CT SB00959

Extends the grace period for life insurance policy premium payments from 30 days to at least 60 days for policies delivered, issued, renewed, amended or endorsed on or after October 1, 2013.

Allows policyholders to designate a third party to receive notices of cancellation due to nonpayment of premium, with the third party's written acceptance required to make the designation effective.

Requires insurers to include a conspicuous statement with each life insurance policy specifying the right to designate a third party and providing a designation form approved by the Insurance Commissioner.

Mandates that cancellation notices sent to third party designees be mailed in envelopes clearly marked "IMPORTANT INSURANCE POLICY INFORMATION: OPEN IMMEDIATELY" and applies the same legal provisions governing notices to the insured.

Applies the same 60-day grace period requirement to life benefit certificates issued by fraternal benefit societies on or after October 1, 2013, replacing the previous 30-day requirement.