Bill Text: MI HB4619 | 2023-2024 | 102nd Legislature | Chaptered
Bill Title: Insurance: insurers; denying coverage based on gender, gender identity, or sexual orientation or expression; prohibit. Amends sec. 2027 of 1956 PA 218 (MCL 500.2027).
Spectrum: Partisan Bill (Democrat 36-0)
Status: (Passed) 2023-10-19 - Assigned Pa 156'23 [HB4619 Detail]
Download: Michigan-2023-HB4619-Chaptered.html
Act No. 156
Public Acts of 2023
Approved by the Governor
October 19, 2023
Filed with the Secretary of State
October 19, 2023
EFFECTIVE DATE: Sine Die
(91st day after final adjournment of the 2023 Regular Session
state of michigan
102nd Legislature
Regular session of 2023
Introduced by Reps. Rogers, Paiz, Fitzgerald, Miller, Brabec, Neeley, O’Neal, Byrnes, Young, Dievendorf, Rheingans, Arbit, Conlin, Grant, Price, Wilson, McKinney, Steckloff, Koleszar, Morgan, Martus, Skaggs, Scott, Hope, Brixie, Brenda Carter, Tyrone Carter, Hood, Haadsma, Farhat, Hill, McFall, Morse, Puri, Breen and Aiyash
ENROLLED HOUSE BILL No. 4619
AN ACT to amend 1956 PA 218,
entitled “An act to revise, consolidate, and classify the laws relating to the
insurance and surety business; to regulate the incorporation or formation of
domestic insurance and surety companies and associations and the admission of
foreign and alien companies and associations; to provide their rights, powers,
and immunities and to prescribe the conditions on which companies and
associations organized, existing, or authorized under this act may exercise
their powers; to provide the rights, powers, and immunities and to prescribe
the conditions on which other persons, firms, corporations, associations, risk
retention groups, and purchasing groups engaged in an insurance or surety
business may exercise their powers; to provide for the imposition of a
privilege fee on domestic insurance companies and associations and the state
accident fund; to provide for the imposition of a tax on the business of
foreign and alien companies and associations; to provide for the imposition of
a tax on risk retention groups and purchasing groups; to provide for the
imposition of a tax on the business of surplus line agents; to provide for the
imposition of regulatory fees on certain insurers; to provide for assessment
fees on certain health maintenance organizations; to modify tort liability
arising out of certain accidents; to provide for limited actions with respect
to that modified tort liability and to prescribe certain procedures for
maintaining those actions; to require security for losses arising out of
certain accidents; to provide for the continued availability and affordability
of automobile insurance and homeowners insurance in this state and to
facilitate the purchase of that insurance by all residents of this state at
fair and reasonable rates; to provide for certain reporting with respect to
insurance and with respect to certain claims against uninsured or self-insured
persons; to prescribe duties for certain state departments and officers with
respect to that reporting; to provide for certain assessments; to establish and
continue certain state insurance funds; to modify and clarify the status,
rights, powers, duties, and operations of the nonprofit malpractice insurance
fund; to provide for the departmental supervision and regulation of the
insurance and surety business within this state; to provide for regulation over
worker’s compensation self-insurers; to provide for the conservation,
rehabilitation, or liquidation of unsound or insolvent insurers; to provide for
the protection of policyholders, claimants, and creditors of unsound or
insolvent insurers; to provide for associations of insurers to protect
policyholders and claimants in the event of insurer insolvencies; to prescribe
educational requirements for insurance agents and solicitors; to provide for
the regulation of multiple employer welfare arrangements; to create an
automobile theft prevention authority to reduce the number of automobile thefts
in this state; to prescribe the powers and duties of the automobile theft
prevention authority; to provide certain powers and duties upon certain officials,
departments, and authorities of this state; to provide for an appropriation; to
repeal acts and parts of acts; and to provide penalties for the violation of
this act,” by amending section 2027 (MCL 500.2027), as amended by 1998 PA 26.
The People of the State of Michigan enact:
Sec. 2027. Unfair methods of competition and unfair or deceptive acts or practices in the business of insurance include:
(a) Refusing to insure, refusing to continue to insure, or limiting the amount of coverage available to an individual or risk because of any of the following:
(i) Race, color, creed, marital status, sex, national origin, gender, gender identity or expression, or sexual orientation, except that marital status may be used to classify individuals or risks for the purpose of insuring family units.
(ii) The residence, age, disability, or lawful occupation of the individual or the location of the risk, unless there is a reasonable relationship between the residence, age, disability, or lawful occupation of the individual or the location of the risk and the extent of the risk or the coverage issued or to be issued, but subject to subparagraph (iii). This section does not prohibit an insurer from specializing in or limiting its transactions of insurance to certain occupational groups, types, or risks as approved by the director. The director shall approve the specialization for an insurer licensed to do business in this state and whose articles of incorporation contained a provision on July 1, 1976, requiring that specialization.
(iii) For property insurance, the location of the risk, unless there is a statistically significant relationship between the location of the risk and a risk of loss due to fire within the area in which the insured property is located. As used in this subparagraph, “area” means a single zip code number under the zoning improvement plan of the United States Postal Service.
(b) Refusing to insure or refusing to continue to insure an individual or risk solely because the insured or applicant was previously denied insurance coverage by an insurer.
(c) Charging a different rate for the same coverage based on race, color, creed, marital status, sex, national origin, gender, gender identity or expression, sexual orientation, age, residence, location of risk, disability, or lawful occupation of the risk unless the rate differential is based on sound actuarial principles and a reasonable classification system, and is related to the actual and credible loss statistics or, for new coverages, reasonably anticipated experience. This subdivision does not apply if the rate has previously been approved by the director.
Clerk of the House of Representatives
Secretary of the Senate
Approved___________________________________________
____________________________________________________
Governor
