Introduced by Rep. Mary Whiteford R-South Haven on June 9, 2022
To repeal provisions of a 1933 law aimed at preventing runs on insurance companies. The law
established that “during any period of public calamity resulting in abnormal financial losses to and unforeseen and excessive disbursements by any insurance company,” the state insurance commissioner may adopt “special regulations” that prescribe limits or restrictions on “disbursements, loans, investment of funds or other disposition of assets” that are deemed necessary “for the preservation of the rights of all of the (insurance company’s) policy-holders.” Amending this largely-obsolete Great Depression-era law is part of a Republican legislative package revising various laws to incorporate lessons learned from the 2020 coronavirus epidemic. Official Text and Analysis.
Referred to the House Oversight Committee on June 9, 2022
Reported in the House on June 22, 2022
Without amendment and with the recommendation that the bill pass.