in-20250903-IR-760240637RNA: OVERVIEW

TITLE 760 DEPARTMENT OF INSURANCE Notice of Public Comment Period for Rule Readoption LSA Document #24-637 Readopts rules in anticipation of IC 4-22-2.6, providing that an administrative rule adopted under IC 4-22-2 expires January 1 of the fifth year after the year in which the rule takes effect unless the rule contains an earlier expiration date. Effective 30 days after filing with the publisher. STATUTORY AUTHORITY: IC 27-1-3-7; IC 27-1-22-4; IC 27-1-33-11; IC 27-1-34-9; IC 27-2-20-3; IC 27-4-1-4; IC 27-6-9-26; IC 27-6-10-15; IC 27-8-4-12; IC 27-8-13-10; IC 27-8-16-14; IC 27-8-17-20; IC 27-15-13-2; IC 27-16-4-7; IC 27-16-5-4; IC 27-16-5-6; IC 27-16-8-4 OVERVIEW Rules to be readopted without changes are as follows: Rules to be repealed are as follows: SUMMARY OF FINDINGS UNDER IC 4-22-2.6-4 760 IAC 1-1-1 provides a required disclaimer to be included in an automobile insurance policy providing collision or material damage coverage only and which does not provide liability coverage for personal injury or property damage. 760 IAC 1-3 applies to the offering and sale of stock to the public by a new stock insurance company. The rule requires specific items related to initial stock and subsequent stock offerings to be filed with and approved by the commissioner. 760 IAC 1-5.1 concerns credit insurance and provides a system of rate, policy form, and operating standards for the regulation of consumer credit insurance. 760 IAC 1-7 concerns segregated investment account contracts and provides regulatory guidance regarding qualifications of a company, transfers between accounts, and guidance on variable annuity income benefits. 760 IAC 1-11 applies to domestic stock insurers and governs the methods of soliciting proxies, consents, and authorizations by certain domestic stock insurance companies, and to prescribe the form of such proxies, consents and authorizations, and to assure that securityholders of such companies be provided with certain information concerning such companies when proxies, consents and authorizations are solicited. 760 IAC 1-12 supplements Indiana’s domestic stock insurance company laws and provides guidance on the requirements for filing information regarding the holding and transfer of securities by officers, directors, and stockholders. 760 IAC 1-13 applies to insurers writing life insurance and producers selling, soliciting and negotiating life insurance in Indiana. The rule prohibits certain practices by insurers and producers in the transaction of life insurance. Violations of the rule may result in a civil penalty of engaging in unfair competition and other acts defined under IC 27-4-1-4 and carry a penalty of not more than $25,000 per violation. 760 IAC 1-15.1 concerns holding company systems and sets forth procedural requirements which the commissioner deems necessary to carry out the provisions of IC 27-1-23 while also providing several forms to be submitted to the commissioner when an insurance company is acquired. 760 IAC 1-16.1 applies to insurers writing life insurance and producers selling, soliciting and negotiating life insurance in Indiana. The rule regulates the replacement of all forms of existing life insurance, including annuities, and establishes minimum standards of conduct to be observed in the replacement or proposed replacement of existing life insurance. Violations of the rule may result in a civil penalty of engaging in unfair competition and other acts defined under IC 27-4-1-4 and carry a penalty of not more than $25,000 per violation. 760 IAC 1-18 applies to health insurance companies and insurance producer advertisements and provides guidelines for the content of both group and individual health insurance policy advertisements. 760 IAC 1-19 concerns disability insurance products and eliminates pre-existing limitation hardship for policyholders who purchase coverage under a group disability plan containing pre-existing condition limitations and replaces the existing policy with one issued by a succeeding carrier. 760 IAC 1-23 applies to accident and sickness insurance and establishes uniformity of reporting data by providers of health care or treatment for the processing of health care and health insurance benefits. 760 IAC 1-24 concerns life insurance and regulates the solicitation, negotiation and procurement of life insurance products and provides necessary disclosure requirements for the prospective purchaser and policyholder. 760 IAC 1-33 applies to variable life insurance and provides regulatory guidance on policy requirements and disclosures. 760 IAC 1-35 provides mortality tables for use in determining the minimum standard of valuation for annuity and pure endowment contracts. 760 IAC 1-39 provides guidance regarding insurance application questions related to AIDS questioning, testing and coverage for purposes of underwriting decisions. 