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NAMIC 2006 Survey of New State Insurance Laws Summary and Analysis

2006 SUMMARY OF NEW STATE LAWS - NORTH CAROLINA

North Carolina State Legislative Website

BILL #

CHAPTER #

ISSUE

BILL DESCRIPTION

HB 1248

173

Identity Theft - security breach

Amends the identity theft protection act; relates to security breaches involving a state agency or its political subdivisions, or any agent or employee of a government agency; provides that a record, with identifying information removed or redacted, is a public record if it would otherwise be a public record but for the identifying information; provides that any person has the right to request that the Department of the Secretary of State remove the person's identifying information from a public record. Effective: varies

HB 1891

196

Tax Issues

Simplifies application of the additional gross premiums taxes on fire and lightning coverage; amends provisions regarding marine and automobile contracts and rates on property coverage contracts; provides that a percentage of the net proceeds must be credited to the Department of Insurance for disbursement; relates to farm owners multiple peril coverage, homeowners multiple peril, earthquake, aircraft, boilers and machinery insurance, self-insurers, reporting requirements and the Volunteer Firefighter Fund. Effective: varies.

SB 277

145

Catastrophe related legislation

Provides for a voluntary mediation program for residential property insurance claims caused by disasters; requires sellers of property insurance to disclose major perils that are not covered; provides for the tolling of time periods in property insurance policies in disaster situations; provides for the tolling of time periods if the operations of the Department of Insurance are interrupted by force majeure; authorizes motor vehicle self-insurance for certain religious organizations. Effective: varies.

SB 602

264

Omnibus insurance law changes

Makes technical corrections and conforming changes to the general statutes as recommended by the general statutes commission, and makes various other changes to the general statutes and session laws; relates to property tax appraisals, sales and use tax, tax debt, wine taxes, the department of insurance, and insurance companies. Effective: varies.

SB 615

105

Omnibus insurance law changes

Makes technical corrections to the insurance law; amends the insurance holding company act; relates to proof of motor vehicle insurance documents, surety bond cancellation for motor vehicle dealers, insurance documents that are not public records, surplus lines filing requirements, third-party administrator liability for representation of unlicensed insurers, group annuity contract certificates, and dividend distribution restrictions based on domestic stock insurer surplus. Effective: varies

SB 774

140

Motor vehicle insurance - traffic safety

Modifies the seat belt use statutes to enhance the use of seat belts; provides that each occupant of a motor vehicle manufactured with seat belts shall have a seat belt properly fastened about his or her body at all times when the vehicle is in forward motion on a street or highway; relates to agricultural vehicles used for intrastate commerce; relates to motor homes; provides penalties. Effective: Dec. 1, 2006.

SB 881

213

Motor vehicle insurance - auto coverage issues

Revises penalties for operating a motor vehicle without a liability insurance policy; provides that an insurer shall notify the Division of actions on insurance policies in regards to issuance of new or replacement policies, termination or failure to renew and reinstatement; provides for revocation of registration, re-registration fees, forms of notice, trade secret protection, time periods and civil penalties by the Commissioner of Insurance against an insurer who fails to make a timely notification. Effective: July 1, 2008.

SB 1289

177

Motor vehicle insurance --teen drivers

Provides an act to reduce fatalities among new teen drivers by making the use of a mobile phone unlawful for a person less than eighteen years of age who holds a provisional license while driving a motor vehicle on a public street, highway or public vehicular area; includes additional technology such as a camera, electronic mail, music, the Internet or games; includes a driver with a full provisional license; prohibits driver license point assessments or insurance surcharges for failure to comply. Effective: Dec. 1, 2006.

The information contained in this summary is not intended as a portrayal of every property/casualty-related law enacted in each state. Rather, it represents recently enacted legislation specifically identified by NAMIC State and Regulatory Affairs Staff as bearing direct relevance to those issues that represent NAMIC's National State Legislative Agenda or otherwise deemed pertinent to the interests of the majority of NAMIC members.

This summary is for use as a convenient tool for our members, and is not intended, and should not be considered to be, legal advice. Please consult your legal representatives.