601.51
601.51
Provision of certified copies and notices. 601.51(1)(1)
Certified copies. On request of any insurer authorized to do a surety business and its payment of the fee under
s. 601.31 (1), the commissioner shall mail a certified copy of its certificate of authority to any designated public officer in this state who requires such a certificate before accepting a bond. That public officer shall file it. Whenever a certified copy has been furnished to a public officer it is unnecessary, while the certificate remains effective, to attach a copy of it to any instrument of suretyship filed.
601.51(2)
(2) Notice of revocation of certificate. Whenever the commissioner revokes the certificate of authority of any insurer authorized to do a surety business, the commissioner shall immediately give notice thereof to each officer who was sent a certified copy under
sub. (1).
601.51 Annotation
Legislative Council Note, 1975: This continues the substance of s. 204.04 (1) and (2). [Bill 642-S]
601.53
601.53
Insolvency notices. 601.53(1)(1)
Insurers doing a surety business. Whenever any authorized insurer doing a surety business is placed in liquidation under
ch. 645 or a similar law of another state or jurisdiction, the commissioner shall immediately notify the director of state courts. Upon receipt of the notice, the director of state courts shall notify each register in probate, probate registrar and clerk of circuit court, who shall notify and require every fiduciary that has filed a bond on which the company is surety to file a new bond with a different surety.
601.53(2)
(2) Other. The commissioner as liquidator of an insurer shall send notices as provided in
s. 645.47.
601.53 Annotation
Legislative Council Note, 1975: Sub. (1) continues the substance of s. 204.04 (3). Sub. (2) is new and is a useful cross reference. [Bill 642-S]
601.55
601.55
Nondomestic insurers; additional requirements. If another state or a foreign country requires domestic insurers doing business in that state or foreign country to deposit security, to pay a fee or tax not included in the computation under
s. 76.66, to pay a fine or penalty or to comply with an obligation, prohibition or restriction that is in addition to or greater than requirements imposed by this state on nondomestic insurers doing a similar business in this state, this state may, as a condition for issuing a license to an insurer domiciled in that state or foreign country, impose a similar security requirement, fee, tax, fine, penalty, obligation, prohibition or restriction.
601.55 History
History: 1989 a. 31.
601.56
601.56
Study and rules on standards for health insurers. 601.56(1)(a)(a) The commissioner shall study whether, in their transactions with health care providers, compliance by health insurers with certain standards, such as standard codes, forms and formats, is likely to reduce the cost of health care administration. The study shall investigate compliance with standards in at least all of the following types of transactions between insurers and health care providers:
601.56(1)(b)
(b) On or before February 1, 1994, the commissioner shall submit the results of the study to the legislature under
s. 13.172 (2) and to the governor.
601.56(2)
(2) Rules. If, as a result of the study under
sub. (1), the commissioner determines that in transactions with health care providers compliance by health insurers with certain standards will likely reduce the cost of health care administration, the commissioner shall promulgate rules to establish and implement appropriate standards.
601.56 History
History: 1993 a. 16.
601.57
601.57
Study and rules on health insurance identification cards. 601.57(1)(a)(a) The commissioner, in consultation with the department of health services, shall study the feasibility and cost-effectiveness of requiring every health insurer to issue to its insureds uniform machine-readable health insurance identification cards and to establish a computerized support system for the cards that will accept and respond to electronically conveyed requests from health care providers for information related to an insured, such as eligibility, coverages and authorizations. The study shall consider the feasibility and cost-effectiveness of including the medical assistance program under
subch. IV of ch. 49 in the system of identification cards and the computerized support system and the feasibility of using those systems to coordinate the payment of benefits by health insurers and the medical assistance program.
601.57(1)(b)
(b) On or before February 1, 1994, the commissioner shall submit the results of the study to the legislature under
s. 13.172 (2) and to the governor.
601.57(2)
(2) Rules. If, as a result of the study under
sub. (1), the commissioner determines that a health insurance identification card system and its computerized support system are feasible and would be cost-effective, the commissioner shall promulgate rules to establish and implement the systems.
601.58
601.58
Interstate insurance product regulation compact. The interstate insurance product regulation compact is hereby enacted into law and entered into by this state with all other jurisdictions legally joining therein, in substantially the following form:
601.58(1)
(1) Article I — Purposes. Through means of joint and cooperative action among the compacting states, the purposes of this compact include all of the following:
601.58(1)(a)
(a) To promote and protect the interest of consumers of individual and group annuity, life insurance, disability income, and long-term care insurance products.
601.58(1)(b)
(b) To develop uniform standards for insurance products covered under the compact.
601.58(1)(c)
(c) To establish a central clearinghouse to receive and provide prompt review of insurance products covered under the compact and, in certain cases, advertisements related thereto, submitted by insurers authorized to do business in one or more compacting states.
601.58(1)(d)
(d) To give appropriate regulatory approval to those product filings and advertisements satisfying the applicable uniform standard.
601.58(1)(e)
(e) To improve coordination of regulatory resources and expertise between state insurance departments regarding the setting of uniform standards and review of insurance products covered under the compact.
