Governor Bush Signs Insurance Anti-Fraud Package HB 561 6/29/06
Jan 12, 2007
The Insurance Anti-Fraud package, House Bill 561, was signed by the Governor on Tuesday. The package includes provisions increasing the penalties for organizing or committing motor vehicle insurance fraud, and also creates a rebuttable presumption that a person was not involved in a car accident if that person’s name does not appear on the corresponding police report. Additionally, the bill requires health care clinics to display anti-fraud reward signs in conspicuous locations in the facilities and creates additional penalties for self-referring and kickbacks. The bill also contains additional penalties for transacting insurance business without a license.
On another note, House Bill 1361 relating to debt cancellation products was vetoed by the Governor on Tuesday. This bill would have allowed authorized insurers to sell debt cancellation liability insurance to creditors. The bill also contained provisions related to various insurance matters, including creating certain requirements for health insurance identification cards and allowing discount medical plan organizations more latitude in their filings with the Office of Insurance Regulation.
Please feel free to contact this office with any questions or concerns you may have.
Regards,
Fred Karlinsky