PRINTER'S NO. 2123
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1605
Session of
2017
INTRODUCED BY TOBASH, JUNE 22, 2017
REFERRED TO COMMITTEE ON INSURANCE, JUNE 22, 2017
AN ACT
Amending the act of May 17, 1921 (P.L.789, No.285), entitled "An
act relating to insurance; establishing an insurance
department; and amending, revising, and consolidating the law
relating to the licensing, qualification, regulation,
examination, suspension, and dissolution of insurance
companies, Lloyds associations, reciprocal and inter-
insurance exchanges, and certain societies and orders, the
examination and regulation of fire insurance rating bureaus,
and the licensing and regulation of insurance agents and
brokers; the service of legal process upon foreign insurance
companies, associations or exchanges; providing penalties,
and repealing existing laws," in insurance producers, further
providing for imposition of additional fees.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 674-A(b) of the act of May 17, 1921
(P.L.789, No.285), known as The Insurance Department Act of
1921, is amended and the section is amended by adding
subsections to read:
Section 674-A. Imposition of additional fees.
* * *
(b) Application fee.--Notwithstanding other provisions of
this section, no insurance producer shall charge a fee for the
completion of an application for [a] an individual contract of
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insurance unless there is no commission paid by the insurer to
the insurance producer.
(c) Notice to consumers.--An insurance producer who charges
a fee in accordance with subsection (b) shall provide written
notice to the consumer regarding fees. The notice shall:
(1) clearly list the service or services for which the
fee is being charged;
(2) disclose the amount of the fee; and
(3) include the date that the fee must be paid to the
insurance producer.
(d) Consent.--Each time before a fee is charged in
accordance with this section, the consumer must consent to the
fee in writing on a separate form provided by the insurance
producer.
Section 2. This act shall take effect in 60 days.
20170HB1605PN2123 - 2 -
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