601.58(1)(f)
(f) To create the interstate insurance product regulation commission.
601.58(1)(g)
(g) To perform these and such other related functions as may be consistent with the state regulation of the business of insurance.
601.58(2)
(2) Article II — Definitions. In this compact:
601.58(2)(a)
(a) "Advertisement" means any material designed to create public interest in a product or to induce the public to purchase, increase, modify, reinstate, borrow on, surrender, replace, or retain a policy, as more specifically defined in the rules and operating procedures of the commission.
601.58(2)(b)
(b) "Bylaws" mean those bylaws established by the commission for its governance, or for directing or controlling the commission's actions or conduct.
601.58(2)(c)
(c) "Commission" means the interstate insurance product regulation commission established by this compact.
601.58(2)(d)
(d) "Commissioner" means the chief insurance regulatory official of a state, including, but not limited to, commissioner, superintendent, director, or administrator.
601.58(2)(e)
(e) "Compacting state" means any state that has enacted this compact legislation and that has not withdrawn under
sub. (14) (a) or been terminated under
sub. (14) (g).
601.58(2)(f)
(f) "Domiciliary state" means the state in which an insurer is incorporated or organized; or, in the case of an alien insurer, its state of entry.
601.58(2)(g)
(g) "Insurer" means any entity licensed by a state to issue contracts of insurance for any of the lines of insurance covered by this section.
601.58(2)(h)
(h) "Member" means the person chosen by a compacting state as its representative to the commission, or his or her designee.
601.58(2)(i)
(i) "Noncompacting state" means any state that is not at the time a compacting state.
601.58(2)(j)
(j) "Operating procedures" mean procedures promulgated by the commission implementing a rule, a uniform standard, or a provision of this compact.
601.58(2)(k)
(k) "Product" means the form of a policy or contract, including any application, endorsement, or related form that is attached to and made a part of the policy or contract, and any evidence of coverage or certificate, for an individual or group annuity, life insurance, disability income, or long-term care insurance product that an insurer is authorized to issue.
601.58(2)(L)
(L) "Rule" means a statement of general or particular applicability and future effect promulgated by the commission, including a uniform standard developed under
sub. (7), designed to implement, interpret, or prescribe law or policy or describing the organization, procedure, or practice requirements of the commission, which shall have the force and effect of law in the compacting states.
601.58(2)(m)
(m) "State" means any state, district, or territory of the United States of America.
601.58(2)(n)
(n) "Third-party filer" means an entity that submits a product filing to the commission on behalf of an insurer.
601.58(2)(o)
(o) "Uniform standard" means a standard adopted by the commission for a product line, pursuant to
sub. (7), and shall include all of the product requirements in the aggregate; provided, that each uniform standard shall be construed, whether express or implied, to prohibit the use of any inconsistent, misleading, or ambiguous provisions in a product and the form of the product made available to the public shall not be unfair, inequitable, or against public policy as determined by the commission.
601.58(3)
(3) Article III — Establishment of the Commission and Venue. The compacting states hereby create the interstate insurance product regulation commission. Pursuant to
sub. (4), the commission will have the power to develop uniform standards for product lines, receive and provide prompt review of products filed therewith, and give approval to those product filings satisfying applicable uniform standards; provided, that it is not intended for the commission to be the exclusive entity for receipt and review of insurance product filings. Nothing herein shall prohibit any insurer from filing its product in any state wherein the insurer is licensed to conduct the business of insurance, and any such filing shall be subject to the laws of the state where filed. The commission is a body corporate and politic, and an instrumentality of the compacting states. The commission is solely responsible for its liabilities except as otherwise specifically provided in this compact. Venue is proper and judicial proceedings by or against the commission shall be brought solely and exclusively in a court of competent jurisdiction where the principal office of the commission is located.
601.58(4)
(4) Article IV — Powers of the Commission. The commission shall have all of the following powers:
601.58(4)(a)
(a) To promulgate rules, pursuant to
sub. (7), which shall be binding in the compacting states to the extent and in the manner provided in this compact.
601.58(4)(b)
(b) To exercise its rule-making authority and establish reasonable uniform standards for products covered under the compact, and advertisement related thereto, which shall have the force and effect of law and shall be binding in the compacting states, but only for those products filed with the commission; provided, that a compacting state shall have the right to opt out of such uniform standard pursuant to
sub. (7), to the extent and in the manner provided in this compact; and provided further, that any uniform standard established by the commission for long-term care insurance products may provide the same or greater protections for consumers as, but shall not provide less than, those protections set forth in the National Association of Insurance Commissioners' Long-Term Care Insurance Model Act and Long-Term Care Insurance Model Regulation, respectively, adopted as of 2001. The commission shall consider whether any subsequent amendments to the National Association of Insurance Commissioners' Long-Term Care Insurance Model Act or Long-Term Care Insurance Model Regulation adopted by the National Association of Insurance Commissioners require amending of the uniform standards established by the commission for long-term care insurance products.
