Requires insurers to notify a designated third person prior to termination of health insurance policies held by a person 65 years of age or older; imposes burden of notifying such insurer by certified mail of such third party designation.
BILL NUMBER: S5456
TITLE OF BILL :
An act to amend the insurance law, in relation to third-party notification prior to termination of health insurance policies for subscribers aged sixty-five years or older
This bill would require insurance companies to authorize their senior citizen clients to designate a third party for written notification in the event such companies forward notifications concerning the impending cancellation of the senior citizen clients' long-term care and health insurance policies.
SUMMARY OF PROVISIONS :
Section one of this bill amends subsection (c) of section 3111 of the Insurance Law, mandating that prior to cancellation of any policy of health insurance held by a person sixty-five years of age or older, notice of such impending cancellation must be given, in writing, to a third party.
A third party may be the competent adult child, competent sibling under the age of sixty-five, a competent grandchild, niece or nephew 18 years of age or older, or a person whose name and address the subscriber has provided for the insurance company pursuant to paragraph fifteen of subsection (c) of section 3216.
Section two sets out the effective date.
This bill would assist those elderly individuals who are incapable of comprehending the cancellation of their accident and health insurance policies.
LEGISLATIVE HISTORY :
FINANCIAL IMPLICATION TO STATE AND LOCAL GOVERNMENTS :
EFFECTIVE DATE : This act shall take effect on the l80th day succeeding the date on which it shall have become law and shall apply to all policies issued. renewed. altered or modified on or after such date.