Engrossed Senate Bill No. 823 Summary

• Requires service warranty association identity and license number to be preprinted on all service contracts issued on or after July 1, 2016.

• Authorizes Insurance Commissioner to exempt certain documents or forms from filing requirements when not practicably applicable or necessary for public protection.

• Defines eight unfair or deceptive practices including misrepresentation, false advertising, defamation, false statements, unfair claim settlement practices, failure to maintain complaint records for three years, discriminatory refusal to issue contracts, and failure to provide sample terms and conditions prior to sale.

• Creates new examination authority for claim files with required detailed notes and work papers; establishes 30-day response deadlines for commissioner inquiries and claimant communications; imposes civil penalties of $100 to $5,000 for violations.

• Authorizes Insurance Commissioner to issue ex parte cease and desist orders for unauthorized warranty associations or fraudulent/hazardous conduct; provides for hearing within 10 days of request and allows recovery of reasonable attorney fees for enforcement; effective November 1, 2015.