House of Representatives State of Utah


         UTAH STATE CAPITOL COMPLEX . 350 STATE CAPITOL
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Graphic file number 0 named letter~1.jpg with height 78 p and width 81 p Left aligned
         P.O. BOX 145030 . SALT LAKE CITY, UTAH 84114-5030 . (801) 538-1029
        February 1, 2013

Madam Speaker:

    The Business and Labor Committee reports a favorable recommendation on H.B. 259, INSURANCE AMENDMENTS, by Representative J. Bird, with the following amendments:

1.    Page 2, Lines 28 through 35 :    

             28          (2) For an errors and omissions policy issued on or after May 14, 2013

{   ,   }        :

(a)  
the

             29      policyholder may cancel the errors and omissions insurance policy before its expiration or
             30      renewal date
  according to the procedure for cancellation set forth in the errors and omissions policy; and

(b) an insurer may not issue an errors and omissions policy that has fully earned premium upon issuance of the errors and omissions policy  
.

             31          (3) If the errors and omissions insurance policy is cancelled as provided in Subsection
             32      (2), the insurer shall refund the unearned premium to the policyholder minus any charge
             33      imposed by the insurer.
             34     
{       (4) The insurer shall pay the amount due under Subsection (3) by no later than 30 days

             35      from the day on which the errors and omissions insurance policy is cancelled.   }

    Respectfully,

    James A. Dunnigan
    Committee Chair

Voting: 15-1-0
3 HB0259.HC1.wpd 2/1/13 3:16 pm bhowe/BRH PO/BRH

Bill Number
Action Class
Action Code

*HB0259*
*H*
*HCRAMD*

 HB0259
H
HCRAMD