OF REPEALED SECTIONS 689A.0403 Procedure for arbitration of disputes concerning independent medical, dental or chiropractic evaluations.
~~~~~ 23 - 82nd Session (2023)
for disputes with insurer authorized;
procedure for arbitration;
declaratory relief.
689B.270 Required procedure for arbitration of disputes concerning independent medical, dental or chiropractic evaluations.
695B.181 Provision in contract requiring binding arbitration authorized;
procedures for arbitration;
declaratory relief.
695B.182 Required procedure for arbitration of disputes concerning independent medical, dental or chiropractic evaluations.
695C.265 Required procedure for arbitration of disputes concerning independent medical, dental or chiropractic evaluations.
695C.267 Provision requiring binding arbitration authorized;
procedures for arbitration;
declaratory relief.
H - *AB439_R1*
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Amendments

2 amendments

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Action History

  1. Vetoed by the Governor.

  2. Enrolled and delivered to Governor.

  3. Senate Amendment No. 643 concurred in. To enrollment.

  4. Read third time. Passed, as amended. Title approved, as amended. (Yeas: 14, Nays: 6, Excused: 1.) To Assembly. In Assembly.

  5. From printer. To re-engrossment. Re-engrossed. Second reprint. Taken from General File. Placed on General File for next legislative day.

  6. From committee: Amend, and do pass as amended. Placed on Second Reading File. Read second time. Amended. (Amend. No. 643.) To printer.

  7. In Senate. Read first time. Referred to Committee on Commerce and Labor. To committee.

  8. From printer. To engrossment. Engrossed. First reprint. Read third time. Passed, as amended. Title approved, as amended. (Yeas: 42, Nays: None.) To Senate.

  9. From committee: Amend, and do pass as amended. Placed on Second Reading File. Read second time. Amended. (Amend. No. 296.) To printer.

  10. From printer. To committee.

  11. Read first time. Referred to Committee on Commerce and Labor. To printer.

Sponsors

  • Assembly Committee on Commerce and Labor · Primary

Sponsorship breakdown

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1 sponsors · 0 co-sponsors · 66 not signed on

Sponsors (1)

  • Assembly Committee on Commerce and Labor

Co-sponsors (0)

None.

Not signed on (66)

66 members have not signed on to this bill.

Show all 66 →

"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Subjects

health-insurance
Cross-referencing the record. Reading this bill against every other bill in the corpus by meaning, not keywords. Only the first open is slow. It’s instant for you after this. Matching · Ranking · Engrossing

Frequently asked questions

Who sponsors AB 439?
AB 439 is sponsored by Assembly Committee on Commerce and Labor.
What is the current status of AB 439?
This bill died with 2023 Regular Session. It reached “To Executive” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
Where can I track AB 439?
Track AB 439 free on One Click Politics — get push/email alerts when it moves.

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