HB 5205 Summary

• Expands coverage of the Connecticut Life and Health Insurance Guaranty Association to include health care center subscriber contracts and certificates, treating them as covered policies alongside traditional life and health insurance.

• Increases the board of directors size from 5-9 members to 7-11 members and clarifies membership to include health care centers as member insurers.

• Adds new protections for long-term care riders to life insurance policies and annuity contracts, treating them as the same type of benefits as the underlying base policy or contract.

• Excludes structured settlement annuity benefits where payees have transferred their rights in a factoring transaction, and excludes certain government healthcare programs (Medicare Part C, Part D, and Medicaid).

• Updates assessment methodologies to separately allocate long-term care insurance assessments (50% to health insurers, 50% to life/annuity insurers) and allows the association to file for actuarially justified rate increases on policies it covers.