Indiana Key Facts

Free Look on Replacement Policy

20 days after policy delivery

Opt Out

If a licensee is required to provide an opt out notice, it must provide a clear and conspicuous notice to consumers that accurately explains the right to opt out.

Continuing Coverage

If a person employed by the same small employer for at least 1 year and continuously covered under a health insurance plan for at least 90 days loses coverage because of termination of employment , reduction in hours, dissolution of marriage, or attainment of a specified age, he is entitled to continuing coverage. Entitled to conversion if worked under 1 year and had at least 90 days of coverage.

LTC Insurance Producers

Insurance producers offering long-term care insurance in Indiana must pass an initial 9 hours of continuing education in long term care and long term care insurance, then complete 65 hours of continuing education in long term care or long term care insurance very 2 years for a total of 10 hours every 3 year license renewal period.

Change of Address

Licensees must inform the Commissioner of a change of address within 30 days of the change.

Rebating

Rebating involves knowingly permitting in a contract of insurance: 1 - Valuable consideration other than that plainly expressed in the contract 2-paying as an inducement to insurance any rebate of premiums or any special favor or advantage int he dividends, savings or other benefit 3 - any inducement not specified in the contract

Indiana Children's health Insurance Program

To be eligible to enroll: Must be younger than 19 Be from a family with annual income between 150 and 300 percent of the federal income poverty level.

Settlement

When a death claim is made under a life insurance policy, settlement must be made not later than two months after the insurer receives proof of death.

Business entity

A business entity is required to obtain an insurance producer license after paying the required fees and designating an individual licenses producer responsible for the entity's compliance with the state's insurance laws and administrative rules. The commissioner may issue a certificate of authority to any insurance company when it complies with the law. Before being issued a certificate, the company MUST submit to the commissioner a sound plan of operation and show the character and experience of it's directors and officers assures a successful operation.

Lapsed license

A producer license that has lapsed may be reinstated within 12 months without passing the examination if continuing education requirements are current. A penalty of 3x the renewal fee is required. The department may waive the penalty if the renewal fee is received at least 30 days after expiration.

Small Employer

A small employer is one actively engaged in business who, on at least 50 percent of the working days during the preceding calendar year, employed at least 2 but no more than 50 eligible employees, majority of whom work in Indiana.

Grace period Life Insurance

All Indiana Life insurance policies must allow a grace period of at least 30 days.

Eligibility of Employess

Eligible Employee means: Work at least 30 hours a week Meets any waiting period

Eligible groups for Life Insurance

Eligible groups for life insurance delivered in Indiana must be employer groups, creditor groups, labor union groups, association groups, or credit union groups.

boycott, Coercion or Intimidation

Entering into an agreement to commit an act of boycott, coercion, or intimidation resulting in unreasonable restraing of, or a monopoly in the business of insurance is an unfair insurance trade practice.

License Application

If the Commissioner refuses to renew or denies a license application, the applicant or licensee must be advised of this fact in writing and, within 63 days, may demand a hearing to determine the reasonableness of the action. In addition to or in lieu of any denial, suspension, or revocation of a license for cause, a person may, after a hearing, be subject to a civil penalty between $50 and 10,000. If a person has engaged in an unfair method of competition or deceptive act or practice, an order will be issued to cease and desist from the activity, and a fine not exceeding 25,000 may be imposed. If willingly know of violation - up to 50,000.

Illegal Inducement

Illegal inducement involves issuing agency company stock, other capital stock, shares in a corporation, securities, or special or advisory board contracts promising returns and profits as an inducement to insurance.

Individual accident and Sickness

Individual accident and sickness policies and coverage under non employer based associate group policies may NOT contain pre-existing condition limitations of more than 12 months. Insurers must reduce the period allowed for pre-existing conditions by the time an individual has been continuously insured under a small employer group plan if she applies for a policy at least 30 days after group coverage expires

Newborn

Individual and group accident and sickness policies and contracts that provide coverage on an expense incurred or provision of service basis for individuals and family members MUST provide the same benefits to a newly born child, except if the pregnancy was a condition existing prior to issuing the policy.

Adopted Children

Individual or group health and accident policies and HMO must cover newly adopted children of insureds and enrollees with coverage the same as for other dependents.

Indiana Life Insurance

Life insurance policies MUST contain a 10 day Free look after the policy is received and to have a full refund of all money paid.

Continuing Education

Resident insurance producers MUST complete at least 24 hours of continuing education every 2 years. Limited Lines producers with a Title qualification MUST complete at least 7 hours of continuing education.

ICHIA

THe Indiana Comprehensive Health Insurance Association assures that health insurance is available to eligible Indiana residents who are not eligible for Medicate and do not have group coverage. ICHIA policies impose a 500 deductible per person per policy year and a mandatory coinsurance requirement of 20 %.

Temporary Insurance Producer License

The Commissioner may issue a temporary insurance producer license, not to exceed 180 days under special circumstances.

Indiana's Department of Insurance

The Indiana's Department of Insurance is charged with the organization, supervision, and regulation of insurance companies under its jurisdiction. The Dept is responsible for the enforcement, administration, and execution of the provisions of the Insurance code and other statutes applicable to the business of insurance.

Viatical Settlement Contracts

The amount payable under a viatical settlement contract must be paid in a lump sum to a trust or escrow account. The contract must provide for unconditional rescission by the viator within 15 days after receiving the proceeds or 30 days after executing the contract, whichever is longer.

Examination of Insurers

The commissioner may conduct an examination of any insurer as often as he or she considers appropriate, but at a minimum, examinations must be conducted of every insurer licensed in Indiana at least once every 5 years.

Free Look Accident and Sickness

The minimum free look period for accident and sickness policies is 10 days, during which the policy may be returned and the insured will receive a refund of any premiums paid.

Policy Summary

The policy summary must consist of a separate document.

Twisting

Twisting is a misrepresentation to induce a policyholder to lapse, forfeit, or surrender insurance and is prohibited.

Viatical Settlement Brokers

Viatiical settlement brokers and anyone who solicits, offers, or attempts to negotiate a viatical settlement contract, MUST be licensed as an insurance producer with a life Qualification.