HB1268 (2010) Detail

Prohibiting the use of a person's occupation when obtaining insurance coverage.


HB 1268-FN – AS INTRODUCED

2010 SESSION

10-2506

01/03

HOUSE BILL 1268-FN

AN ACT prohibiting the use of a person’s occupation when obtaining insurance coverage.

SPONSORS: Rep. Hatch, Coos 3

COMMITTEE: Commerce and Consumer Affairs

ANALYSIS

This bill prohibits the use of a person’s occupation when obtaining insurance coverage.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

10-2506

01/03

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Ten

AN ACT prohibiting the use of a person’s occupation when obtaining insurance coverage.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 New Paragraph; Unfair Insurance Practices; Occupation. Amend RSA 417:4 by inserting after paragraph XXII the following new paragraph:

XXIII. OCCUPATION. Requesting information concerning a person’s occupation and using such information to rate or underwrite insurance coverage.

2 Effective Date. This act shall take effect January 1, 2011.

LBAO

10-2506

11/10/09

HB 1268-FN - FISCAL NOTE

AN ACT prohibiting the use of a person’s occupation when obtaining insurance coverage.

FISCAL IMPACT:

      The Insurance Department states this bill will increase state general fund revenue, state expenditures, county expenditures, and local expenditures by an indeterminable amount in FY 2011 and each year thereafter. There is no fiscal impact on county and local revenue.

METHODOLOGY:

    The Insurance Department states this bill prohibits requesting information on a person’s occupation to rate or underwrite insurance coverage. The Department states the use of a person’s occupation is a critical element to establish the premium for workers’ compensation insurance, is considered in the pricing of many products for commercial lines of business, and is used by a small number of property and casualty insurers for personal auto insurance. Prohibiting the use of information of a person’s occupation to rate or underwrite insurance coverage will result in increased premium costs and increased premium tax revenues. The Department does not have the information to project the increase in costs or revenue.