AZ SB1279

Amends Arizona Revised Statutes section 20-461 to modify the definition of unfair claim settlement practices by insurers.

Clarifies that property and casualty insurers must recognize valid assignments of claims after a loss occurs, while retaining policy-related defenses and notice rights.

Adds requirement that insurers cannot deny liability under motor vehicle policies based solely on a medical condition affecting the insured's driving ability without substantial facts from reasonable investigation.

Grants a private cause of action for policyholders under health insurance plans (subject to sections 20-826, 20-1342, 20-1402, or 20-1404) to sue for violations involving physician payment denials, with prevailing parties entitled to attorney fees and declaratory relief only.

Makes minor grammatical corrections throughout the statute, changing "upon" to "on" and "which" to "that."