CT SB00012

Prohibits insurers and health care centers from rescinding, canceling, or limiting health insurance policies based on application information unless medical underwriting was completed before the policy was issued (effective October 1, 2010).

Bars rescission, cancellation, or limitation of short-term health insurance policies (less than one year duration) based on any written information submitted or omitted from applications.

Eliminates the two-year time limit for rescissions, cancellations, or limitations based on application information.

Requires insurers seeking to rescind, cancel, or limit coverage to apply to the Insurance Commissioner, with the applicant given seven business days to respond and the Commissioner issuing a decision within fifteen business days.

Mandates insurers accepting telephonic applications to provide disclosures on policy duration, preexisting conditions, exclusionary periods, and premiums; retain recordings for two years; and mail applicants a confirmation letter with a ten-day rescission period.

Holds insurance producers and agents jointly and severally liable with insureds for claims resulting from information they knowingly omit or misrepresent on applications.