or insurance producer who issued or sold the policy, the policy
shall be considered void and the parties shall be in the same
position as if no policy had been issued.
Section 11. Minimum standards.
Short-term limited duration insurance policies must comply
with the standards set forth for basic medical-surgical expense
coverage and basic hospital expense coverage in the act of May
18, 1976 (P.L.123, No.54), known as the Individual Accident and
Sickness Insurance Minimum Standards Act.
Section 12. Sales limitations.
(a) Prohibitions.--The following shall apply:
(1) An insurer may not issue more than one short-term
limited duration insurance policy per calendar year to an
enrollee.
(2) An insurance producer may not sell more than one
short-term limited duration insurance policy per calendar
year to an enrollee.
(b) Policy may be renewed.--Notwithstanding subsection (a),
a policy issued or sold may be renewed, consistent with section
9, during the same calendar year in which the policy is issued
or sold.
(c) Association or trust.--If a short-term limited duration
insurance policy is issued to, or offered through, an
association or a trust or trustees of a trust that is
established or participated in by one or more associations, to
insure association members or spouses or dependents of members,
the association must meet the bona fide association requirements
in section 621.2 of the act of May 17, 1921 (P.L.682, No.284),
known as The Insurance Company Law of 1921, and the coverage
provided by the policy must be in compliance with all
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