S T A T E   O F   N E W   Y O R K
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                                  1672

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                            January 13, 2015
                               ___________

Introduced  by  Sen.  SEWARD -- read twice and ordered printed, and when
  printed to be committed to the Committee on Insurance

AN ACT to amend the insurance law, in relation  to  life,  accident  and
  health  insurance; discriminating and rebating; prohibited inducements
  and independent sales

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Subsection  (f)  of  section 4224 of the insurance law is
amended by adding a new paragraph 3 to read as follows:
  (3) NOTWITHSTANDING SUBSECTION (C) OF THIS SECTION, A  LICENSED  AGENT
OR  INSURANCE BROKER MAY PROVIDE THE FOLLOWING SERVICES WITHOUT CHARGING
A SERVICE FEE OR, IN THE CASE OF A  LICENSED  INSURANCE  BROKER,  FOR  A
SEPARATE SERVICE FEE PURSUANT TO A WRITTEN MEMORANDUM MADE IN ACCORDANCE
WITH SUBSECTION (C) OF SECTION TWO THOUSAND ONE HUNDRED NINETEEN OF THIS
CHAPTER,  IF  SUCH SERVICES ARE PROVIDED IN A FAIR AND NONDISCRIMINATORY
MANNER AND INCIDENTAL TO A GROUP OR BLANKET POLICY OR CONTRACT  SOLD  BY
THE INSURANCE AGENT OR INSURANCE BROKER:
  (I)  RISK ASSESSMENT, INCLUDING IDENTIFYING SOURCES OF RISK AND DEVEL-
OPING STRATEGIES FOR ELIMINATING OR LIMITING THOSE RISKS;
  (II) INSURANCE CONSULTING SERVICES OR OTHER INSURANCE-RELATED ADVICE;
  (III) INSURANCE-RELATED REGULATORY AND LEGISLATIVE UPDATES;
  (IV) CERTAIN CLAIMS ASSISTANCE SERVICES (INCLUDING THE PREPARATION  OF
CLAIMS FORMS), BUT EXCLUDING ADJUSTMENT, UNLESS THE EXCEPTIONS SET FORTH
IN  SUBSECTION (G) OF SECTION TWO THOUSAND ONE HUNDRED ONE OF THIS CHAP-
TER ARE SATISFIED;
  (V) TAX PREPARATION ON BEHALF OF AN EMPLOYER  OF  SCHEDULE  A  OF  THE
INTERNAL REVENUE SERVICE FORM FIFTY-FIVE HUNDRED ANNUAL RETURN/REPORT OF
EMPLOYEE  BENEFIT  PLAN,  WHICH REQUESTS INFORMATION REGARDING INSURANCE
CONTRACT  COVERAGE,  FEES,  AND  COMMISSIONS,  INVESTMENT  AND   ANNUITY
CONTRACTS, AND WELFARE BENEFIT CONTRACTS;

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04648-01-5

              

S. 1672                             2

  (VI) INFORMATION TO GROUP POLICY OR CONTRACT HOLDERS AND MEMBERS UNDER
GROUP INSURANCE POLICIES CURRENTLY IN PLACE, AS WELL AS FORMS NEEDED FOR
PLAN  ADMINISTRATION,  ENROLLMENT  IN A PLAN, INSURER WEBSITE LINKS, AND
ANSWERS TO FREQUENTLY ASKED QUESTIONS RELATED TO THE INSURANCE  (INCLUD-
ING,  FOR  EXAMPLE,  ACCESS  THROUGH A WEBSITE, CREATED BY THE INSURANCE
PRODUCER, TO AN EMPLOYEE BENEFIT PORTAL THAT CONTAINS SUCH INFORMATION);
  (VII) CERTAIN SERVICES PERFORMED PURSUANT TO THE FEDERAL  CONSOLIDATED
OMNIBUS  BUDGET  RECONCILIATION  ACT  (COBRA),  SUCH  AS  BILLING FORMER
EMPLOYEES, COLLECTING THE INSURANCE PREMIUMS, AND FORWARDING THE  AGGRE-
GATE PREMIUMS TO THE EMPLOYER POLICY OR CONTRACT HOLDER OR TO THE INSUR-
ER, WHEN OFFERED IN CONNECTION WITH THE PROVISION OF ACCIDENT AND HEALTH
INSURANCE; AND
  (VIII) CERTAIN SERVICES PROVIDED IN ACCORDANCE WITH THE FEDERAL HEALTH
INSURANCE  PORTABILITY  AND ACCOUNTABILITY ACT, SUCH AS THOSE PERTAINING
TO HEALTH CARE ACCESS, PORTABILITY, AND RENEWABILITY,  WHEN  OFFERED  IN
CONNECTION WITH THE PROVISION OF ACCIDENT AND HEALTH INSURANCE.
  S 2. This act shall take effect immediately.