Bill Summary: HB05365

• Modifies public health fee reporting requirements for domestic insurers and health care centers, imposing a $100 per day late filing fee for missed September 1 annual reports and up to $15,000 civil penalty for discrepancies in reported insured lives.

• Permits the Insurance Commissioner to engage third-party attorneys, actuaries, accountants and experts to perform financial analysis, license application reviews, and holding company transaction reviews previously limited to department employees.

• Comprehensive overhaul of the Insurance Data Security Law requiring licensees to implement cybersecurity programs by October 1, 2021, establish risk assessments, conduct incident response planning, and notify the commissioner within three business days of cybersecurity events affecting 250+ Connecticut consumers.

• Requires licensees to notify consumers of cybersecurity breaches under section 36a-701b and specifies notification obligations for reinsurers and insurance producers regarding third-party service provider breaches.

• Adjusts assessment payment schedules for domestic insurance companies, allowing single lump-sum payment when first installment is due and requiring recalculation of assessments based on actual fiscal year expenditures.