Amendment ASA1-AB917

LRBs0428/1

CMH&ARG:kjf&kg:ch

2003 - 2004 LEGISLATURE

ASSEMBLY SUBSTITUTE AMENDMENT 1, TO 2003 ASSEMBLY BILL 917

March 9, 2004 - Offered by Committee on Insurance.

AB917-ASA1,1,4 An Act to renumber and amend 815.18 (3) (f); to amend 815.18 (3) (f) (title); and to create 815.18 (2) (am), 815.18 (3) (f) 1. and 815.18 (3) (f) 3. of the statutes; relating to: life insurance and annuity contract exemptions from creditor claims.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB917-ASA1, s. 1 Section 1. 815.18 (2) (am) of the statutes is created to read:

AB917-ASA1,1,7 815.18 (2) (am) "Annuity" means a series of payments payable during the life of the annuitant or during a specific period.

AB917-ASA1, s. 2 Section 2. 815.18 (3) (f) (title) of the statutes is amended to read:

AB917-ASA1,1,9 815.18 (3) (f) (title) Life insurance and annuities.

AB917-ASA1, s. 3 Section 3. 815.18 (3) (f) of the statutes is renumbered 815.18 (3) (f) 2. and amended to read:

AB917-ASA1,2,7 815.18 (3) (f) 2. Any Except as provided in subd. 3. and par. (j), any unmatured life insurance or annuity contract owned by the debtor and insuring the debtor, the debtor's dependent, or an individual of whom the debtor is a dependent, other than a credit life insurance contract, and the debtor's aggregate interest , not to exceed $4,000 in value, in any accrued dividends, interest, or loan value of all unmatured life insurance or annuity contracts owned by the debtor and insuring the debtor, the debtor's dependent, or an individual of whom the debtor is a dependent.

AB917-ASA1, s. 4 Section 4. 815.18 (3) (f) 1. of the statutes is created to read:

AB917-ASA1,2,10 815.18 (3) (f) 1. In this paragraph, "applicable date" means the earlier of the following:

AB917-ASA1,2,11 a. The date on which the exemption is claimed.

AB917-ASA1,2,13 b. The date, if any, that the cause of action was filed that resulted in the judgment with respect to which the execution order was issued.

AB917-ASA1, s. 5 Section 5. 815.18 (3) (f) 3. of the statutes is created to read:

AB917-ASA1,2,17 815.18 (3) (f) 3. a. If the life insurance or annuity contract was issued less than 24 months before the applicable date, the exemption under this paragraph may not exceed $4,000.

AB917-ASA1,2,24 b. If the life insurance or annuity contract was issued at least 24 months but funded less than 24 months before the applicable date, the exemption under this paragraph is limited to the value of the contract the day before the first funding that occurred less than 24 months before the applicable date and the lesser of either the difference between the value of the contract the day before the first funding that occurred less than 24 months before the applicable date and the value of the contract on the applicable date or $4,000.

AB917-ASA1, s. 6 Section 6. Initial applicability.

AB917-ASA1,3,3 (1) The renumbering and amendment of section 815.18 (3) (f) of the statutes and the creation of section 815.18 (3) (f) 3. of the statutes first applies to exemptions claimed on the effective date of this subsection.

AB917-ASA1,3,4 (End)