Bill Text: IA HF398 | 2013-2014 | 85th General Assembly | Enrolled
Bill Title: A bill for an act relating to the duties and responsibilities of insurance producers under insurance policies or contracts. Effective 7-1-14.
Spectrum: Committee Bill
Status: (Passed) 2014-05-23 - Signed by Governor. H.J. 896. [HF398 Detail]
Download: Iowa-2013-HF398-Enrolled.html
House
File
398
AN
ACT
RELATING
TO
THE
DUTIES
AND
RESPONSIBILITIES
OF
INSURANCE
PRODUCERS
UNDER
INSURANCE
POLICIES
OR
CONTRACTS.
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
Section
1.
Section
522B.1,
Code
2014,
is
amended
by
adding
the
following
new
subsection:
NEW
SUBSECTION
.
12A.
“Policy
owner”
means
a
person
who
is
identified
as
the
legal
owner
of
an
insurance
policy
or
contract
under
the
terms
of
the
insurance
policy
or
contract,
or
who
is
otherwise
vested
with
legal
title
to
the
insurance
policy
or
contract
through
a
valid
assignment
completed
in
accordance
with
the
terms
of
the
insurance
policy
or
contract
and
is
properly
recorded
as
the
legal
owner
of
the
policy
or
contract
in
the
records
of
the
insurer.
“Policy
owner”
does
not
include
a
person
who
has
a
mere
beneficial
interest
in
an
insurance
policy
or
contract.
Sec.
2.
Section
522B.11,
subsection
7,
Code
2014,
is
amended
by
adding
the
following
new
paragraphs:
NEW
PARAGRAPH
.
c.
Notwithstanding
the
holding
in
Pitts
v.
Farm
Bureau
Life
Ins.
Co.,
818
N.W.2d
91
(Iowa
2012),
an
insurance
producer,
while
acting
within
the
scope
and
course
of
the
license
provided
for
by
this
chapter,
is
not
in
the
business
of
supplying
information
to
others
unless
the
requirements
of
paragraph
“a”
relating
to
expanded
duties
and
responsibilities
are
met.
NEW
PARAGRAPH
.
d.
Neither
an
insurance
producer
nor
an
insurer
has
a
duty
to
change
the
beneficiary
of
an
insurance
policy
or
contract
unless
clear
written
evidence
of
the
policy
owner’s
intent
to
change
a
beneficiary
of
the
policy
or
contract
is
presented
to
the
insurance
producer
or
insurer
House
File
398,
p.
2
in
the
manner
required
by
the
policy
or
contract
prior
to
the
payment
of
any
insurance
benefits
under
the
policy
or
contract.
Such
evidence
shall
be
provided
in
the
same
manner
as
a
claim
for
benefits
under
the
policy
or
contract.
NEW
PARAGRAPH
.
e.
Notwithstanding
the
holding
in
St.
Malachy
Roman
Catholic
Congregation
v.
Ingram,
841
N.W.2d
338
(Iowa
2013),
an
insurance
producer
owes
any
duties
and
responsibilities
referred
to
in
this
subsection
only
to
the
policy
owner,
the
person
in
privity
of
contract
with
the
insurance
producer,
and
the
principal
in
the
agency
relationship
with
the
insurance
producer.
______________________________
KRAIG
PAULSEN
Speaker
of
the
House
______________________________
PAM
JOCHUM
President
of
the
Senate
I
hereby
certify
that
this
bill
originated
in
the
House
and
is
known
as
House
File
398,
Eighty-fifth
General
Assembly.
______________________________
CARMINE
BOAL
Chief
Clerk
of
the
House
Approved
_______________,
2014
______________________________
TERRY
E.
BRANSTAD
Governor
