Bill Text: NJ A5274 | 2018-2019 | Regular Session | Introduced


Bill Title: Permits insurers licensed in other states to provide insurance policies in New Jersey under certain circumstances.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2019-05-13 - Introduced, Referred to Assembly Financial Institutions and Insurance Committee [A5274 Detail]

Download: New_Jersey-2018-A5274-Introduced.html

ASSEMBLY, No. 5274

STATE OF NEW JERSEY

218th LEGISLATURE

 

INTRODUCED MAY 13, 2019

 


 

Sponsored by:

Assemblywoman  BETTYLOU DECROCE

District 26 (Essex, Morris and Passaic)

 

 

 

 

SYNOPSIS

     Permits insurers licensed in other states to provide insurance policies in New Jersey under certain circumstances.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act concerning the purchase of insurance coverage and supplementing Title 17B of the New Jersey Statutes.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    As used in this act:

     "Foreign insurer" means an insurer licensed to sell insurance plans in any other state in the United States.

     "Resident" means a person whose primary residence is in New Jersey and who is present in New Jersey for at least six months of the calendar year.

 

     2.    a.  Notwithstanding any other law, rule, or regulation to the contrary, a resident and an employer located in this State shall have the right to purchase an insurance policy in any line of insurance, provided the policy is legally sold by a foreign insurer in another state in accordance with the laws and regulations of that state, and the foreign insurer is willing to issue the policy to the resident or the employer. 

     b.    The purchase of health insurance coverage through a policy purchased pursuant to this act shall satisfy any legal obligation for a resident or an employer located in this State to maintain health insurance coverage imposed by any entity having the right to require that coverage be maintained, including the legal obligation established pursuant to the requirements of the "New Jersey Health Insurance Market Preservation Act,"  P.L.2018, c.31 (C.54A:11-1 et seq.).   

     c.     The purchase of automobile insurance pursuant to this act shall satisfy any legal obligation for a resident or an employer located in this State to maintain motor vehicle insurance or private passenger automobile insurance, including the legal obligation established pursuant to the requirements of the "Motor Vehicle Security-Responsibility Law," P.L.1952, c.173 (C.39:6-23 et seq.), and P.L.1972, c.197 (C.39:6B-1 et seq.).

     d.    The purchase of workers' compensation insurance pursuant to this act shall satisfy any legal obligation for an employer located in New Jersey to maintain workers' compensation insurance, including the legal obligation established pursuant to the requirements of R.S. 34:15-1 et seq.

 

     3.    a.  The Commissioner of Banking and Insurance shall adopt regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of subsections a., b., and c. of section 3 of this act.

     b.    The Commissioner of the Department of Labor and Workforce Development shall adopt regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et

seq.), to effectuate the purposes of subsection d. of section 3 of this act.

     4.    This act shall take effect on the 90th day next following enactment.

 

 

STATEMENT

 

     This bill provides a New Jersey resident and an employer located in the State with the right to purchase an insurance policy legally sold by a foreign insurer in any other state in the United States.  A foreign insurer means an insurer licensed to sell insurance plans in any other state.

     The bill provides that, notwithstanding any other law, rule, or regulation to the contrary, a resident and an employer located in the State shall have the right to purchase a health insurance policy legally sold in any other state in the United States, provided the policy is legally sold by a foreign insurer in another state in accordance with the laws and regulations of that state, and the foreign insurer is willing to issue the policy to the resident or the employer. 

     The bill provides that the purchase of health insurance coverage through a policy purchased pursuant to this bill shall satisfy any legal obligation for a resident or an employer located in this State to maintain health insurance coverage imposed by any entity having the right to require that coverage be maintained, including the legal obligation established pursuant to the requirements of the "New Jersey Health Insurance Market Preservation Act," P.L.2018, c.31 (C.54A:11-1 et seq.). 

     The bill provides that the purchase of automobile insurance pursuant to the bill shall satisfy any legal obligation for a resident or an employer located in this State to maintain motor vehicle insurance or private passenger automobile insurance, including the legal obligation established pursuant to the requirements of the "Motor Vehicle Security-Responsibility Law," P.L.1952, c.173 (C.39:6-23 et seq.), and P.L.1972, c.197 (C.39:6B-1 et seq.).

     The also provides that the purchase of workers' compensation insurance pursuant to the bill shall satisfy any legal obligation for an employer located in New Jersey to maintain workers' compensation insurance, including the legal obligation established pursuant to the requirements of R.S. 34:15-1 et seq.

     Finally, the bill requires: the Commissioner of Banking and Insurance to adopt regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of subsections a., b., and c. of section 3 of the bill; and

the Commissioner of the Department of Labor and Workforce Development to adopt regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of subsection d. of section 3 of the bill.

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