760 IAC 1-40 prescribes a course of study to be completed by each insurance producer applicant prior to taking the written licensing examination and establishes requirements for certification of an individual who seeks to be qualified as an instructor or director of a registered insurance agent program or study. The rule requires a certificate of completion costing $5 per certificate to be purchased by the agent education program director from the commissioner who is then reimbursed by the applicant for the cost of the certificate. 760 IAC 1-46 applies to utilization review agents and prescribes regulations related to the registration and general standards for acting as a utilization review agent. The rule imposes an initial application fee of $150 for certification as a utilization review agent with a $100 annual renewal fee. 760 IAC 1-48 concerns life insurance and sets forth standards for accelerated benefit provisions of individual and group life insurance policies, including required standards of disclosure. 760 IAC 1-49 applies to medical claims review agents and prescribes regulations related to the certification and general standards for acting as a medical claims review agent. The rule imposes an initial application fee of $150 for certification as a medical claims review agent with a $100 annual renewal fee. 760 IAC 1-51 sets forth the licensing procedures for reinsurance intermediaries and bond requirements. The rule imposes a $100 licensing fee. 760 IAC 1-52 sets forth the registration procedures for managing general agents and bond requirements. The rule imposes a $100 registration fee. 760 IAC 1-53 sets forth standards to identify and correct insurers deemed to be in hazardous financial condition where the continuance of their business is hazardous to the public or holders of their policies or certificates of insurance. 760 IAC 1-55 sets forth restrictions of a licensed insurer entering into reinsurance agreements in the capacity of a ceding insurer for the principal purpose of producing significant surplus aid of the ceding insurer. 760 IAC 1-66 prescribes a procedure for an institutional investor to acquire beneficial ownership of 5-10% of the outstanding shares of a voting security of a former mutual or a parent company. 760 IAC 1-67 applies to nonpublic personal financial information and requires consumer privacy notices to individuals and provides limitations on disclosure of nonpublic personal financial information. 760 IAC 1-68 provides regulatory guidance related to multiple employer welfare arrangements. The rule imposes a $350 application fee, a $100 annual internal audit fee, $50 annual report filing fee, and requires a $35 fee for each form filed with the Department. 760 IAC 1-73 creates a registration process for professional employer organizations and sets forth financial and actuarial standards and operational requirements for PEOs that offer a self-funded health benefit plan. The rule imposes a bond of at least $50,000 or requires each PEO to maintain a minimum net worth of $50,000 and imposes a $500 initial application fee and $250 renewal fee. 760 IAC 1-76 concerns reserves to be held by insurance companies writing preneed life insurance policies. 760 IAC 1-77 applies to the solicitation or sale of life insurance or annuity products to active-duty service members of the US armed forces and defines what practices are declared false, misleading, deceptive or unfair on a military installation and regardless of location. 760 IAC 1-78 applies to all insurers except those having direct written premium of less than $1 million in any calendar year and 1,000 policyholders or certificate holders of direct written policies nationwide at the end of the calendar year and requires annual financial reporting in the form of an annual audit of financial statements. 760 IAC 1-80 establishes a process for the commissioner to determine whether certain filings or supporting information submitted to the department shall be kept confidential as the filing or supporting information contains a trade secret. The rule imposes a $100 fee for each confidentiality request. 760 IAC 3 is the Medicare Supplement Insurance Minimum Standards rule that sets forth minimum standards for claims payment, marketing practices, compensation arrangements, and reporting practices for Medicare supplement policies and certificates. All the proposed readopted rules remain necessary and meet the standards set forth in IC 4-22-2-19.5. No less costly or less intrusive alternative methods of achieving the purposes of the rules have been identified. The rules avoid duplicating standards found in state or federal law, are written for ease of comprehension for the entities subject to them, and have practicable enforcement. There have been no significant changes to the cost benefit, fiscal impact, or regulatory burden statements prepared for the initial adoption of the proposed readopted rules. REQUEST FOR PUBLIC COMMENT The Department of Insurance is soliciting public comment on rules expiring under IC 4-22-2.6. Comments may be submitted in one of the following ways: COMMENT PERIOD DEADLINE All comments must be postmarked or time stamped not later than October 3, 2025. Legislative Notice for Rule Readoption: 20241227-IR-760240637LNA Readoption Review: 20250903-IR-760240637RAA Submitted to Publisher: August 27, 2025