Senate Bill No. 170 Summary

• Creates a new chapter in Indiana Code (IC 27-2-23) establishing protections for "innocent coinsured" individuals under property and casualty insurance policies.

• Defines an innocent coinsured as an individual insured under a property or casualty policy who did not cooperate in or contribute to a property loss caused by another insured, signs a sworn affidavit to this effect, and cooperates with investigations and prosecutions.

• Prohibits insurers from denying, excluding, or limiting claim payments from innocent coinsured individuals for property losses, except where the claim exceeds the coinsured's interest in the property or the policy coverage limits.

• Prohibits insurers from refusing to issue or renew a policy, or adding surcharges or rating factors to premiums, based solely on an individual's status as an innocent coinsured.

• Takes effect July 1, 2013 and applies to policies entered into, amended, or renewed after June 30, 2013.