Pickett’s insurance consumer protection bills gain House approval
Morning Times, The (Sayre, PA)
HARRISBURG — Legislation that would provide protections for insurance consumers in Pennsylvania, sponsored by Rep. Tina Pickett (R-Bradford/Sullivan/Susquehanna), was passed unanimously in the House of Representatives on Monday, according to a press release from Pickett's office.
"The need for this legislation came to light a couple of years ago when a mutual insurance company in my district explained the challenges it faces in the updating of policies and providing a less confusing method for consumers," said Pickett, who chairs the House Insurance Committee. "These bills would make those necessary reforms and also ensure consumers are protected during the insurance policy renewal process."
According to the press release, Pickett's bills would allow companies that sell automobile and homeowners insurance to alter or reduce the types and limits of coverage when a policy is renewed if such changes are approved by the state insurance commissioner. The insurer must request approval of the proposed policy changes no less than 90 days before they take effect.
Under the legislation, the insurer must also provide the insured with a clearly labeled notice of the approved changes that describes them in detail at least 60 days prior to the effective date. The Pennsylvania Insurance Department is required to post any filing approvals on its website.
House Bills 1679 and 1680 will next be considered by the Senate.