INSC. FOR DOMESTIC ASSAULT VICTIM - S.B. 434 (S-1): FLOOR ANALYSIS

Senate Bill 434 (Substitute S-1 as reported by the Committee of the Whole)

Sponsor: Senator Dianne Byrum

Committee: Health Policy and Senior Citizens

CONTENT

The bill would amend the Insurance Code to prohibit insurers from rating, canceling coverage on, refusing to provide coverage for, or refusing to issue or renew a policy or certificate solely because an insured or applicant for insurance was or had been a victim of domestic violence. The bill would apply to insurers that issue or renew expense-incurred hospital, medical, or surgical policies. The bill specifies that it would not prevent an insurer from inquiring about, underwriting, or charging a different premium on the basis of an individual's physical or mental condition, regardless of the cause of the condition.

The bill also specifies that an insurer could not be held civilly liable for any cause of action that could result from compliance with the bill's provisions.

"Domestic violence" would mean "inflicting bodily injury, causing serious emotional injury or psychological trauma, or placing in fear of imminent physical harm by threat or force a person who resides or has resided with or who has a child in common with the person committing the violence".

The bill would apply to policies and certificates issued or renewed on or after 60 days following the bill's effective date.

Proposed MCL 500.3406j - Legislative Analyst: S. Margules

FISCAL IMPACT

The bill would have no apparent fiscal impact on State or local government.

Date Completed: 5-6-97 - Fiscal Analyst: J. Walker

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This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.