House Bill No. 5859

Public Act No. 00-105

An Act Concerning Insurance Producers And Technical Corrections.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Section 38a-782a of the general statutes is repealed and the following is substituted in lieu thereof:

The commissioner may adopt regulations in accordance with chapter 54 [such reasonable regulations as he may deem necessary] relating to the establishment of continuing education requirements for persons licensed as an insurance producer, provided the commissioner shall suspend such requirements for any person who is a public official during the period such person serves as a public official, if the person is prohibited from selling insurance during that period. As used in this section, "public official" means any state-wide elected officer, any member or member-elect of the General Assembly, or a senator or representative in Congress.

Sec. 2. Section 38a-296 of the general statutes is repealed and the following is substituted in lieu thereof:

As used in sections 38a-295 to 38a-300, inclusive:

[(a)] (1) "Policy" means any policy, contract, certificate, plan or agreement for life insurance, health insurance, credit life insurance, credit health insurance, annuities, certificates issued pursuant to any group insurance policy, individual personal line dwelling insurance on one to four-family units and personal line automobile insurance designed primarily for personal, family or household needs, delivered or issued for delivery in this state by any company or insurer.

[(b)] (2) "Company" or "insurer" means any insurance company, fraternal benefit society, nonprofit hospital service corporation, nonprofit medical service corporation, health care center or other institution organized for the purpose of providing insurance.

[(c)] (3) "Commissioner" means the Insurance Commissioner.

Sec. 3. Section 38a-290 of the general statutes is repealed and the following is substituted in lieu thereof:

No insurance company doing business in this state shall limit the time within which any suit shall be brought against it or any claim shall be submitted to arbitration on [(a)] (1) a fidelity or surety bond to a period less than three years from the time when the loss insured against occurs; [(b)] (2) a construction performance bond to a period less than three years from the date on which the principal last performed work under the contract; [(c)] (3) a construction payment bond to a period less than three years from the date on which the claimant last performed work or supplied material for which the claim is made; and [(d)] (4) all other policies to a period less than one year from the time when the loss insured against occurs. This section shall not apply to suits and arbitration claims under the uninsured or underinsured motorist provisions of a motor vehicle insurance policy.

Sec. 4. Section 38a-646 of the general statutes is repealed and the following is substituted in lieu thereof:

As used in sections 38a-645 to 38a-658, inclusive, except as otherwise provided herein:

[(a)] (1) "Credit life insurance" means insurance on the life of a debtor pursuant to or in connection with a specific loan or other credit transaction;

[(b)] (2) "Credit accident and health insurance" means insurance on a debtor to provide indemnity for payments becoming due on a specific loan or other credit transaction while the debtor is disabled as defined in the policy;

[(c)] (3) "Creditor" means the lender of money or vendor or lessor of goods, services, property, rights or privileges for which payment is arranged through a credit transaction or any successor to the right, title or interest of any such lender, vendor or lessor, and an affiliate, associate or subsidiary of any of them or any director, officer or employee of any of them or any other person in any way associated with any of them;

[(d)] (4) "Debtor" means a borrower of money or a purchaser or lessee of goods, services, property, rights or privileges for which payment is arranged through a credit transaction;

[(e)] (5) "Indebtedness" means the total amount payable by a debtor to a creditor in connection with a loan or other credit transaction.

Sec. 5. This act shall take effect July 1, 2000.

Approved May 26, 2000