ND HB1194

Creates a new section to chapter 26.1-36 of the North Dakota Century Code defining and regulating short-term care insurance as policies providing coverage for less than twelve consecutive months for diagnostic, preventative, therapeutic, rehabilitative, maintenance, adult day care, or personal care services.

Requires all short-term care insurance policies and riders to comply with the new section and all other applicable insurance laws.

Authorizes the insurance commissioner to adopt rules covering disclosure standards, loss ratio standards, premium adequacy, policyholder protections against rate increases, and standards for correcting abusive marketing practices.

Establishes penalties of up to three times the commission paid per policy or $10,000, whichever is greater, for insurers and insurance producers who violate short-term care insurance regulations or marketing requirements.

Passed unanimously in both chambers: House voted 88-0 (6 absent) and Senate voted 46-0 (1 absent).