Weekly Tip: IIPRC Summer Meeting Highlights

 

Weekly Tips

IIPRC Summer Meeting Highlights

8/2/2016

Last week the Insurance Compact met in-person during the NAIC Summer Meeting in San Diego, CA. In this week’s Weekly Tip, we will share highlights of the actions that took place during this meeting.

First, the Product Standards Committee made a recommendation to the Management Committee pertaining to the individual long-term care insurance Uniform Standards that have been subject to the Five-Year Review process. Certain amendments to these Uniform Standards were recommended to be published for a 60-day public comment period, leading up to a public hearing and potential adoption before the end of the year. The recommended amendments now subject to the public comment period will be posted to the Docket on the IIPRC Website later this week. All filers of individual long-term care insurance products and riders are encouraged to review these amendments during the open comment period and share your comments with the Commission directly or through the Industry Advisory Committee.

Second, the Management Committee approved and the Commission adopted the war exclusion amendments to the individual life insurance policy Uniform Standards. These amendments were the result of a request from the Connecticut Department of Insurance. The amendment deletes Subsection (1)(a)(ii) of the war exclusion provision. The amendment eliminates confusion and further clarifies that the Uniform Standards do not permit individual life insurance policies to contain a death benefit exclusion for known members of the military that die as a result of any act related to military service. Additionally, the term “United States” will be added to Subsection (1)(a)( i) to clarify that this prohibition on war exclusions applies to members of the United States military, military reserves or the National Guard and not members of the military of another nation. These amendments will become effective in early December and apply on a going-forward basis.

Lastly, the Insurance Compact extended a stay of effectiveness of the group disability income insurance Uniform Standards for both Montana and Wyoming as they work on their respective regulations to opt out.

If you have any questions about this Weekly Tip or the IIPRC, please contact the IIPRC Office at Comments@insurancecompact.org.