601.58(4)(c)
(c) To receive and review in an expeditious manner products filed with the commission, and rate filings for disability income and long-term care insurance products, and give approval of those products and rate filings that satisfy the applicable uniform standard, where such approval shall have the force and effect of law and be binding on the compacting states to the extent and in the manner provided in the compact.
601.58(4)(d)
(d) To receive and review in an expeditious manner advertisement relating to long-term care insurance products for which uniform standards have been adopted by the commission, and give approval to all advertisement that satisfies the applicable uniform standard. For any product covered under this compact, other than long-term care insurance products, the commission shall have the authority to require an insurer to submit all or any part of its advertisement with respect to that product for review or approval prior to use, if the commission determines that the nature of the product is such that an advertisement of the product could have the capacity or tendency to mislead the public. The actions of the commission as provided in this subsection shall have the force and effect of law and shall be binding in the compacting states to the extent and in the manner provided in the compact.
601.58(4)(e)
(e) To exercise its rule-making authority and designate products and advertisement that may be subject to a self-certification process without the need for prior approval by the commission.
601.58(4)(f)
(f) To promulgate operating procedures, pursuant to
sub. (7), that shall be binding in the compacting states to the extent and in the manner provided in this compact.
601.58(4)(g)
(g) To bring and prosecute legal proceedings or actions in its name as the commission; provided, that the standing of any state insurance department to sue or be sued under applicable law shall not be affected.
601.58(4)(h)
(h) To issue subpoenas requiring the attendance and testimony of witnesses and the production of evidence.
601.58(4)(j)
(j) To purchase and maintain insurance and bonds.
601.58(4)(k)
(k) To borrow, accept, or contract for services of personnel, including, but not limited to, employees of a compacting state.
601.58(4)(L)
(L) To hire employees, professionals, or specialists, and elect or appoint officers, and to fix their compensation, define their duties and give them appropriate authority to carry out the purposes of the compact, and determine their qualifications; and to establish the commission's personnel policies and programs relating to, among other things, conflicts of interest, rates of compensation, and qualifications of personnel.
601.58(4)(m)
(m) To accept any and all appropriate donations and grants of money, equipment, supplies, materials, and services, and to receive, utilize, and dispose of the same; provided, that at all times the commission shall strive to avoid any appearance of impropriety.
601.58(4)(n)
(n) To lease, purchase, accept appropriate gifts or donations of, or otherwise own, hold, improve, or use, any property, real, personal, or mixed; provided, that at all times the commission shall strive to avoid any appearance of impropriety.
601.58(4)(o)
(o) To sell, convey, mortgage, pledge, lease, exchange, abandon, or otherwise dispose of any property, real, personal, or mixed.
601.58(4)(p)
(p) To remit filing fees to compacting states as may be set forth in the bylaws, rules, or operating procedures.
601.58(4)(q)
(q) To enforce compliance by compacting states with rules, uniform standards, operating procedures, and bylaws.
601.58(4)(r)
(r) To provide for dispute resolution among compacting states.
601.58(4)(s)
(s) To advise compacting states on issues relating to insurers domiciled or doing business in noncompacting jurisdictions, consistent with the purposes of this compact.
601.58(4)(t)
(t) To provide advice and training to those personnel in state insurance departments responsible for product review, and to be a resource for state insurance departments.
601.58(4)(u)
(u) To establish a budget and make expenditures.
601.58(4)(w)
(w) To appoint committees, including advisory committees comprising members, state insurance regulators, state legislators or their representatives, insurance industry and consumer representatives, and such other interested persons as may be designated in the bylaws.
601.58(4)(x)
(x) To provide and receive information from, and to cooperate with, law enforcement agencies.
601.58(4)(z)
(z) To perform such other functions as may be necessary or appropriate to achieve the purposes of this compact consistent with the state regulation of the business of insurance.
601.58(5)
(5) Article V — Organization of the Commission. 601.58(5)(a)(a) Each compacting state shall have one member. Each member shall be qualified to serve in such capacity under the applicable law of the compacting state. Any member may be removed or suspended from office as provided by the law of the state from which he or she shall be appointed. Any vacancy occurring in the commission shall be filled in accordance with the laws of the compacting state wherein the vacancy exists. Nothing herein shall be construed to affect the manner in which a compacting state determines the election or appointment and qualification of its own commissioner.
601.58(5)(b)
(b) Each member shall be entitled to one vote and shall have an opportunity to participate in the governance of the commission in accordance with the bylaws. Notwithstanding any provision herein to the contrary, no action of the commission with respect to the promulgation of a uniform standard shall be effective unless two-thirds of the members vote in favor thereof.
601.58(5)(c)
(c) The commission shall, by a majority of the members, prescribe bylaws to govern its conduct as may be necessary or appropriate to carry out the purposes, and exercise the powers, of the compact, including, but not limited to:
601.58(5)(c)2.
2. Providing reasonable procedures for appointing and electing members, as well as holding meetings, of the management committee.
601.58(5)(c)3.
3. Providing reasonable standards and procedures for all of the following:
