House
File
838
-
Introduced
HOUSE
FILE
838
BY
COMMITTEE
ON
APPROPRIATIONS
(SUCCESSOR
TO
HF
502)
(SUCCESSOR
TO
HSB
119)
A
BILL
FOR
An
Act
relating
to
various
matters
under
the
purview
of
1
the
insurance
division
of
the
department
of
commerce,
2
providing
fees,
making
an
appropriation,
and
resolving
3
inconsistencies.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
TLSB
1333HZ
(1)
89
ko/rn
H.F.
838
DIVISION
I
1
UNIFORM
SECURITIES
2
Section
1.
Section
502.304A,
subsection
3,
paragraph
g,
3
Code
2021,
is
amended
to
read
as
follows:
4
g.
The
issuer
must
pay
to
the
administrator
a
fee
of
one
5
hundred
dollars
established
by
the
administrator
by
rule
and
6
is
not
required
to
pay
the
filing
fee
set
forth
in
section
7
502.305,
subsection
2
.
8
Sec.
2.
Section
502.304A,
subsection
5,
Code
2021,
is
9
amended
to
read
as
follows:
10
5.
Agent
registration.
In
connection
with
an
offering
11
registered
under
this
section
,
a
person
may
be
registered
as
12
an
agent
of
the
issuer
under
section
502.402
by
the
filing
of
13
an
application
by
the
issuer
with
the
administrator
for
the
14
registration
of
the
person
as
an
agent
of
the
issuer
and
the
15
paying
of
a
fee
of
ten
dollars
established
by
the
administrator
16
by
rule
.
Notwithstanding
any
other
provision
of
this
chapter
,
17
the
registration
of
the
agent
shall
be
effective
until
18
withdrawn
by
the
issuer
or
until
the
securities
registered
19
pursuant
to
the
registration
statement
have
all
been
sold,
20
whichever
occurs
first.
The
registration
of
an
agent
shall
21
become
effective
when
ordered
by
the
administrator
or
on
the
22
fifth
business
day
after
the
agent’s
application
has
been
23
filed
with
the
administrator,
whichever
occurs
first,
and
the
24
administrator
shall
not
impose
further
conditions
upon
the
25
registration
of
the
agent.
However,
the
administrator
may
26
deny,
revoke,
suspend,
or
withdraw
the
registration
of
the
27
agent
at
any
time
as
provided
in
section
502.412
.
An
agent
28
registered
solely
pursuant
to
this
section
is
entitled
to
sell
29
only
securities
registered
under
this
section
.
30
Sec.
3.
Section
502.321G,
Code
2021,
is
amended
to
read
as
31
follows:
32
502.321G
Fees.
33
The
administrator
shall
charge
a
nonrefundable
filing
fee
of
34
two
hundred
fifty
dollars
established
by
the
administrator
by
35
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838
rule
for
a
registration
statement
filed
by
an
offeror.
The
fee
1
shall
be
deposited
as
provided
in
section
505.7
.
2
Sec.
4.
Section
502.410,
Code
2021,
is
amended
to
read
as
3
follows:
4
502.410
Filing
fees.
5
1.
Broker-dealers.
A
person
shall
pay
a
fee
of
two
hundred
6
dollars
established
by
the
administrator
by
rule
when
initially
7
filing
an
application
for
registration
as
a
broker-dealer
8
and
a
fee
of
two
hundred
dollars
when
filing
a
renewal
of
9
registration
as
a
broker-dealer.
If
the
filing
results
in
a
10
denial
or
withdrawal,
the
administrator
shall
retain
the
fee.
11
2.
Agents.
The
fee
for
an
individual
is
forty
dollars
12
when
filing
an
application
for
registration
as
an
agent,
a
13
fee
of
forty
dollars
when
filing
a
renewal
of
registration
14
as
an
agent,
and
a
fee
of
forty
dollars
when
or
filing
for
a
15
change
of
registration
as
an
agent
shall
be
established
by
the
16
administrator
by
rule
.
Of
each
forty-dollar
fee
collected,
ten
17
dollars
twenty-five
percent
is
appropriated
to
the
securities
18
investor
education
and
financial
literacy
training
fund
19
established
under
section
502.601,
subsection
5
.
If
the
filing
20
results
in
a
denial
or
withdrawal,
the
administrator
shall
21
retain
the
fee.
22
3.
Investment
advisers.
A
person
shall
pay
a
fee
of
one
23
hundred
dollars
established
by
the
administrator
by
rule
when
24
filing
an
application
for
registration
as
an
investment
adviser
25
and
a
fee
of
one
hundred
dollars
when
filing
a
renewal
of
26
registration
as
an
investment
adviser.
If
the
filing
results
27
in
a
denial
or
withdrawal,
the
administrator
shall
retain
the
28
fee.
29
4.
Investment
adviser
representatives.
30
a.
The
fee
for
an
individual
is
thirty
dollars
when
filing
31
an
application
for
registration
as
an
investment
adviser
32
representative,
a
fee
of
thirty
dollars
when
filing
a
renewal
33
of
registration
as
an
investment
adviser
representative,
and
a
34
fee
of
thirty
dollars
or
when
filing
a
change
of
registration
35
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838
as
an
investment
adviser
representative
shall
be
the
amount
1
established
by
the
administrator
by
rule
.
If
the
filing
2
results
in
a
denial
or
withdrawal,
the
administrator
shall
3
retain
the
fee.
4
b.
However,
an
An
investment
adviser
representative
is
shall
5
not
be
required
to
pay
a
filing
fee
if
the
investment
adviser
6
is
a
sole
proprietorship
or
the
substantial
equivalent
,
and
the
7
investment
adviser
representative
is
the
same
individual
as
the
8
investment
adviser.
9
5.
Federal
covered
investment
advisers.
A
federal
covered
10
investment
adviser
required
to
file
a
notice
under
section
11
502.405
shall
pay
an
initial
fee
of
one
hundred
dollars
and
12
an
annual
notice
fee
of
one
hundred
dollars
in
an
amount
13
established
by
the
administrator
by
rule
.
14
6.
Payment.
A
person
required
to
pay
a
filing
or
notice
15
fee
under
this
section
may
transmit
the
fee
through
or
to
a
16
designee
as
a
permitted
by
the
administrator
by
rule
or
by
17
order
provides
issued
by
the
administrator
under
this
chapter
.
18
7.
Deposit
of
fees.
Except
as
otherwise
provided
in
19
subsection
2
,
fees
collected
under
this
section
shall
be
20
deposited
as
provided
in
section
505.7
.
21
DIVISION
II
22
INSURANCE
23
Sec.
5.
Section
505.30,
subsection
2,
Code
2021,
is
amended
24
to
read
as
follows:
25
2.
The
commissioner
may
collect
a
reasonable
fee
,
26
established
by
the
commissioner
by
rule,
each
time
service
of
27
process
is
made
on
the
commissioner
as
set
forth
in
subsection
28
1
or
as
otherwise
allowed
by
law.
A
fee
collected
by
the
29
commissioner
under
this
subsection
shall
be
used
and
is
30
appropriated
to
the
insurance
division
to
offset
the
costs
31
of
the
commissioner
acting
as
agent
or
attorney
for
service
32
of
process.
The
party
to
a
proceeding
requesting
service
of
33
process
is
entitled
to
recover
the
fee
paid
pursuant
to
this
34
subsection
and
any
rules
adopted
under
this
section
as
costs
if
35
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the
party
prevails
in
the
proceeding.
1
Sec.
6.
Section
507A.4,
subsection
9,
Code
2021,
is
amended
2
by
striking
the
subsection
and
inserting
in
lieu
thereof
the
3
following:
4
9.
Transactions
involving
a
multiple
employer
welfare
5
arrangement
as
defined
in
section
3
of
the
federal
Employee
6
Retirement
Income
Security
Act
of
1974,
29
U.S.C.
§1002,
7
paragraph
40,
or
a
multiple
employer
welfare
arrangement
formed
8
as
an
association
health
plan
pursuant
to
29
C.F.R.
pt.
2510
9
that
complies
with
chapter
513D.
10
Sec.
7.
Section
507B.7,
Code
2021,
is
amended
to
read
as
11
follows:
12
507B.7
Cease
and
desist
orders
Orders
and
penalties.
13
1.
If,
after
hearing,
the
commissioner
determines
that
a
14
person
has
engaged
in
an
unfair
method
of
competition
or
an
15
unfair
or
deceptive
act
or
practice,
the
commissioner
shall
16
reduce
the
findings
to
writing
and
shall
issue
and
cause
to
17
be
served
upon
the
person
charged
with
the
violation
a
copy
18
of
such
findings,
an
order
requiring
such
person
to
cease
19
and
desist
from
engaging
in
such
method
of
competition,
act,
20
or
practice,
and
the
commissioner
may
at
the
commissioner’s
21
discretion
order
any
one
or
more
of
the
following:
22
a.
Payment
of
a
civil
penalty
of
not
more
than
one
thousand
23
dollars
for
each
act
or
violation
of
this
subtitle,
but
not
24
to
exceed
an
aggregate
of
ten
thousand
dollars,
unless
the
25
person
knew
or
reasonably
should
have
known
the
person
was
in
26
violation
of
this
subtitle,
in
which
case
the
penalty
shall
be
27
not
more
than
five
thousand
dollars
for
each
act
or
violation,
28
but
not
to
exceed
an
aggregate
penalty
of
fifty
thousand
29
dollars
in
any
one
six-month
period.
If
the
commissioner
finds
30
that
a
violation
of
this
subtitle
was
directed,
encouraged,
31
condoned,
ignored,
or
ratified
by
the
employer
of
the
person
or
32
by
an
insurer,
the
commissioner
shall
also
assess
a
penalty
to
33
the
employer
or
insurer.
34
b.
Suspension
or
revocation
of
the
license
of
a
person
as
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defined
in
section
507B.2,
subsection
1
,
if
the
person
knew
or
1
reasonably
should
have
known
the
person
was
in
violation
of
2
this
subtitle.
3
c.
Payment
of
interest
at
the
rate
of
ten
percent
per
4
annum
if
the
commissioner
finds
that
the
insurer
failed
to
5
pay
interest
as
required
under
section
507B.4,
subsection
3
,
6
paragraph
“p”
.
7
2.
Until
the
expiration
of
the
time
allowed
under
section
8
507B.8
for
filing
a
petition
for
review
if
no
such
petition
has
9
been
duly
filed
within
such
time,
or,
if
a
petition
for
review
10
has
been
filed
within
such
time,
then
until
the
transcript
of
11
the
record
in
the
proceeding
has
been
filed
in
the
district
12
court,
the
commissioner
may
at
any
time,
upon
such
notice
and
13
in
such
manner
as
the
commissioner
may
deem
proper,
modify
14
or
set
aside
in
whole
or
in
part
any
order
issued
by
the
15
commissioner
under
this
section
.
16
3.
After
the
expiration
of
the
time
allowed
for
filing
17
such
a
petition
for
review
if
no
such
petition
has
been
duly
18
filed
within
such
time,
the
commissioner
may
at
any
time,
after
19
notice
and
opportunity
for
hearing,
reopen
and
alter,
modify,
20
or
set
aside,
in
whole
or
in
part,
any
order
issued
by
the
21
commissioner
under
this
section
,
whenever
in
the
commissioner’s
22
opinion
conditions
of
fact
or
of
law
have
so
changed
as
23
to
require
such
action,
or
if
the
public
interest
shall
so
24
require.
25
4.
Any
person
who
violates
a
cease
and
desist
an
order
26
of
the
commissioner,
and
while
such
order
is
in
effect,
may,
27
after
notice
and
hearing
and
upon
order
of
the
commissioner,
28
be
subject
at
the
discretion
of
the
commissioner
to
any
one
or
29
more
of
the
following:
30
a.
A
monetary
penalty
of
not
more
than
ten
thousand
dollars
31
for
each
and
every
act
or
violation.
A
penalty
collected
32
under
this
lettered
paragraph
shall
be
deposited
as
provided
33
in
section
505.7
.
34
b.
Suspension
or
revocation
of
such
person’s
license.
35
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Sec.
8.
Section
507E.2A,
subsection
2,
Code
2021,
is
amended
1
to
read
as
follows:
2
2.
“Insurer”
includes
an
insurer
means
any
corporation,
3
association,
partnership,
or
individual
engaged
in
the
business
4
of
insurance,
including
but
not
limited
to
a
corporation,
5
association,
partnership,
or
individual
that
issues
a
policy
6
of
workers’
compensation,
a
self-insured
business
for
purposes
7
of
workers’
compensation
liability,
or
a
group
or
self-insured
8
plan
as
described
in
section
87.4
.
“Insurer”
does
not
include
9
a
person
required
to
be
licensed
to
sell,
solicit,
or
negotiate
10
insurance
pursuant
to
chapter
522B.
11
Sec.
9.
Section
507E.8,
Code
2021,
is
amended
to
read
as
12
follows:
13
507E.8
Law
enforcement
authority.
14
1.
An
individual
employed
by
the
division
and
designated
as
15
a
peace
officer
shall
be
considered
a
law
enforcement
officer
16
as
that
term
is
defined
in
section
80B.3,
and
shall
exercise
17
the
powers
of
a
law
enforcement
officer
as
follows:
18
a.
For
purposes
of
an
arrest
resulting
from
a
criminal
19
violation
of
any
provision
of
the
Code
subject
to
the
20
jurisdiction
of
the
commissioner
established
as
a
result
of
21
an
investigation
pursuant
to
this
chapter
,
an
insurance
fraud
22
bureau
investigator
shall
have
the
authority
and
status
of
a
23
law
enforcement
officer
pursuant
to
section
80B.3,
subsection
24
3
.
25
b.
While
conducting
an
investigation
or
engaged
in
an
26
assignment
authorized
by
this
chapter
or
ordered
by
the
27
commissioner.
28
c.
To
protect
life
if
a
public
offense
is
committed
in
the
29
presence
of
the
peace
officer.
30
d.
While
providing
assistance
to
a
law
enforcement
agency
or
31
another
law
enforcement
officer.
32
e.
While
providing
assistance
at
the
request
of
a
member
of
33
the
public.
34
2.
The
laws
Laws
applicable
to
an
arrest
of
an
individual
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by
a
law
enforcement
officer
of
the
state
shall
apply
to
an
1
insurance
fraud
bureau
investigator
individual
employed
by
2
the
division
and
designated
as
a
peace
officer
.
An
insurance
3
fraud
bureau
investigator
individual
employed
by
the
division
4
and
designated
as
a
peace
officer
shall
have
the
power
to
5
execute
arrest
warrants
and
search
warrants,
serve
subpoenas
6
issued
for
the
examination,
investigation,
and
trial
of
all
7
offenses
identified
through
the
course
of
an
investigation
8
conducted
pursuant
to
this
section
,
and
arrest
upon
probable
9
cause
without
warrant
a
person
found
in
the
act
of
committing
10
a
violation
of
a
provision
of
this
chapter
or
a
law
of
this
11
state
.
12
Sec.
10.
Section
508E.2,
subsection
14,
Code
2021,
is
13
amended
to
read
as
follows:
14
14.
“Viatical
settlement
broker”
means
a
person,
including
15
a
life
insurance
producer
as
provided
for
in
section
508E.3
,
16
who,
working
exclusively
on
behalf
of
a
viator
and
for
a
fee,
17
commission,
or
other
valuable
consideration,
offers
or
attempts
18
to
negotiate
viatical
settlement
contracts
between
a
viator
19
and
one
or
more
viatical
settlement
providers
or
one
or
more
20
viatical
settlement
brokers.
Notwithstanding
the
manner
in
21
which
the
viatical
settlement
broker
is
compensated,
a
viatical
22
settlement
broker
is
deemed
to
represent
only
the
viator,
23
and
not
the
insurer
or
the
viatical
settlement
provider,
and
24
owes
a
fiduciary
duty
to
the
viator
to
act
according
to
the
25
viator’s
instructions
and
in
the
best
interest
of
the
viator.
26
“Viatical
settlement
broker”
does
not
include
an
attorney,
27
certified
public
accountant,
or
a
financial
planner
accredited
28
by
a
nationally
recognized
accreditation
agency
who
is
retained
29
to
represent
the
viator
and
whose
compensation
is
not
paid
30
directly
or
indirectly
by
the
viatical
settlement
provider
or
31
purchaser.
32
Sec.
11.
Section
508E.3,
subsections
2
and
3,
Code
2021,
are
33
amended
to
read
as
follows:
34
2.
An
application
for
a
viatical
settlement
provider
35
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or
viatical
settlement
broker
license
shall
be
made
to
the
1
commissioner
by
the
applicant
on
a
form
prescribed
by
the
2
commissioner,
and
the
application
shall
be
accompanied
by
a
3
fee
of
not
more
than
one
hundred
dollars
as
provided
by
rules
4
adopted
by
the
commissioner.
5
3.
A
viatical
settlement
provider
or
viatical
settlement
6
broker
license
term
shall
be
three
years
and
the
license
7
may
be
renewed
upon
payment
of
a
renewal
fee
of
not
more
8
than
one
hundred
dollars
as
provided
by
rules
adopted
by
the
9
commissioner.
A
failure
to
pay
the
fee
by
the
renewal
date
10
shall
result
in
expiration
of
the
license.
11
Sec.
12.
Section
509.1,
subsection
9,
Code
2021,
is
amended
12
to
read
as
follows:
13
9.
A
policy
of
group
health
insurance
coverage
issued
to
an
14
associated
health
plan
a
multiple
employer
welfare
arrangement
15
pursuant
to
section
513D.1
chapter
513D
that
is
subject
to
16
regulation
by
the
commissioner.
17
Sec.
13.
Section
509.19,
subsection
2,
paragraph
d,
Code
18
2021,
is
amended
to
read
as
follows:
19
d.
A
multiple
employer
welfare
arrangement,
as
defined
20
in
section
3
of
the
federal
Employee
Retirement
Income
21
Security
Act
of
1974,
29
U.S.C.
§1002
(40)
,
paragraph
40,
22
or
a
multiple
employer
welfare
arrangement
formed
as
an
23
association
health
plan
pursuant
to
29
C.F.R.
pt.
2510
,
24
that
meets
the
requirements
of
section
507A.4,
subsection
9
,
25
paragraph
“a”
chapter
513D
.
26
Sec.
14.
Section
509A.15,
subsection
1,
paragraph
a,
27
unnumbered
paragraph
1,
Code
2021,
is
amended
to
read
as
28
follows:
29
Within
ninety
calendar
days
following
the
end
of
a
fiscal
30
year,
the
governing
body
of
a
self-insurance
plan
of
a
31
political
subdivision
or
a
school
corporation
shall
file
with
32
the
commissioner
of
insurance
a
certificate
of
compliance,
33
actuarial
opinion,
and
an
annual
financial
report.
The
34
filing
shall
be
accompanied
by
a
fee
of
one
hundred
dollars
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established
by
the
commissioner
by
rule
.
A
penalty
of
fifteen
1
dollars
per
day
late
fee
established
by
the
commissioner
2
by
rule
shall
be
assessed
for
failure
to
comply
with
the
3
ninety-day
ninety-calendar-day
filing
requirement,
except
that
4
the
commissioner
may
waive
the
penalty
late
fee
upon
a
showing
5
that
special
circumstances
exist
which
justify
the
waiver.
The
6
certificate
shall
be
signed
and
dated
by
the
appropriate
public
7
official
representing
the
governing
body,
and
shall
certify
the
8
following:
9
Sec.
15.
Section
510.21,
Code
2021,
is
amended
to
read
as
10
follows:
11
510.21
Certificate
of
registration
required
Certificates
——
12
registration
and
renewal
.
13
A
person
shall
not
act
as
or
represent
oneself
to
be
a
14
third-party
administrator
in
this
state,
other
than
an
adjuster
15
licensed
in
this
state
for
the
kinds
of
business
for
which
16
the
person
is
acting
as
a
third-party
administrator,
unless
17
the
person
holds
a
current
certificate
of
registration
as
18
a
third-party
administrator
issued
by
the
commissioner
of
19
insurance.
A
certificate
of
registration
as
a
third-party
20
administrator
is
renewable
shall
be
renewed
every
three
21
years.
Failure
to
hold
a
current
certificate
subjects
the
22
of
registration
shall
subject
a
third-party
administrator
to
23
the
sanctions
set
out
in
section
507B.7
.
The
An
application
24
for
a
certificate
of
registration
shall
be
accompanied
by
a
25
filing
fee
as
established
by
the
commissioner
by
rule.
A
26
certificate
of
registration
shall
be
issued
by
the
commissioner
27
to
a
third-party
administrator
unless
the
commissioner
,
28
after
due
notice
and
hearing,
determines
that
the
third-party
29
administrator
is
not
competent,
trustworthy,
financially
30
responsible,
or
of
good
personal
and
business
reputation,
or
31
has
had
a
previous
an
application
for
an
insurance
license
32
denied
for
cause
within
the
preceding
five
years.
33
An
application
for
registration
shall
be
accompanied
by
a
34
filing
fee
of
one
hundred
dollars.
After
notice
and
hearing,
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the
commissioner
may
impose
any
or
all
of
the
sanctions
set
out
1
in
section
507B.7
,
upon
finding
that
either
the
third-party
2
administrator
violated
any
of
the
requirements
of
sections
3
510.12
through
510.20
and
this
section
,
or
the
third-party
4
administrator
is
not
competent,
trustworthy,
financially
5
responsible,
or
of
good
personal
and
business
reputation.
6
If
the
commissioner
denies
an
application
for
registration
7
or
renewal,
a
written
notice
that
specifies
the
reasons
for
8
the
denial
or
nonrenewal
shall
be
provided
to
the
applicant.
9
Pursuant
to
chapter
17A,
upon
the
applicant’s
request,
the
10
commissioner
shall
grant
the
applicant
a
hearing
on
the
denial
11
or
nonrenewal.
12
Sec.
16.
Section
510.23,
Code
2021,
is
amended
by
striking
13
the
section
and
inserting
in
lieu
thereof
the
following:
14
510.23
Violations
and
penalties.
15
1.
If,
after
hearing,
the
commissioner
determines
that
16
a
third-party
administrator
has
violated
this
chapter,
or
17
chapter
507B,
the
commissioner
may
order
any
one
or
more
of
the
18
sanctions
or
penalties
set
out
in
section
507B.7.
19
2.
If,
after
hearing,
the
commissioner
determines
that
a
20
person
has
aided
and
abetted
a
third-party
administrator
in
21
commission
of
a
violation
of
this
chapter,
or
chapter
507B,
22
the
commissioner
may
order
any
one
or
more
of
the
sanctions
or
23
penalties
set
out
in
section
507B.7.
24
3.
If,
after
hearing,
the
commissioner
determines
that
25
a
third-party
administrator
is
not
competent,
trustworthy,
26
financially
responsible,
or
of
good
personal
and
business
27
reputation,
the
commissioner
may
order
any
one
or
more
of
the
28
sanctions
and
penalties
set
out
in
section
507B.7.
29
Sec.
17.
Section
511.24,
Code
2021,
is
amended
to
read
as
30
follows:
31
511.24
Fees
from
domestic
Domestic
and
foreign
companies
——
32
fees
.
33
When
not
otherwise
provided,
a
foreign
or
domestic
life
34
insurance
company
doing
business
in
this
state
shall
pay
to
the
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commissioner
of
insurance
the
following
fees
a
fee,
established
1
by
the
commissioner
by
rule,
for
all
of
the
following
:
2
1.
For
filing
an
application
to
do
business,
or
an
3
application
to
renew
a
certificate
of
authority
,
fifty
dollars
.
4
2.
For
issuing
a
certificate
of
authority
to
do
business
in
5
this
state,
or
for
renewing
a
certificate
,
fifty
dollars
.
6
3.
For
filing
amended
articles
of
incorporation
,
fifty
7
dollars
.
8
4.
For
issuing
an
amended
certificate
of
authority
,
9
twenty-five
dollars
.
10
5.
For
affixing
the
official
seal
to
any
paper
filed
with
11
the
division
,
ten
dollars
.
12
Sec.
18.
Section
512B.24,
Code
2021,
is
amended
to
read
as
13
follows:
14
512B.24
Reports
Annual
statement
.
15
Reports
shall
be
filed
in
accordance
with
this
section
.
16
1.
A
society
transacting
business
in
this
state
shall
,
on
or
17
before
March
1
annually
,
unless
for
cause
shown
the
time
has
18
been
extended
by
the
commissioner,
shall
annually
file
with
the
19
commissioner
a
true
statement
of
its
the
society’s
financial
20
condition,
transactions,
and
affairs
for
the
preceding
calendar
21
year
and
shall
pay
a
fee
of
fifty
dollars
established
by
the
22
commissioner
by
rule
.
The
statement
may
be
in
general
form
and
23
content
as
approved
by
the
national
association
of
insurance
24
commissioners
for
fraternal
benefit
societies
and
shall
be
25
supplemented
by
additional
information
as
adopted
by
rule
of
26
the
commissioner.
27
2.
As
part
of
the
a
society’s
annual
statement,
a
the
28
society
shall,
on
or
before
March
1,
file
with
the
commissioner
29
of
insurance
a
valuation
of
its
the
society’s
certificates
30
in
force
on
the
last
preceding
December
31.
However,
the
31
commissioner
may,
for
cause
shown,
extend
the
time
for
filing
32
the
valuation
for
not
more
than
two
consecutive
calendar
33
months.
The
valuation
shall
be
done
completed
in
accordance
34
compliance
with
the
standards
specified
in
section
512B.23
.
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The
valuation
and
underlying
data
shall
be
certified
by
a
1
qualified
actuary
or,
at
the
expense
of
the
society,
verified
2
by
the
actuary
of
the
department
of
insurance
of
the
state
of
3
domicile
of
the
society.
4
3.
A
society
failing
to
file
the
society’s
annual
statement
5
in
the
form
and
within
the
time
provided
by
compliance
with
6
this
section
shall
forfeit
one
hundred
dollars
for
each
day
7
during
which
the
default
continues,
and,
upon
notice
by
the
8
commissioner
to
that
effect
,
the
society’s
authority
to
do
9
business
in
this
state
shall
cease
while
during
the
duration
of
10
the
default
continues
.
11
Sec.
19.
Section
512B.25,
Code
2021,
is
amended
to
read
as
12
follows:
13
512B.25
Annual
license
——
renewal.
14
The
authority
of
a
society
to
transact
business
in
this
15
state
may
be
renewed
annually.
A
society’s
license
terminates
16
to
transact
business
in
this
state
shall
terminate
on
the
17
first
day
of
June
following
the
issuance
or
the
renewal
of
18
the
society’s
license
.
A
society
shall
submit
annually
on
19
or
before
March
1
a
completed
application
for
renewal
of
its
20
license.
For
each
license
or
renewal
the
society
shall
pay
21
the
commissioner
a
fee
of
fifty
dollars
established
by
the
22
commissioner
by
rule
.
A
society
that
fails
to
timely
file
an
23
application
for
renewal
shall
pay
an
administrative
penalty
24
of
five
hundred
dollars
to
the
treasurer
of
state
for
deposit
25
as
provided
in
section
505.7
a
late
fee
as
established
by
the
26
commissioner
by
rule
.
A
duly
certified
copy
or
duplicate
27
of
the
a
society’s
license
is
prima
facie
evidence
that
the
28
licensee
is
a
fraternal
benefit
society
within
the
meaning
of
29
this
chapter
.
30
Sec.
20.
Section
513D.1,
Code
2021,
is
amended
by
striking
31
the
section
and
inserting
in
lieu
thereof
the
following:
32
513D.1
Multiple
employer
welfare
arrangements
and
association
33
health
plans.
34
1.
As
used
in
this
chapter,
unless
the
context
otherwise
35
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requires:
1
a.
“Association
health
plan”
or
“AHP”
means
a
multiple
2
employer
welfare
arrangement
formed
as
an
association
health
3
plan
pursuant
to
29
C.F.R.
pt.
2510.
4
b.
“Commissioner”
means
the
commissioner
of
insurance.
5
c.
“Multiple
employer
welfare
arrangement”
or
“MEWA”
means
a
6
multiple
employer
welfare
arrangement
as
defined
in
section
3
7
of
the
federal
Employee
Retirement
Income
Security
Act
of
1974,
8
29
U.S.C.
§1002,
paragraph
40.
9
2.
An
AHP
or
MEWA
that
offers
a
plan
to,
or
maintains
a
10
group
health
plan
for,
any
resident
of
this
state
shall
be
11
subject
to
the
jurisdiction
of
the
commissioner
and
shall
12
comply
with
all
of
the
following
requirements:
13
a.
The
AHP
or
MEWA
must
be
administered
by
an
insurer
14
authorized
to
do
the
business
of
insurance
in
this
state
or
15
an
authorized
third-party
administrator
that
holds
a
current
16
certificate
of
registration
pursuant
to
section
510.21.
17
b.
The
AHP
or
MEWA
must
be
established
by
a
trade,
18
industry,
or
professional
association
of
employers
that
has
a
19
constitution
or
bylaws,
is
organized
and
maintained
in
good
20
faith,
and
has
membership
stability
as
defined
by
rules
adopted
21
by
the
commissioner.
22
c.
The
AHP
or
MEWA
must
register
with
the
commissioner
and
23
obtain
and
maintain
a
certificate
of
registration
issued
by
the
24
commissioner.
25
d.
The
AHP
or
MEWA
shall
comply
with
all
rules
and
solvency
26
standards
established
by
rules
adopted
by
the
commissioner.
27
3.
An
AHP
or
MEWA
that
does
not
meet
the
solvency
standards
28
pursuant
to
subsection
2,
paragraph
“d”
,
shall
be
subject
to
29
chapter
507C.
30
4.
An
AHP
or
MEWA
that
meets
all
of
the
requirements
of
31
subsection
2
shall
not
be
considered
any
of
the
following:
32
a.
An
insurance
company
or
association
of
whatever
kind
or
33
character
under
section
432.1.
34
b.
A
member
of
the
Iowa
individual
health
benefit
35
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reinsurance
association
pursuant
to
section
513C.10,
subsection
1
1.
2
c.
A
member
insurer
of
the
Iowa
life
and
health
insurance
3
guaranty
association
pursuant
to
section
508C.5.
4
5.
An
AHP
or
MEWA
that
is
registered
with
the
commissioner
5
pursuant
to
subsection
2,
paragraph
“c”
,
shall
annually
file
6
with
the
commissioner
on
or
before
March
1
a
copy
of
the
report
7
required
to
be
filed
by
the
AHP
or
MEWA
with
the
United
States
8
department
of
labor
pursuant
to
29
C.F.R.
§2520.101-2.
9
6.
An
AHP
or
MEWA
that
is
registered
with
the
commissioner
10
pursuant
to
subsection
2,
paragraph
“c”
,
shall
annually
file
11
with
the
commissioner
a
report
on
or
before
March
1
for
the
12
preceding
calendar
year.
The
annual
report
shall
contain
the
13
information
and
be
in
a
form
and
manner
as
prescribed
by
the
14
commissioner.
15
7.
A
foreign
or
domestic
AHP
or
MEWA
doing
business
in
the
16
state
shall
pay
fees
as
prescribed
by
the
commissioner
unless
17
otherwise
provided
by
law.
18
8.
A
MEWA
that
is
recognized
as
tax-exempt
under
Internal
19
Revenue
Code
section
501(c)(9)
and
that
is
registered
with
the
20
commissioner
prior
to
January
1,
2018,
shall
not
be
considered
21
an
AHP
unless
the
MEWA
affirmatively
elects
to
be
treated
as
22
an
AHP.
23
Sec.
21.
Section
513D.2,
subsection
1,
Code
2021,
is
amended
24
to
read
as
follows:
25
1.
The
commissioner
of
insurance
shall
adopt
rules
,
as
26
necessary
,
pursuant
to
chapter
17A
to
administer
this
chapter
.
27
Sec.
22.
Section
514G.103,
subsection
10,
Code
2021,
is
28
amended
to
read
as
follows:
29
10.
“Independent
review
entity
organization
”
means
a
review
30
entity
organization
certified
by
the
commissioner
pursuant
to
31
section
514G.110,
subsection
4
.
32
Sec.
23.
Section
514G.110,
subsections
4,
5,
6,
7,
8,
and
9,
33
Code
2021,
are
amended
to
read
as
follows:
34
4.
Qualifications
of
independent
review
entities
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organizations
.
The
commissioner
shall
maintain
a
list
of
1
qualified
independent
review
entities
organizations
that
are
2
certified
by
the
commissioner.
Independent
review
entities
3
organizations
shall
be
recertified
by
the
commissioner
every
4
two
years
in
order
to
remain
on
the
list.
In
order
to
be
5
certified,
an
independent
review
entity
organization
shall
meet
6
all
of
the
following
criteria:
7
a.
Have
on
staff,
or
contract
with,
a
qualified,
licensed
8
health
care
professional
in
an
appropriate
field
for
9
determining
an
insured’s
functional
or
cognitive
impairment
who
10
can
conduct
an
independent
review.
11
(1)
In
order
to
be
qualified,
a
licensed
health
care
12
professional
who
is
a
physician
shall
hold
a
current
13
certification
by
a
recognized
American
medical
specialty
14
board
in
a
specialty
appropriate
for
determining
an
insured’s
15
functional
or
cognitive
impairment.
16
(2)
In
order
to
be
qualified,
a
licensed
health
care
17
professional
who
is
not
a
physician
shall
hold
a
current
18
certification
in
the
specialty
in
which
that
person
is
19
licensed,
by
a
recognized
American
specialty
board
in
a
20
specialty
appropriate
for
determining
an
insured’s
functional
21
or
cognitive
impairment.
22
b.
Ensure
that
any
licensed
health
care
professional
who
23
conducts
an
independent
review
has
no
history
of
disciplinary
24
actions
or
sanctions,
including
but
not
limited
to
the
loss
25
of
staff
privileges
or
any
participation
restrictions
taken
26
or
pending
by
any
hospital
or
state
or
federal
government
27
regulatory
agency.
28
c.
Ensure
that
the
independent
review
entity
organization
29
or
any
of
its
employees,
agents,
or
licensed
health
care
30
professionals
utilized
does
not
receive
compensation
of
any
31
type
that
is
dependent
on
the
outcome
of
a
review.
32
d.
Ensure
that
the
independent
review
entity
organization
33
or
any
of
its
employees,
agents,
or
licensed
health
care
34
professionals
utilized
are
not
in
any
manner
related
to,
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employed
by,
or
affiliated
with
the
insured
or
with
a
person
1
who
previously
provided
medical
care
to
the
insured.
2
e.
Ensure
that
an
independent
review
entity
organization
3
or
any
of
its
employees,
agents,
or
licensed
health
care
4
professionals
utilized
is
not
a
subsidiary
of,
or
owned
or
5
controlled
by,
an
insurer
or
by
a
trade
association
of
insurers
6
of
which
the
insurer
is
a
member.
7
f.
Have
a
quality
assurance
program
on
file
with
the
8
commissioner
that
ensures
the
timeliness
and
quality
of
reviews
9
performed,
the
qualifications
and
independence
of
the
licensed
10
health
care
professionals
who
perform
the
reviews,
and
the
11
confidentiality
of
the
review
process.
12
g.
Have
on
staff
or
contract
with
a
licensed
health
care
13
practitioner,
as
defined
in
section
514G.103,
subsection
3
,
who
14
is
qualified
to
certify
that
an
individual
is
chronically
ill
15
for
purposes
of
a
qualified
long-term
care
insurance
contract.
16
5.
Independent
review
process.
The
independent
review
17
process
shall
be
conducted
as
follows:
18
a.
Within
three
business
days
of
receiving
a
notice
from
the
19
commissioner
of
the
certification
of
a
request
for
independent
20
review
or
receipt
of
a
denial
of
an
insurer’s
appeal
from
such
21
a
certification,
the
insurer
shall
do
all
of
the
following:
22
(1)
Select
an
independent
review
entity
organization
from
23
the
list
certified
by
the
commissioner
and
notify
the
insured
24
in
writing
of
the
name,
address,
and
telephone
number
of
the
25
selected
independent
review
entity
selected
organization
.
The
26
selected
independent
review
entity
selected
organization
shall
27
utilize
a
licensed
health
care
professional
with
qualifications
28
appropriate
to
the
benefit
trigger
determination
that
is
under
29
review.
30
(2)
Notify
the
independent
review
entity
organization
31
that
it
has
been
selected
to
conduct
an
independent
review
32
of
a
benefit
trigger
determination
and
provide
sufficient
33
descriptive
information
to
enable
the
independent
review
entity
34
organization
to
provide
licensed
health
care
professionals
who
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will
be
qualified
to
conduct
the
review.
1
(3)
Provide
the
commissioner
with
a
copy
of
the
notices
sent
2
to
the
insured
and
to
the
selected
independent
review
entity
3
selected
organization
.
4
b.
Within
three
business
days
of
receiving
a
notice
from
5
an
insurer
that
it
has
been
selected
to
conduct
an
independent
6
review,
the
independent
review
entity
organization
shall
do
one
7
of
the
following:
8
(1)
Accept
its
selection
as
the
independent
review
entity
9
organization
,
designate
a
qualified
licensed
health
care
10
professional
to
perform
the
independent
review,
and
provide
11
notice
of
that
designation
to
the
insured
and
the
insurer,
12
including
a
brief
description
of
the
health
care
professional’s
13
qualifications
and
the
reasons
that
person
is
qualified
to
14
determine
whether
the
insured’s
benefit
trigger
has
been
met.
15
A
copy
of
this
notice
shall
be
sent
to
the
commissioner
via
16
facsimile.
The
independent
review
entity
organization
is
not
17
required
to
disclose
the
name
of
the
health
care
professional
18
selected.
19
(2)
Decline
its
selection
as
the
independent
review
entity
20
organization
or,
if
the
independent
review
entity
organization
21
does
not
have
a
licensed
health
care
professional
who
is
22
qualified
to
conduct
the
independent
review
available,
request
23
additional
time
from
the
commissioner
to
have
a
qualified
24
licensed
health
care
professional
certified,
and
provide
25
notice
to
the
insured,
the
insurer,
and
the
commissioner.
26
The
commissioner
shall
notify
the
independent
review
entity
27
organization
,
the
insured,
and
the
insurer
of
how
to
proceed
28
within
three
business
days
of
receipt
of
such
notice
from
the
29
independent
review
entity
organization
.
30
c.
An
insured
may
object
to
the
independent
review
entity
31
organization
selected
by
the
insurer
or
to
the
licensed
32
health
care
professional
designated
by
the
independent
review
33
entity
organization
to
conduct
the
review
by
filing
a
notice
34
of
objection
along
with
reasons
for
the
objection,
with
the
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commissioner
within
ten
days
of
receipt
of
a
notice
sent
by
the
1
independent
review
entity
organization
pursuant
to
paragraph
2
“b”
.
The
commissioner
shall
consider
the
insured’s
objection
3
and
shall
notify
the
insured,
the
insurer,
and
the
independent
4
review
entity
organization
of
the
commissioner’s
decision
to
5
sustain
or
deny
the
objection
within
two
business
days
of
6
receipt
of
the
objection.
7
d.
Within
five
business
days
of
receiving
a
notice
from
8
the
independent
review
entity
organization
accepting
its
9
selection
or
within
five
business
days
of
receiving
a
denial
10
of
an
objection
to
the
independent
review
entity
organization
11
selected,
whichever
is
later,
the
insured
may
submit
any
12
information
or
documentation
in
support
of
the
insured’s
claim
13
to
both
the
independent
review
entity
organization
and
the
14
insurer.
15
e.
Within
fifteen
days
of
receiving
a
notice
from
the
16
independent
review
entity
organization
accepting
its
selection
17
or
within
three
business
days
of
receipt
of
a
denial
of
18
an
objection
to
the
independent
review
entity
organization
19
selected,
whichever
is
later,
an
insurer
shall
do
all
of
the
20
following:
21
(1)
Provide
the
independent
review
entity
organization
22
with
any
information
submitted
to
the
insurer
by
the
insured
23
in
support
of
the
insured’s
internal
appeal
of
the
insurer’s
24
benefit
trigger
determination.
25
(2)
Provide
the
independent
review
entity
organization
with
26
any
other
relevant
documents
used
by
the
insurer
in
making
its
27
benefit
trigger
determination.
28
(3)
Provide
the
insured
and
the
commissioner
with
29
confirmation
that
the
information
required
under
subparagraphs
30
(1)
and
(2)
has
been
provided
to
the
independent
review
entity
31
organization
,
including
the
date
the
information
was
provided.
32
f.
The
independent
review
entity
organization
shall
not
33
commence
its
review
until
fifteen
days
after
the
selection
of
34
the
independent
review
entity
organization
is
final
including
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the
resolution
of
any
objection
made
pursuant
to
paragraph
1
“c”
.
During
this
time
period,
the
insurer
may
consider
any
2
information
provided
by
the
insured
pursuant
to
paragraph
3
“d”
and
overturn
or
affirm
the
insurer’s
benefit
trigger
4
determination
based
on
such
information.
If
the
insurer
5
overturns
its
benefit
trigger
determination,
the
independent
6
review
process
shall
immediately
cease.
7
g.
In
conducting
a
review,
the
independent
review
8
entity
organization
shall
consider
only
the
information
9
and
documentation
provided
to
the
independent
review
entity
10
organization
pursuant
to
paragraphs
“d”
and
“e”
.
11
h.
The
independent
review
entity
organization
shall
submit
12
its
decision
as
soon
as
possible,
but
not
later
than
thirty
13
days
from
the
date
the
independent
review
entity
organization
14
receives
the
information
required
under
paragraphs
“d”
and
“e”
,
15
whichever
is
received
later.
The
decision
shall
include
a
16
description
of
the
basis
for
the
decision
and
the
date
of
the
17
benefit
trigger
determination
to
which
the
decision
relates.
18
The
independent
review
entity
organization
,
for
good
cause,
19
may
request
an
extension
of
time
from
the
commissioner
to
file
20
its
decision.
A
copy
of
the
decision
shall
be
mailed
to
the
21
insured,
the
insurer,
and
the
commissioner.
22
i.
All
medical
records
submitted
for
use
by
the
independent
23
review
entity
organization
shall
be
maintained
as
confidential
24
records
as
required
by
applicable
state
and
federal
laws.
The
25
commissioner
shall
keep
all
information
obtained
during
the
26
independent
review
process
confidential
pursuant
to
section
27
505.8,
subsection
8
,
except
that
the
commissioner
may
share
28
some
information
obtained
as
provided
under
section
505.8,
29
subsection
8
,
and
as
required
by
this
chapter
and
rules
adopted
30
pursuant
to
this
chapter
.
31
j.
If
an
insured
dies
before
completion
of
the
independent
32
review,
the
review
shall
continue
to
completion
if
there
33
is
potential
liability
of
an
insurer
to
the
estate
of
the
34
insured
or
to
a
provider
for
rendering
qualified
long-term
care
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services
to
the
insured.
1
6.
Costs.
All
reasonable
fees
and
costs
of
the
independent
2
review
entity
incurred
organization
in
conducting
an
3
independent
review
under
this
section
shall
be
paid
by
the
4
insurer.
5
7.
Immunity.
An
independent
review
entity
organization
that
6
conducts
a
review
under
this
section
is
not
liable
for
damages
7
arising
from
determinations
made
during
the
review.
Immunity
8
does
not
apply
to
any
act
or
omission
made
by
an
independent
9
review
entity
organization
in
bad
faith
or
that
involves
gross
10
negligence.
11
8.
Effect
of
independent
review
decision.
12
a.
The
review
decision
by
the
independent
review
entity
13
organization
conducting
the
review
is
binding
on
the
insurer.
14
b.
The
independent
review
process
set
forth
in
this
section
15
shall
not
be
considered
a
contested
case
under
chapter
17A
.
16
c.
An
insured
may
appeal
the
review
decision
by
the
17
independent
review
entity
organization
conducting
the
review
18
by
filing
a
petition
for
judicial
review
in
the
district
court
19
in
the
county
in
which
the
insured
resides.
The
petition
for
20
judicial
review
shall
be
filed
within
fifteen
business
days
21
after
the
issuance
of
the
review
decision
by
the
independent
22
review
organization
.
The
petition
shall
name
the
insured
23
as
the
petitioner
and
the
insurer
as
the
respondent.
The
24
petitioner
shall
not
name
the
independent
review
entity
25
organization
as
a
party.
The
commissioner
shall
not
be
named
26
as
a
respondent
unless
the
insured
alleges
action
or
inaction
27
by
the
commissioner
under
the
standards
articulated
under
28
section
17A.19,
subsection
10
.
Allegations
made
against
the
29
commissioner
under
section
17A.19,
subsection
10
,
must
be
30
stated
with
particularity.
The
commissioner
may,
upon
motion,
31
intervene
in
a
judicial
review
proceeding
brought
pursuant
to
32
this
paragraph.
The
findings
of
fact
by
the
independent
review
33
entity
organization
conducting
the
review
are
conclusive
and
34
binding
on
appeal.
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d.
An
insurer
shall
not
be
subject
to
any
penalties,
1
sanctions,
or
damages
for
complying
in
good
faith
with
a
review
2
decision
rendered
by
an
independent
review
entity
organization
3
pursuant
to
this
section
.
4
e.
Nothing
contained
in
this
section
or
in
section
514G.109
5
shall
be
construed
to
limit
the
right
of
an
insurer
to
assert
6
any
rights
an
insurer
may
have
under
a
long-term
care
insurance
7
policy
related
to:
8
(1)
An
insured’s
misrepresentation.
9
(2)
Changes
in
the
insured’s
benefit
eligibility.
10
(3)
Terms,
conditions,
and
exclusions
contained
in
the
11
policy,
other
than
failure
to
meet
the
benefit
trigger.
12
f.
The
requirements
of
this
section
and
section
514G.109
are
13
not
applicable
to
a
group
long-term
care
insurance
policy
that
14
is
governed
by
the
federal
Employee
Retirement
Income
Security
15
Act
of
1974,
as
codified
at
29
U.S.C.
§100
§1001
et
seq.
16
g.
The
provisions
of
this
section
and
section
514G.109
17
are
in
lieu
of
and
supersede
any
other
third-party
review
18
requirement
contained
in
chapter
514J
or
in
any
other
provision
19
of
law.
20
h.
The
insured
may
bring
an
action
in
the
district
court
21
in
the
county
in
which
the
insured
resides
to
enforce
the
22
review
decision
of
the
independent
review
entity
organization
23
conducting
the
review
or
the
decision
of
the
court
on
appeal.
24
9.
Receipt
of
notice.
Notice
required
by
this
section
shall
25
be
deemed
received
within
five
days
after
the
date
of
mailing.
26
Sec.
24.
Section
515.147,
Code
2021,
is
amended
to
read
as
27
follows:
28
515.147
Fees.
29
Fees
,
established
by
the
commissioner
of
insurance
by
rule,
30
shall
be
paid
to
the
commissioner
of
insurance
for
deposit
as
31
provided
in
section
505.7
as
follows
for
all
of
the
following
:
32
1.
For
filing
an
application
to
do
business,
including
all
33
documents
submitted
in
connection
with
the
application,
by
a
34
foreign
or
domestic
company,
or
for
filing
an
application
for
35
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renewed
authority
,
fifty
dollars
.
1
2.
For
issuing
to
a
foreign
or
domestic
company
a
2
certificate
of
authority
to
do
business
or
a
renewed
3
certificate
of
authority
,
fifty
dollars
.
4
3.
For
filing
amended
articles
of
incorporation
,
fifty
5
dollars
.
6
4.
For
issuing
an
amended
certificate
of
authority
,
7
twenty-five
dollars
.
8
5.
For
affixing
the
official
seal
to
any
paper
filed
with
9
the
division
,
ten
dollars
.
10
Sec.
25.
Section
515A.2,
subsection
1,
Code
2021,
is
amended
11
by
adding
the
following
new
paragraph:
12
NEW
PARAGRAPH
.
0a.
“Commissioner”
means
the
commissioner
13
of
insurance.
14
Sec.
26.
Section
515A.6,
subsection
1,
paragraph
c,
Code
15
2021,
is
amended
to
read
as
follows:
16
c.
Licenses
issued
pursuant
to
this
section
shall
remain
17
in
effect
for
three
years
unless
sooner
suspended
or
revoked
18
by
the
commissioner.
The
fee
for
the
license
fee
shall
be
one
19
hundred
dollars
established
by
the
commissioner
by
rule
.
20
Sec.
27.
Section
515A.6,
subsection
7,
Code
2021,
is
amended
21
to
read
as
follows:
22
7.
Notwithstanding
any
other
provision
of
the
Code
law
to
23
the
contrary
,
the
commissioner
of
insurance
shall
provide
for
24
a
hearing
in
a
proceeding
involving
a
workers’
compensation
25
insurance
rate
filing
by
a
licensed
rating
organization
26
in
accordance
with
the
provisions
of
this
subsection
and
27
rules
promulgated
by
the
commissioner
of
insurance
pursuant
28
to
chapter
17A
.
Except
as
otherwise
provided
herein,
the
29
provisions
of
this
subsection
shall
not
be
subject
to
the
30
requirements
of
chapter
17A
.
The
procedures
for
such
hearing
31
shall
be
as
follows:
32
a.
The
commissioner
shall
provide
notice
of
the
filing
of
33
the
proposed
rates
at
least
thirty
days
before
the
effective
34
date
of
the
proposed
rates
by
publishing
a
notice
on
the
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internet
site
of
the
insurance
division
of
the
department
of
1
commerce.
2
b.
A
public
hearing
shall
be
held
on
the
proposed
rates
by
3
the
commissioner
of
insurance
if
within
fifteen
days
of
the
4
date
of
publication
a
workers’
compensation
policyholder
or
an
5
established
organization
with
one
or
more
workers’
compensation
6
policyholders
among
its
members
files
a
written
demand
with
the
7
commissioner
of
insurance
for
a
hearing
on
the
proposed
rates.
8
c.
The
commissioner
of
insurance
shall
hold
the
hearing
9
within
twenty
days
after
receipt
of
the
written
demand
for
a
10
hearing
and
shall
give
not
less
than
ten
days
written
notice
of
11
the
time
and
place
of
the
hearing
to
the
person
or
association
12
filing
the
demand,
to
the
rating
organization,
and
to
any
other
13
person
requesting
such
notice.
14
d.
At
any
such
hearing,
the
rating
organization
shall
15
bear
the
burden
of
proof
to
support
the
proposed
rates
by
a
16
preponderance
of
the
evidence.
The
person
or
association
17
requesting
the
hearing,
and
any
other
person
admitted
as
a
18
party
to
the
proceeding,
shall
be
given
the
opportunity
to
19
respond
and
introduce
evidence
and
arguments
on
all
the
issues
20
involved.
21
e.
Within
fifteen
days
after
the
start
of
the
hearing,
the
22
commissioner
of
insurance
will
shall
approve
or
disapprove
23
the
proposed
rates
and
specify
the
reasons
therefor.
The
24
commissioner
of
insurance
may
suspend
or
postpone
the
effective
25
date
of
the
proposed
rates
pending
the
hearing
and
written
26
decision
thereon.
27
f.
Judicial
review
of
the
decision
of
the
commissioner
of
28
insurance
on
such
rates
may
be
sought
in
accordance
with
the
29
provisions
of
chapter
17A
.
30
g.
Absent
a
request
for
a
hearing
as
provided
in
paragraph
31
“b”
,
the
commissioner
shall
issue
an
order
approving
or
32
disapproving
the
proposed
rates.
33
h.
The
waiting
period
for
a
workers’
compensation
insurance
34
rate
filing
shall
commence
no
earlier
than
the
date
that
notice
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of
the
insurance
rate
filing
is
published.
1
Sec.
28.
Section
515A.10,
Code
2021,
is
amended
to
read
as
2
follows:
3
515A.10
Advisory
organizations.
4
1.
Every
group,
association
or
other
organization
of
5
insurers,
whether
located
within
or
outside
of
this
state,
6
which
assists
insurers
which
make
their
own
filings
or
rating
7
organizations
in
rate
making,
by
the
collection
and
furnishing
8
of
loss
or
expense
statistics,
or
by
the
submission
of
9
recommendations,
but
which
does
not
make
filings
under
this
10
chapter
,
shall
be
known
as
an
advisory
organization.
11
2.
An
advisory
organization
shall
not
provide
a
service
12
relating
to
this
chapter,
and
an
insurer
shall
not
utilize
13
the
services
of
an
advisory
organization
for
such
purposes
14
unless
the
advisory
organization
has
obtained
a
license
under
15
subsection
3.
16
2.
3.
Every
An
advisory
organization
applying
for
a
license
17
shall
file
include
with
its
application
to
the
commissioner
all
18
of
the
following:
19
a.
A
copy
of
its
constitution,
its
articles
of
agreement
20
or
association
or
its
certificate
of
incorporation
and
of
its
21
bylaws,
rules
and
regulations
governing
its
activities.
22
b.
A
list
of
its
members.
23
c.
The
name
and
address
of
a
resident
of
this
state
upon
24
whom
notices
or
orders
of
the
commissioner
or
process
issued
at
25
the
commissioner’s
direction
may
be
served.
26
d.
An
agreement
that
the
commissioner
may
examine
such
27
advisory
organization
in
accordance
with
the
provisions
of
28
section
515A.12
.
29
e.
A
fee
established
by
the
commissioner
by
rule.
30
3.
4.
If,
after
a
hearing,
the
commissioner
finds
that
31
the
furnishing
of
such
information
or
assistance
involves
an
32
advisory
organization
has
engaged
in
any
act
or
practice
which
33
is
unfair
,
or
unreasonable
,
or
otherwise
inconsistent
with
the
34
provisions
in
violation
of
this
chapter
,
the
commissioner
may
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issue
a
written
an
order
specifying
in
what
respects
such
act
1
or
practice
is
unfair
or
unreasonable
or
otherwise
inconsistent
2
with
the
provisions
of
this
chapter
,
and
requiring
the
3
discontinuance
of
such
act
or
practice
advisory
organization
to
4
cease
and
desist
such
act
or
practice
.
The
commissioner
may,
5
at
any
time
after
hearing,
revoke
or
suspend
the
license
of
an
6
advisory
organization
which
does
not
comply
with
this
chapter.
7
4.
5.
No
insurer
which
makes
its
own
filings
nor
any
rating
8
organization
shall
support
its
filings
by
statistics
or
adopt
9
rate
making
recommendations,
furnished
to
it
by
an
advisory
10
organization
which
has
not
complied
with
this
section
or
with
11
an
order
of
the
commissioner
involving
such
statistics
or
12
recommendations
issued
under
subsection
3
4
of
this
section
.
13
If
the
commissioner
finds
such
insurer
or
rating
organization
14
to
be
in
violation
of
this
subsection
the
commissioner
may
15
issue
an
order
requiring
the
discontinuance
of
such
violation.
16
6.
A
license
issued
under
this
section
shall
remain
in
17
effect
for
three
years
unless
sooner
suspended
or
revoked
by
18
the
commissioner.
19
Sec.
29.
Section
515D.4,
subsection
2,
paragraph
a,
Code
20
2021,
is
amended
to
read
as
follows:
21
a.
The
named
insured
or
any
operator
who
either
resides
22
in
the
same
household
or
customarily
operates
an
automobile
23
insured
under
the
policy
has
that
person’s
driver’s
license
24
suspended
or
revoked
during
the
policy
term
or,
if
the
policy
25
is
a
renewal,
during
its
term
or
the
one
hundred
eighty
days
26
immediately
preceding
its
effective
date.
any
of
the
following:
27
(1)
The
term
of
the
policy.
28
(2)
The
term
of
a
renewal
policy.
29
(3)
Within
one
hundred
eighty
calendar
days
immediately
30
preceding
the
effective
date
of
a
renewal
of
the
policy.
31
Sec.
30.
Section
515D.4,
subsection
3,
Code
2021,
is
amended
32
to
read
as
follows:
33
3.
This
section
shall
not
apply
to
any
policy
or
coverage
34
which
has
been
in
effect
less
than
sixty
calendar
days
at
the
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time
notice
of
cancellation
is
mailed
or
delivered
by
the
1
insurer
unless
it
is
a
renewal
policy.
This
section
shall
not
2
apply
to
the
nonrenewal
of
a
policy.
3
Sec.
31.
Section
515D.5,
Code
2021,
is
amended
to
read
as
4
follows:
5
515D.5
Delivery
of
notice.
6
1.
a.
Notwithstanding
the
provisions
of
section
515.129A
,
7
a
notice
of
cancellation
of
a
policy
shall
not
be
effective
8
unless
mailed
or
delivered
by
the
insurer
to
the
named
insured
9
at
least
thirty
calendar
days
prior
to
the
effective
date
of
10
cancellation,
or,
where
the
cancellation
is
for
nonpayment
of
11
premium
notwithstanding
the
provisions
of
section
515.129A
,
12
at
least
ten
calendar
days
prior
to
the
date
of
cancellation.
13
A
post
office
department
certificate
of
mailing
to
the
named
14
insured
at
the
address
shown
in
the
policy
shall
be
proof
15
of
receipt
of
such
mailing.
Unless
the
reason
accompanies
16
the
notice
of
cancellation,
the
notice
shall
state
that
upon
17
written
request
of
the
named
insured,
mailed
or
delivered
to
18
the
insurer
not
less
than
fifteen
calendar
days
prior
to
the
19
date
of
cancellation,
the
insurer
will
state
the
reason
for
20
cancellation
together
with
notification
of
the
right
to
a
21
hearing
before
the
commissioner
within
fifteen
calendar
days
as
22
provided
in
this
chapter
.
23
b.
When
the
reason
does
not
accompany
the
notice
of
24
cancellation,
the
insurer
shall,
upon
receipt
of
a
timely
25
request
by
the
named
insured,
state
in
writing
the
reason
26
for
cancellation.
A
statement
of
reason
shall
be
mailed
or
27
delivered
to
the
named
insured
within
five
calendar
days
after
28
receipt
of
a
request.
29
2.
A
notice
of
exclusion
of
a
person
under
a
policy
pursuant
30
to
section
515D.4
,
is
not
effective
unless
written
notice
31
is
mailed
or
delivered
to
the
named
insured
at
least
twenty
32
calendar
days
prior
to
the
effective
date
of
the
exclusion.
33
The
written
notice
shall
state
the
reason
for
the
exclusion,
34
together
with
notification
of
the
right
to
a
hearing
before
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the
commissioner
pursuant
to
section
515D.10
within
fifteen
1
calendar
days
of
receipt
or
delivery
of
a
statement
of
reason
2
as
provided
in
this
section
.
3
Sec.
32.
Section
515D.6,
Code
2021,
is
amended
to
read
as
4
follows:
5
515D.6
Prohibited
reasons
for
nonrenewal
.
6
1.
No
insurer
shall
refuse
to
renew
a
policy
solely
because
7
of
age,
residence,
sex,
race,
color,
creed,
or
occupation
of
8
an
insured
.
9
2.
No
insurer
shall
require
a
physical
examination
of
a
10
policyholder
as
a
condition
for
renewal
solely
on
the
basis
of
11
age
or
other
arbitrary
reason.
In
the
event
that
an
insurer
12
requires
a
physical
examination
of
a
policyholder,
the
burden
13
of
proof
in
establishing
reasonable
and
sufficient
grounds
for
14
such
requirement
shall
rest
with
the
insurer
and
the
expenses
15
incident
to
such
examination
shall
be
borne
by
the
insurer.
16
Sec.
33.
Section
515D.7,
Code
2021,
is
amended
to
read
as
17
follows:
18
515D.7
Notice
of
intent.
19
1.
Notwithstanding
the
provisions
of
sections
515.125
,
20
515.128
,
515.129B
,
and
515.129C
,
an
insurer
shall
not
fail
to
21
renew
a
policy
except
by
notice
to
the
insured
as
provided
22
in
this
chapter
.
A
notice
of
intention
not
to
renew
shall
23
not
be
effective
unless
mailed
or
delivered
by
the
insurer
24
to
the
named
insured
at
least
thirty
calendar
days
prior
to
25
the
expiration
date
of
the
policy.
A
post
office
department
26
certificate
of
mailing
to
the
named
insured
at
the
address
27
shown
in
the
policy
shall
be
proof
of
receipt
of
such
mailing.
28
Unless
the
reason
accompanies
the
notice
of
intent
not
to
29
renew,
the
notice
shall
state
that,
upon
written
request
of
30
the
named
insured,
mailed
or
delivered
to
the
insurer
not
less
31
than
thirty
calendar
days
prior
to
the
expiration
date
of
the
32
policy,
the
insurer
will
state
the
reason
for
nonrenewal.
33
2.
When
the
reason
does
not
accompany
the
notice
of
intent
34
not
to
renew,
the
insurer
shall,
upon
receipt
of
a
timely
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request
by
the
named
insured,
state
in
writing
the
reason
1
for
nonrenewal,
together
with
notification
of
the
right
to
a
2
hearing
before
the
commissioner
within
fifteen
calendar
days
3
as
provided
herein.
A
statement
of
reason
shall
be
mailed
or
4
delivered
to
the
named
insured
within
ten
days
after
receipt
5
of
a
request.
6
3.
This
section
shall
not
apply:
7
a.
If
the
insurer
has
manifested
its
willingness
to
renew.
8
b.
If
the
insured
fails
to
pay
any
premium
due
or
any
9
advance
premium
required
by
the
insurer
for
renewal.
10
c.
If
the
insured
is
transferred
from
an
insurer
to
11
an
affiliate
for
future
coverage
as
a
result
of
a
merger,
12
acquisition,
or
company
restructuring
and
if
the
transfer
13
results
in
the
same
or
broader
coverage.
14
Sec.
34.
Section
515D.10,
Code
2021,
is
amended
to
read
as
15
follows:
16
515D.10
Hearing
before
commissioner.
17
Any
named
insured
who
has
received
a
statement
of
reason
18
for
cancellation,
or
of
reason
for
an
insurer’s
intent
not
19
to
renew
a
policy,
may,
within
fifteen
calendar
days
of
the
20
receipt
or
delivery
of
a
statement
of
reason,
request
a
hearing
21
before
the
commissioner
of
insurance.
The
purpose
of
this
22
hearing
shall
be
limited
to
establishing
the
existence
of
the
23
proof
or
evidence
used
stated
by
the
insurer
in
as
its
reason
24
for
cancellation
or
intent
not
to
renew.
The
burden
of
proof
25
of
the
reason
for
cancellation
or
intent
not
to
renew
shall
26
be
upon
the
insurer.
Other
than
the
sharing
of
information
27
required
by
this
chapter
and
the
rules
adopted
pursuant
to
28
the
provisions
of
this
chapter
,
the
commissioner
shall
keep
29
confidential
the
information
obtained
from
the
insured
or
in
30
the
hearing
process,
pursuant
to
section
505.8,
subsection
8
.
31
The
commissioner
of
insurance
shall
adopt
rules
for
carrying
32
out
pursuant
to
chapter
17A
to
implement
the
provisions
of
this
33
section
.
34
Sec.
35.
Section
515F.2,
Code
2021,
is
amended
by
adding
the
35
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following
new
unnumbered
paragraph:
1
NEW
UNNUMBERED
PARAGRAPH
.
As
used
in
this
chapter,
unless
2
the
context
otherwise
requires:
3
Sec.
36.
Section
515F.2,
Code
2021,
is
amended
by
adding
the
4
following
new
subsection:
5
NEW
SUBSECTION
.
2A.
“Commissioner”
means
the
commissioner
6
of
insurance.
7
Sec.
37.
Section
515F.8,
subsection
3,
paragraph
a,
Code
8
2021,
is
amended
by
adding
the
following
new
subparagraph:
9
NEW
SUBPARAGRAPH
.
(7)
A
license
fee
as
established
by
the
10
commissioner
by
rule.
11
Sec.
38.
Section
515F.8,
subsection
3,
paragraph
d,
Code
12
2021,
is
amended
to
read
as
follows:
13
d.
Duration.
A
license
issued
under
this
section
shall
14
remain
in
effect
for
one
year
three
years
unless
the
license
15
is
suspended
or
revoked.
The
commissioner
may,
at
any
time
16
after
hearing,
revoke
or
suspend
the
license
of
an
advisory
17
organization
which
does
not
comply
with
the
requirements
and
18
standards
of
this
chapter
.
19
Sec.
39.
Section
515F.32,
Code
2021,
is
amended
by
adding
20
the
following
new
unnumbered
paragraph:
21
NEW
UNNUMBERED
PARAGRAPH
.
As
used
in
this
subchapter,
22
unless
the
context
otherwise
requires:
23
Sec.
40.
Section
515F.32,
subsection
3,
Code
2021,
is
24
amended
to
read
as
follows:
25
3.
“Insurer”
includes
all
companies
or
associations
licensed
26
to
transact
insurance
business
in
this
state
under
chapters
27
515
,
518
,
and
518A
,
reciprocal
insurers
issued
a
certificate
28
of
authority
pursuant
to
chapter
520,
and
companies
or
29
associations
admitted
or
seeking
to
be
admitted
to
do
business
30
in
this
state
under
any
of
those
chapters,
notwithstanding
any
31
provision
of
the
Code
to
the
contrary.
32
Sec.
41.
Section
515F.36,
subsection
2,
paragraph
a,
33
subparagraphs
(1)
and
(2),
Code
2021,
are
amended
to
read
as
34
follows:
35
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(1)
American
property
casualty
insurance
association.
1
(2)
Property
casualty
insurers
association
of
America
2
National
association
of
mutual
insurance
companies
.
3
Sec.
42.
NEW
SECTION
.
515F.39
Cancellation
or
nonrenewal
4
——
FAIR
notice.
5
If
basic
property
insurance
coverage
is
canceled
or
not
6
renewed
other
than
for
nonpayment
of
a
premium
pursuant
to
7
section
515.125,
515.126,
515.127,
515.128,
518.23,
or
518A.29,
8
the
insurer
shall
notify
the
named
insured
that
the
named
9
insured
may
be
eligible
for
basic
property
insurance
through
10
the
FAIR
plan.
The
notice
shall
accompany
the
notice
of
11
cancellation
or
the
intent
not
to
renew.
12
Sec.
43.
Section
515I.4,
subsection
1,
paragraph
a,
Code
13
2021,
is
amended
to
read
as
follows:
14
a.
Capital
and
surplus
or
its
equivalent
under
the
laws
of
15
the
insurer’s
domiciliary
jurisdiction
which
equals
the
greater
16
of
either
greatest
of
the
following:
17
(1)
The
minimum
capital
and
surplus
requirements
under
the
18
laws
of
this
state.
19
(2)
Fifteen
million
dollars.
20
(3)
The
risk-based
capital
level
requirements
pursuant
to
21
chapter
521E.
22
Sec.
44.
Section
520.12,
subsection
2,
Code
2021,
is
amended
23
to
read
as
follows:
24
2.
A
reciprocal
or
interinsurance
insurer
shall
submit
25
annually,
on
or
before
March
1,
a
completed
application
for
26
renewal
of
the
insurer’s
certificate
of
authority.
An
insurer
27
that
fails
to
timely
file
an
application
for
renewal
shall
pay
28
an
administrative
fee
of
five
hundred
dollars
to
the
treasurer
29
of
state
for
deposit
as
provided
in
section
505.7
to
the
30
commissioner
of
insurance
as
established
by
the
commissioner
of
31
insurance
by
rule
.
32
Sec.
45.
Section
521.18,
Code
2021,
is
amended
to
read
as
33
follows:
34
521.18
Articles
of
merger
or
consolidation
——
filing
fees
35
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and
approval.
1
A
company
filing
a
plan
to
merge
or
consolidate
under
the
2
provisions
of
this
chapter
shall
file
its
articles
of
merger
3
or
consolidation
with
the
commission
for
its
approval.
The
4
fee
for
filing
articles
of
merger
or
consolidation
with
5
the
commission
is
fifty
dollars
shall
be
established
by
the
6
commissioner
by
rule
.
7
Sec.
46.
Section
522.9,
subsection
1,
Code
2021,
is
amended
8
to
read
as
follows:
9
1.
If
an
insurer
fails,
without
just
cause,
to
file
an
10
own
risk
and
solvency
assessment
summary
report
by
the
filing
11
date
stipulated
to
the
commissioner
pursuant
to
section
522.5,
12
subsection
1
,
paragraph
“c”
,
the
commissioner
shall,
after
13
notice
and
hearing,
impose
a
penalty
of
five
hundred
dollars
14
for
each
calendar
day
after
the
stipulated
date
that
the
15
summary
report
is
not
filed.
The
penalties
shall
be
collected
16
by
the
commissioner
and
deposited
in
the
general
fund
of
the
17
state
pursuant
to
section
505.7
.
The
maximum
penalty
which
may
18
be
imposed
under
this
section
is
fifty
thousand
dollars.
19
Sec.
47.
Section
522A.5,
Code
2021,
is
amended
to
read
as
20
follows:
21
522A.5
Fees
Counter
employee
——
license
fee
.
22
The
fee
for
a
counter
employee
license
shall
be
fifty
dollars
23
per
counter
employee
established
by
the
commissioner
by
rule
.
24
In
no
case
shall
any
combined
fees
exceed
one
thousand
dollars
25
in
any
calendar
year
for
any
one
rental
company
or
limited
26
license
or
licensee
or
renewal
license.
The
fees
collected
27
under
this
section
shall
be
deposited
as
provided
in
section
28
505.7
.
29
Sec.
48.
Section
522B.5,
subsection
1,
paragraph
c,
Code
30
2021,
is
amended
to
read
as
follows:
31
c.
The
individual
has
paid
the
license
fee
of
fifty
dollars
32
established
by
the
commissioner
by
rule
.
33
Sec.
49.
Section
522E.4,
subsection
1,
paragraph
c,
Code
34
2021,
is
amended
to
read
as
follows:
35
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c.
An
application
fee
of
the
lesser
of
fifty
dollars
per
1
each
endorsee
at
a
location
of
the
vendor
or
five
hundred
2
dollars
per
location
valid
for
a
three-year
period
and,
for
3
each
three-year
period
thereafter,
a
renewal
fee
in
the
same
4
amount.
A
maximum
fee
of
five
thousand
dollars
shall
apply
5
for
licensure
of
a
portable
electronics
vendor
with
multiple
6
locations
established
by
the
commissioner
by
rule
.
The
fees
7
collected
shall
be
deposited
as
provided
in
section
505.7
.
8
DIVISION
III
9
CEMETERY
AND
FUNERAL
MERCHANDISE
AND
FUNERAL
SALES
10
Sec.
50.
Section
523A.204,
subsections
1
and
2,
Code
2021,
11
are
amended
to
read
as
follows:
12
1.
A
preneed
seller
shall
file
an
annual
report
with
the
13
commissioner
not
later
than
April
1
of
each
year
an
annual
14
report
15
on
a
form
prescribed
by
the
commissioner.
15
2.
A
preneed
seller
filing
an
annual
report
shall
pay
a
16
filing
fee
of
ten
dollars
established
by
the
commissioner
by
17
rule
per
purchase
agreement
sold
during
the
year
covered
by
18
the
report.
Duplicate
filing
fees
are
not
required
for
the
19
same
purchase
agreement.
If
a
purchase
agreement
has
multiple
20
sellers,
the
filing
fee
shall
be
paid
by
the
preneed
seller
21
actually
providing
the
merchandise
and
services.
22
Sec.
51.
Section
523A.204,
Code
2021,
is
amended
by
adding
23
the
following
new
subsection:
24
NEW
SUBSECTION
.
4.
The
commissioner
may
impose
a
late
25
fee,
established
by
the
commissioner
by
rule,
for
each
day
26
after
April
15
that
a
preneed
seller
fails
to
file
the
preneed
27
seller’s
annual
report.
The
maximum
late
fee
that
may
be
28
imposed
under
this
subsection
is
five
hundred
dollars.
The
fee
29
shall
be
collected
by
the
commissioner
and
deposited
pursuant
30
to
section
505.7.
31
Sec.
52.
Section
523A.501,
subsections
7
and
8,
Code
2021,
32
are
amended
to
read
as
follows:
33
7.
A
preneed
seller’s
license
expires
shall
expire
annually
34
on
April
15
30
.
If
the
a
preneed
seller
has
filed
a
complete
35
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838
an
annual
report
pursuant
to
section
523A.204,
subsection
1,
1
and
paid
the
required
fees
as
required
in
section
523A.204
,
the
2
commissioner
shall
renew
the
preneed
seller’s
license
until
3
April
15
30
of
the
following
year.
4
8.
The
commissioner
may
by
rule
create
or
accept
a
5
multijurisdiction
preneed
seller’s
license.
If
the
preneed
6
seller’s
license
is
issued
by
another
jurisdiction,
the
rules
7
shall
require
the
filing
of
an
application
or
notice
form
and
8
payment
of
the
applicable
filing
fee
of
fifty
dollars
for
an
9
application
established
by
the
commissioner
by
rule
.
The
10
application
or
notice
form
utilized
and
the
effective
dates
and
11
terms
of
the
license
may
vary
from
the
provisions
set
forth
in
12
this
section
.
13
Sec.
53.
Section
523A.502,
subsection
5,
Code
2021,
is
14
amended
to
read
as
follows:
15
5.
A
sales
license
shall
expire
annually
on
April
15
30
.
If
16
the
a
sales
agent
has
filed
a
substantially
complete
an
annual
17
report
as
required
in
pursuant
to
section
523A.502A
,
subsection
18
1,
and
has
fulfilled
the
continuing
education
requirements
19
pursuant
to
subsection
6,
the
commissioner
shall
renew
the
20
sales
agent’s
sales
license
until
April
15
30
of
the
following
21
year.
22
Sec.
54.
Section
523A.502A,
subsection
1,
Code
2021,
is
23
amended
to
read
as
follows:
24
1.
A
No
later
than
April
15,
a
sales
agent
shall
file
an
25
annual
report
with
the
commissioner
not
later
than
April
1
26
of
each
year
an
annual
report
on
a
form
prescribed
by
the
27
commissioner
describing
each
purchase
agreement
sold
by
the
28
sales
agent
during
the
year.
An
annual
report
must
be
filed
29
whether
or
not
sales
were
made
a
sales
agent
sold
any
purchase
30
agreements
during
the
year
and
even
if
the
whether
or
not
a
31
sales
agent
is
no
longer
still
an
agent
of
a
preneed
seller
or
32
is
still
licensed
by
the
commissioner.
33
Sec.
55.
Section
523A.502A,
Code
2021,
is
amended
by
adding
34
the
following
new
subsection:
35
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NEW
SUBSECTION
.
3.
The
commissioner
may
impose
a
late
fee,
1
established
by
the
commissioner
by
rule,
for
each
day
after
2
April
15
that
a
sales
agent
fails
to
file
the
sales
agent’s
3
annual
report.
The
maximum
late
fee
that
may
be
imposed
4
pursuant
to
this
section
is
five
hundred
dollars.
The
fee
5
shall
be
collected
by
the
commissioner
and
deposited
pursuant
6
to
section
505.7.
7
Sec.
56.
Section
523A.601,
subsection
4,
Code
2021,
is
8
amended
by
striking
the
subsection
and
inserting
in
lieu
9
thereof
the
following:
10
4.
All
purchase
agreements,
including
a
purchase
agreement
11
delivered
or
executed
by
electronic
means,
must
have
a
sales
12
agent
identified.
A
purchase
agreement,
including
a
purchase
13
agreement
delivered
or
executed
by
electronic
means,
shall
14
be
reviewed
by
the
sales
agent
identified
and
named
in
the
15
purchase
agreement
pursuant
to
subsection
1,
paragraph
“a”
,
and
16
signed
by
the
purchaser
and
seller.
If
the
purchase
agreement
17
is
for
mortuary
science
services
as
“mortuary
science”
is
18
defined
in
section
156.1,
the
purchase
agreement
must
also
be
19
signed
by
a
person
licensed
to
deliver
funeral
services.
20
Sec.
57.
Section
523A.807,
subsection
3,
unnumbered
21
paragraph
1,
Code
2021,
is
amended
to
read
as
follows:
22
If
the
commissioner
finds
that
a
person
has
violated
section
23
523A.201
,
523A.202
,
523A.203
,
523A.204,
523A.207
,
523A.401
,
24
523A.402
,
523A.403
,
523A.404
,
523A.405
,
523A.501
,
or
523A.502
,
25
or
523A.502A,
or
any
rule
adopted
pursuant
thereto,
the
26
commissioner
may
order
any
or
all
of
the
following:
27
Sec.
58.
Section
523A.812,
Code
2021,
is
amended
to
read
as
28
follows:
29
523A.812
Insurance
division
regulatory
fund.
30
The
insurance
division
may
authorize
the
creation
of
a
31
special
revenue
fund
in
the
state
treasury,
to
be
known
as
the
32
insurance
division
regulatory
fund.
The
commissioner
shall
33
allocate
annually
from
the
filing
fees
paid
pursuant
to
section
34
523A.204
,
two
dollars
an
amount
established
by
the
commissioner
35
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838
by
rule
for
each
purchase
agreement
reported
on
a
preneed
1
seller’s
annual
report
filed
pursuant
to
section
523A.204
for
2
deposit
to
the
regulatory
fund.
The
remainder
of
the
fees
3
collected
pursuant
to
section
523A.204
shall
be
deposited
4
as
provided
in
section
505.7
.
The
commissioner
shall
also
5
allocate
annually
the
examination
fees
paid
pursuant
to
section
6
523A.814
and
any
examination
expense
reimbursement
for
deposit
7
to
the
regulatory
fund.
The
moneys
in
the
regulatory
fund
8
shall
be
retained
in
the
fund.
The
moneys
are
appropriated
9
and,
subject
to
authorization
by
the
commissioner,
may
be
used
10
to
pay
examiners,
examination
expenses,
investigative
expenses,
11
the
expenses
of
mediation
ordered
by
the
commissioner,
consumer
12
education
expenses,
the
expenses
of
a
toll-free
telephone
13
line
to
receive
consumer
complaints,
and
the
expenses
of
14
receiverships
established
under
section
523A.811
.
If
the
15
commissioner
determines
that
funding
is
not
otherwise
available
16
to
reimburse
the
expenses
of
a
person
who
receives
title
17
to
a
cemetery
subject
to
chapter
523I
,
pursuant
to
such
18
a
receivership,
the
commissioner
shall
use
moneys
in
the
19
regulatory
fund
as
necessary
to
preserve,
protect,
restore,
20
and
maintain
the
physical
integrity
of
that
cemetery
and
to
21
satisfy
claims
or
demands
for
cemetery
merchandise,
funeral
22
merchandise,
and
funeral
services
based
on
purchase
agreements
23
which
the
commissioner
determines
are
just
and
outstanding.
24
An
annual
allocation
to
the
regulatory
fund
shall
not
be
25
imposed
if
the
current
balance
of
the
fund
exceeds
five
hundred
26
thousand
dollars.
27
Sec.
59.
Section
523A.814,
Code
2021,
is
amended
to
read
as
28
follows:
29
523A.814
Examination
fee.
30
In
addition
to
the
filing
fee
paid
pursuant
to
section
31
523A.204,
subsection
2
,
a
seller
filing
an
annual
report
32
shall
pay
an
examination
fee
in
the
amount
of
five
dollars
33
established
by
the
commissioner
by
rule
for
each
purchase
34
agreement
subject
to
a
filing
fee
that
is
sold
between
July
1,
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2005,
and
December
31,
2007,
and
in
the
amount
of
ten
dollars
1
for
each
purchase
agreement
subject
to
a
filing
fee
that
is
2
sold
after
December
31,
2007
.
3
DIVISION
IV
4
RESIDENTIAL
AND
MOTOR
VEHICLE
SERVICE
CONTRACTS
5
Sec.
60.
Section
523C.3,
subsection
2,
Code
2021,
is
amended
6
to
read
as
follows:
7
2.
The
application
shall
be
accompanied
by
all
of
the
8
following:
9
a.
A
license
fee
in
the
amount
of
five
hundred
dollars
10
established
by
the
commissioner
by
rule
.
11
b.
If
applicable,
a
fee
in
the
amount
of
fifty
dollars
12
established
by
the
commissioner
by
rule
for
each
motor
vehicle
13
service
contract
form
submitted
in
an
application
as
provided
14
in
subsection
1
,
paragraph
“f”
.
15
Sec.
61.
Section
523C.4,
subsection
3,
paragraphs
a,
b,
and
16
c,
Code
2021,
are
amended
to
read
as
follows:
17
a.
A
license
renewal
fee
in
the
amount
of
five
hundred
18
dollars
established
by
the
commissioner
by
rule
.
19
b.
If
applicable,
a
fee
in
the
amount
of
three
percent
20
percentage
established
by
the
commissioner
by
rule
of
the
21
aggregate
amount
of
payments
the
licensee
received
for
the
sale
22
or
issuance
of
residential
service
contracts
in
this
state
23
during
the
preceding
fiscal
year
,
provided
that
such
fee
shall
24
be
no
less
than
one
hundred
dollars
and
no
greater
than
fifty
25
thousand
dollars
.
26
c.
If
applicable,
a
fee
in
the
amount
of
fifty
dollars
27
established
by
the
commissioner
by
rule
for
each
motor
28
vehicle
service
contract
form
submitted
in
a
with
the
renewal
29
application
pursuant
to
subsection
2,
and
as
provided
in
30
section
523C.3,
subsection
1
,
paragraph
“f”
.
31
Sec.
62.
Section
523C.24,
subsection
2,
Code
2021,
is
32
amended
to
read
as
follows:
33
2.
The
commissioner
shall
deposit
in
the
service
company
34
oversight
fund
an
amount
equal
to
one-third
of
all
licensing,
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examination,
renewal,
and
inspection
fees
collected
under
this
1
chapter
,
provided
that
the
maximum
amount
of
fees
deposited
2
in
the
fund
each
fiscal
year
shall
not
exceed
five
hundred
3
thousand
dollars
an
amount
established
by
the
commissioner
by
4
rule
.
Any
remaining
fees
collected
under
this
chapter
and
5
not
deposited
in
the
service
company
oversight
fund
shall
be
6
deposited
as
provided
in
section
505.7
.
7
DIVISION
V
8
RETIREMENT
FACILITIES
9
Sec.
63.
Section
523D.2A,
unnumbered
paragraph
1,
Code
10
2021,
is
amended
to
read
as
follows:
11
On
or
before
March
1
of
each
year,
a
provider
shall
12
file
a
certification
with
the
commissioner
in
a
manner
and
13
according
to
in
compliance
with
requirements
established
by
the
14
commissioner
by
rule
.
The
certification
shall
be
accompanied
15
by
a
one
hundred
dollar
administrative
fee
which
fee
in
an
16
amount
established
by
the
commissioner
by
rule
and
shall
be
17
deposited
as
provided
in
section
505.7
.
The
certification
18
shall
attest
that
according
to
the
best
knowledge
and
belief
of
19
the
attesting
party,
the
facility
administered
by
the
provider
20
is
in
compliance
with
the
provisions
of
this
chapter
,
including
21
rules
adopted
by
the
commissioner
or
and
orders
issued
by
the
22
commissioner
as
authorized
under
this
chapter
.
The
attesting
23
person
may
be
any
of
the
following:
24
DIVISION
VI
25
IOWA
CEMETERY
ACT
26
Sec.
64.
Section
523I.102,
subsection
6,
Code
2021,
is
27
amended
by
adding
the
following
new
paragraph:
28
NEW
PARAGRAPH
.
d.
A
cemetery
under
the
jurisdiction
and
29
control
of
a
cemetery
commission
pursuant
to
section
331.325,
30
subsection
3,
paragraph
“c”
.
31
Sec.
65.
Section
523I.213,
Code
2021,
is
amended
to
read
as
32
follows:
33
523I.213
Insurance
division’s
enforcement
fund.
34
A
special
revenue
fund
in
the
state
treasury,
to
be
known
as
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the
insurance
division’s
enforcement
fund,
is
created
under
the
1
authority
of
the
commissioner.
The
commissioner
shall
allocate
2
annually
from
the
examination
fees
paid
pursuant
to
section
3
523I.808
,
an
amount
not
exceeding
fifty
thousand
dollars,
for
4
deposit
to
all
examination
fees
collected
pursuant
to
section
5
523I.808
in
the
insurance
division’s
enforcement
fund.
The
6
moneys
in
the
enforcement
fund
shall
be
retained
in
the
fund.
7
The
moneys
are
appropriated
and,
subject
to
authorization
by
8
the
commissioner,
shall
be
used
to
pay
examiners,
examination
9
expenses,
investigative
expenses,
the
expenses
of
consumer
10
education,
compliance,
and
education
programs
for
filers
and
11
other
regulated
persons,
and
educational
or
compliance
program
12
materials,
the
expenses
of
a
toll-free
telephone
line
for
13
consumer
complaints,
and
the
expenses
of
receiverships
of
14
perpetual
care
cemeteries
established
under
section
523I.212
.
15
Sec.
66.
Section
523I.301,
subsections
1
and
2,
Code
2021,
16
are
amended
to
read
as
follows:
17
1.
A
cemetery
shall
disclose,
prior
to
the
sale
of
interment
18
rights,
whether
opening
and
closing
of
the
interment
space
is
19
services
are
included
in
the
purchase
of
the
interment
rights.
20
If
opening
and
closing
services
are
not
included
in
the
sale
of
21
interment
rights
and
the
cemetery
offers
opening
and
closing
22
services,
the
cemetery
must
disclose
that
the
price
for
this
23
service
opening
and
closing
services
is
subject
to
change
24
and
must
disclose
the
current
prices
for
opening
and
closing
25
services
provided
by
the
cemetery.
26
2.
The
cemetery
shall
fully
disclose
all
fees
required
for
27
interment,
entombment,
or
inurnment
,
or
disinterment
of
human
28
remains.
29
Sec.
67.
Section
523I.309,
subsection
6,
Code
2021,
is
30
amended
to
read
as
follows:
31
6.
A
cemetery
may
shall
disinter
and
relocate
remains
32
interred
in
the
cemetery
for
the
purpose
of
correcting
an
error
33
made
by
the
cemetery
after
obtaining
a
disinterment
permit
34
as
required
by
section
144.34
,
unless
the
interested
parties
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have
a
written
agreement
directing
otherwise.
The
cemetery
1
shall
bear
the
costs
of
the
disinterment
and
relocation
.
The
2
cemetery
shall
provide
written
notice
describing
the
error
3
to
the
commissioner
and
to
the
person
who
has
the
right
to
4
control
the
interment,
relocation,
or
disinterment
of
the
5
remains
erroneously
interred,
by
restricted
certified
mail
at
6
the
person’s
last
known
address
and
sixty
days
prior
to
the
7
disinterment.
The
notice
shall
include
the
location
where
the
8
disinterment
will
occur
and
the
location
of
the
new
interment
9
space.
A
cemetery
is
not
civilly
or
criminally
liable
for
an
10
erroneously
made
interment
that
is
corrected
in
compliance
11
with
this
subsection
unless
the
error
was
the
result
of
gross
12
negligence
or
intentional
misconduct.
13
Sec.
68.
Section
523I.808,
Code
2021,
is
amended
to
read
as
14
follows:
15
523I.808
Examination
Annual
report
——
examination
fee.
16
An
examination
fee
,
established
by
the
commissioner
by
rule,
17
for
each
certificate
of
internment
rights
issued
during
the
18
time
period
covered
by
the
report
shall
be
submitted
with
the
a
19
perpetual
care
cemetery’s
annual
report
in
an
amount
equal
to
20
five
dollars
for
each
certificate
of
interment
rights
issued
21
during
the
time
period
covered
by
the
report
filed
pursuant
to
22
section
523I.813
.
The
cemetery
may
charge
the
examination
fee
23
directly
to
the
purchaser
of
the
interment
rights.
24
Sec.
69.
Section
523I.813,
subsection
3,
Code
2021,
is
25
amended
by
striking
the
subsection
and
inserting
in
lieu
26
thereof
the
following:
27
3.
The
commissioner
may
assess
a
late
fee,
established
28
by
the
commissioner
by
rule,
for
each
day
after
the
date
on
29
which
a
perpetual
care
cemetery’s
annual
report
is
due
that
the
30
perpetual
care
cemetery
fails
to
file
the
report.
The
late
fee
31
shall
be
collected
by
the
commissioner
and
deposited
pursuant
32
to
section
505.7.
33
DIVISION
VII
34
STATE
INNOVATION
WAIVER
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Sec.
70.
NEW
SECTION
.
505.18A
State
innovation
waivers.
1
1.
The
commissioner
of
insurance
may
develop
by
rule
2
a
state
innovation
waiver
pursuant
to
section
1332
of
the
3
federal
Patient
Protection
and
Affordable
Care
Act,
Pub.
L.
No.
4
111-148.
5
2.
The
commissioner
of
insurance
may
submit
an
application
6
on
behalf
of
the
state
to
the
United
States
secretary
of
health
7
and
human
services
and
the
United
States
secretary
of
the
8
treasury
for
the
state
innovation
waiver
developed
pursuant
to
9
subsection
1.
10
3.
If
a
state
innovation
waiver
submitted
pursuant
to
11
subsection
2
is
approved
by
the
United
States
secretary
of
12
health
and
human
services
and
the
United
States
secretary
of
13
the
treasury,
the
commissioner
of
insurance
may
implement
the
14
state
innovation
waiver
in
a
manner
consistent
with
applicable
15
state
and
federal
law.
16
4.
The
commissioner
of
insurance
may
adopt
emergency
17
rules
under
section
17A.4,
subsection
3,
and
section
17A.5,
18
subsection
2,
paragraph
“b”
,
to
implement
the
provisions
of
19
this
section
and
the
rules
shall
be
effective
immediately
upon
20
filing
unless
a
later
date
is
specified
in
the
rules.
Any
21
rules
adopted
in
accordance
with
this
section
shall
also
be
22
published
as
a
notice
of
intended
action
as
provided
in
section
23
17A.4.
24
EXPLANATION
25
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
26
the
explanation’s
substance
by
the
members
of
the
general
assembly.
27
This
bill
relates
to
various
matters
under
the
purview
of
the
28
insurance
division
of
the
department
of
commerce.
The
bill
is
29
organized
into
seven
divisions.
30
DIVISION
I
——
UNIFORM
SECURITIES.
Code
section
502.304A
31
(expedited
registration
by
filing
for
small
issuers)
is
amended
32
to
provide
that
an
issuer,
and
a
person
registering
as
an
33
agent
of
the
issuer,
must
pay
the
administrator
a
registration
34
fee
established
by
the
administrator,
rather
than
the
set
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838
fee
amounts
of
$100
(issuer)
and
$10
(person
registering
as
1
an
agent)
required
by
current
law.
Code
section
502.321G
2
(fees)
is
amended
to
change
the
nonrefundable
fee
for
a
3
registration
statement
filed
by
an
offeror
from
$250
to
an
4
amount
established
by
the
administrator.
5
Code
section
502.410
(filing
fees)
is
amended
to
change
6
the
broker-dealer
filing
fee
for
an
application
or
renewal
7
registration
from
$200
to
an
amount
established
by
the
8
administrator.
In
addition,
the
filing
fee
for
registration
9
or
renewal
as
an
agent
is
amended
from
$40
to
an
amount
10
established
by
the
administrator.
Of
the
agent
registration
11
fees
collected,
25
percent
are
appropriated
to
the
securities
12
investor
education
and
financial
literacy
training
fund.
13
Current
law
provides
that
$10
of
every
$40
fee
collected
14
goes
to
the
fund.
The
filing
fee
for
an
investment
adviser
15
application
or
renewal
registration
is
amended
from
$100
to
16
an
amount
established
by
the
administrator.
The
bill
also
17
amends
the
filing
fees
for
an
investment
adviser
representative
18
application,
renewal
registration,
and
change
of
registration
19
from
$30
to
an
amount
established
by
the
administrator.
A
20
federal
covered
investment
adviser
must
pay
an
initial
fee
21
and
an
annual
notice
fee
in
an
amount
established
by
the
22
administrator,
rather
than
the
$100
fee
required
under
current
23
law.
24
DIVISION
II
——
INSURANCE.
The
bill
amends
Code
section
25
505.30
(service
of
process
on
the
commissioner)
to
specify
26
that
the
commissioner
of
insurance
(commissioner)
may
set
a
27
reasonable
fee
for
service
made
on
the
commissioner.
28
The
bill
amends
Code
section
507A.4
(transactions
where
law
29
not
applicable)
and
provides
that
Code
chapter
507A
does
not
30
apply
to
a
multiple
employer
welfare
arrangement
(MEWA)
or
a
31
MEWA
formed
as
an
association
health
plan
(AHP)
that
meets
the
32
requirements
of
Code
chapter
513D.
The
bill
strikes
current
33
Code
section
513D.1
(association
health
plans)
and
replaces
it
34
with
new
provisions
which
detail
the
requirements
for
MEWAs
and
35
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AHPs
that
offer
a
plan
to,
or
that
maintain
a
group
health
plan
1
for,
any
resident
of
Iowa.
“AHP”
and
“MEWA”
are
defined
in
the
2
bill.
3
The
bill
details
the
requirements
of
the
annual
filings
with
4
the
commissioner
required
of
registered
AHPs
and
MEWAs.
The
5
bill
provides
that
a
MEWA
that
is
recognized
as
tax-exempt
6
under
Internal
Revenue
Code
section
501(c)(9),
and
that
is
7
registered
with
the
commissioner
prior
to
January
1,
2018,
8
shall
not
be
considered
an
AHP
unless
the
MEWA
affirmatively
9
elects
to
be
treated
as
an
AHP.
The
bill
makes
conforming
10
changes
to
Code
section
513D.2
(rules
and
enforcement).
11
Code
section
507B.7
(cease
and
desist
orders)
is
amended
12
to
provide
that
a
person
who
violates
any
order
of
the
13
commissioner,
rather
than
just
a
cease
and
desist
order
as
is
14
in
current
law,
may,
after
notice
and
hearing
be
subject
to
a
15
monetary
penalty
and
suspension
or
revocation
of
the
person’s
16
license.
17
The
bill
broadens
the
definition
of
“insurer”
in
Code
18
section
507E.2A
(definitions)
to
include
any
corporation,
19
association,
partnership,
or
individual
engaged
in
the
business
20
of
insurance,
including
but
not
limited
to
a
corporation,
21
association,
partnership,
or
individual
that
issues
a
policy
22
of
workers’
compensation,
a
self-insured
business
for
purposes
23
of
workers’
compensation
liability,
or
a
group
or
self-insured
24
plan.
The
bill
specifically
excludes
a
person
required
to
be
25
licensed
to
sell,
solicit,
or
negotiate
insurance
pursuant
to
26
Code
chapter
522B
from
the
definition.
27
Code
section
507E.8
(law
enforcement
authority)
is
amended
28
by
the
bill
to
specify
that
an
individual
who
is
employed
by
29
the
insurance
division
and
is
designated
as
a
peace
officer
30
shall
be
considered
a
law
enforcement
officer
and
shall
31
exercise
the
powers
of
a
law
enforcement
officer
as
detailed
32
in
the
bill.
33
The
bill
amends
Code
section
508E.3
(license
requirements)to
34
change
the
application
and
renewal
fees
for
a
viatical
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settlement
provider
and
a
viatical
settlement
broker
from
$100
1
to
an
amount
established
by
the
administrator.
2
Code
section
509A.15
(certification
of
self-insurance
plans
3
——
exemption)
is
amended
to
change
the
filing
fee
for
the
end
4
of
fiscal
year
filing
of
a
governing
body
of
a
self-insurance
5
plan
of
a
political
subdivision
or
a
school
corporation
from
6
$100
to
an
amount
established
by
the
commissioner.
The
current
7
$15
per
day
penalty
for
late
filings
is
changed
to
a
late
fee
8
established
by
the
commissioner.
9
The
bill
makes
conforming
changes
to
Code
section
510.21
10
(certificate
of
registration)
and
also
requires
that
an
11
application
for
registration
as
a
third-party
administrator
be
12
accompanied
by
a
filing
fee
as
established
by
the
commissioner.
13
Current
law
does
not
require
submission
of
a
filing
fee.
14
The
bill
strikes
and
replaces
Code
section
510.23
(unfair
15
competition
or
unfair
and
deceptive
acts
or
practices
16
prohibited)
and
makes
third-party
administrators
that
violate
17
Code
chapter
507B
or
510
subject
to
the
sanctions
and
penalties
18
set
out
in
Code
section
507B.7.
Third-party
administrators
are
19
subject
to
Code
chapter
507B
under
current
law.
20
Code
section
511.24
(fees
from
domestic
and
foreign
21
companies)
is
amended
to
change
specific
dollar
amounts
for
22
certain
filing
fees
for
foreign
or
domestic
life
insurance
23
companies
to
fee
amounts
determined
by
the
commissioner.
24
The
bill
makes
conforming
changes
to
Code
section
512B.24
25
(reports)
and
requires
that
the
annual
filing
by
fraternal
26
benefit
societies
be
accompanied
by
a
fee
established
by
the
27
commissioner,
rather
than
$50
as
required
by
current
law.
28
The
bill
makes
conforming
changes
to
Code
section
512B.25
29
(annual
license
——
renewal)
and
requires
that
for
each
license
30
or
renewal
application
a
fraternal
benefit
society
submit
a
fee
31
established
by
the
commissioner,
rather
than
$50
as
required
by
32
current
law.
The
bill
also
changes
the
current
administrative
33
penalty
of
$500
for
a
late
renewal
filing
to
a
late
fee
as
34
established
by
the
commissioner.
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The
bill
makes
conforming
changes
to
Code
chapter
514G
1
(long-term
care
insurance)
and
amends
the
Code
chapter
2
to
change
the
terminology
throughout
the
Code
chapter
3
from
“independent
review
entity”
to
“independent
review
4
organization”.
5
Code
section
515.147
(fees)
is
amended
to
change
filing
6
fees
for
certain
filings
from
specific
dollar
amounts
to
fees
7
determined
by
the
commissioner.
The
bill
makes
conforming
8
changes
to
and
amends
Code
section
515A.10
to
provide
more
9
specific
requirements
related
to
licensing
requirements,
fees,
10
and
penalties
for
advisory
organizations.
11
The
bill
amends
Code
section
515F.8
(licensing
advisory
12
organizations)
to
require
licensing
advisory
organizations
13
to
submit
a
fee,
determined
by
the
commissioner,
with
their
14
application
for
a
license,
and
makes
the
license
effective
for
15
three
years,
rather
than
the
one
year
under
current
law.
16
Code
section
515F.32
is
amended
to
add
reciprocal
insurers
17
to
the
definition
of
“insurer”.
Code
section
515F.36
is
18
amended
to
change
the
makeup
of
the
membership
of
the
governing
19
committee
that
administers
the
FAIR
plan.
The
bill
creates
a
20
new
requirement
that
if
basic
property
insurance
coverage
is
21
canceled
or
not
renewed
other
than
for
nonpayment
of
a
premium
22
pursuant
to
Code
section
515.125,
515.126,
515.127,
515.128,
23
518.23,
or
518A.29,
the
insurer
must
notify
the
named
insured
24
that
they
may
be
eligible
for
basic
property
insurance
through
25
the
FAIR
plan,
and
the
notice
must
accompany
the
notice
of
26
cancellation
or
the
intent
not
to
renew.
27
The
bill
amends
Code
section
515I.4
(requirements
for
28
eligible
surplus
lines
insurers)
to
allow
a
nonadmitted
29
insurer
seeking
to
qualify
as
an
eligible
surplus
line
insurer
30
the
option
of
demonstrating
that
the
nonadmitted
insurer
31
has
capital
and
surplus
under
the
laws
of
the
nonadmitted
32
insurer’s
domiciliary
that
equal
the
risk-based
capital
level
33
requirements
required
by
Iowa
law.
Current
law
requires
the
34
nonadmitted
insurer
to
demonstrate
that
the
nonadmitted
insurer
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has
capital
and
surplus
under
the
laws
of
the
nonadmitted
1
insurer’s
domiciliary
that
equal
the
greater
of
the
minimum
2
capital
and
surplus
required
under
the
laws
of
this
state,
or
3
$15
million.
4
Code
section
520.12
(certificate
of
authority
——
renewal
——
5
penalties)
is
amended
to
change
the
annual
renewal
fee
for
a
6
reciprocal
or
interinsurance
insurer
from
$500
to
be
submitted
7
to
the
treasurer
of
state,
to
an
administrative
fee
as
8
established
by
the
commissioner
to
be
paid
to
the
commissioner.
9
The
bill
amends
Code
section
521.18
(articles
of
merger
10
or
consolidation)
to
change
the
fee
for
specific
companies
11
to
file
a
plan
to
merge
or
consolidate
from
$50
to
an
amount
12
established
by
the
commissioner.
13
Code
section
522.9
(penalties)
is
amended
to
allow
the
14
commissioner
to
deposit
penalties
that
have
been
collected
due
15
to
insurers’
failure
to
file
a
timely
own
risk
and
solvency
16
assessment
summary
report
pursuant
to
Code
section
505.7.
17
Current
law
requires
the
commissioner
to
deposit
the
penalties
18
into
the
general
fund
of
the
state.
19
Code
section
522A.5
(counter
employee
——
license
fee)
is
20
amended
to
change
the
license
fee
for
a
counter
employee
from
21
$50
to
an
amount
established
by
the
commissioner,
and
removes
22
the
cap
of
$1,000
per
calendar
year
for
all
combined
fees
paid
23
by
any
one
rental
company.
24
The
bill
amends
Code
section
522B.5
(application
for
25
license)
to
change
the
application
fee
for
a
resident
insurance
26
producer
license
from
$50
to
an
amount
established
by
the
27
commissioner.
28
Code
section
522E.4
(application
and
fees)
is
amended
to
29
change
the
application
fee
for
a
portable
electronics
insurance
30
license
from
a
variable
dollar
amount
to
an
amount
established
31
by
the
commissioner.
The
bill
also
removes
the
$5,000
cap
32
on
the
total
application
fees
that
can
be
charged
for
the
33
licensure
of
a
portable
electronics
vendor
with
multiple
34
locations.
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The
bill
makes
conforming
changes
to
Code
sections
508E.2
1
(definitions),
509.1(9)
(form
of
policy),
509.19(2)
(claims
2
and
premium
disclosures),
515A.2
(definitions),
515A.6
3
(rating
organizations),
515A.10
(advisory
organizations),
4
515D.4
(notice
of
cancellation
——
reasons),
515D.5
(delivery
5
of
notice),
515D.6
(prohibited
reasons),
515D.7
(notice
of
6
intent),
515D.10
(hearing
before
commissioner),
and
515F.2
7
(definitions).
8
DIVISION
III
——
CEMETERY
AND
FUNERAL
MERCHANDISE
AND
FUNERAL
9
SALES.
The
bill
amends
Code
section
523A.204
(preneed
seller
10
annual
reporting
requirements)
to
require
preneed
sellers
to
11
file
an
annual
report
by
April
15
rather
than
the
current
date
12
of
April
1.
The
bill
changes
the
filing
fee
for
the
report
13
from
$10
to
an
amount
established
by
the
commissioner.
The
14
bill
allows
the
commissioner
to
impose
a
late
fee
for
each
15
day
the
report
is
late,
up
to
a
maximum
of
$500.
The
fee
is
16
to
be
collected
by
the
commissioner
and
deposited
pursuant
to
17
Code
section
505.7.
Code
section
523A.501
(preneed
sellers
——
18
licenses)
is
amended
to
specify
that
preneed
sellers’
licenses
19
expire
annually
on
April
30,
rather
than
the
current
expiration
20
date
of
April
15.
The
bill
changes
the
filing
fee
for
a
21
multijurisdictional
preneed
seller’s
license
that
is
issued
by
22
another
jurisdiction
from
$50
to
an
amount
established
by
the
23
commissioner.
24
The
bill
amends
Code
section
523A.502
(sales
agents
——
25
licenses)
to
specify
that
sales
agents’
licenses
expire
26
annually
on
April
30,
rather
than
the
current
expiration
date
27
of
April
15,
and
an
agent
must
have
fulfilled
continuing
28
education
requirements
to
qualify
for
renewal.
Code
section
29
523A.502A
(sales
agent
annual
reporting
requirements)
is
30
amended
to
require
sales
agents
to
file
an
annual
report
by
31
April
15,
rather
than
the
current
date
of
April
1.
The
bill
32
allows
the
commissioner
to
impose
a
late
fee
for
each
day
that
33
the
annual
report
is
late,
up
to
a
maximum
of
$500.
The
fee
is
34
to
be
collected
by
the
commissioner
and
deposited
pursuant
to
35
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Code
section
505.7.
1
The
bill
strikes
and
replaces
Code
section
523A.601
2
(disclosures)
and
requires
that
all
purchase
agreements,
3
including
those
delivered
or
executed
by
electronic
means,
4
identify
a
sales
agent.
Purchase
agreements
must
also
be
5
reviewed
by
the
sales
agent
and
signed
by
the
purchaser
and
6
seller.
If
a
purchase
agreement
is
for
mortuary
science
7
services,
the
purchase
agreement
must
also
be
signed
by
a
8
person
licensed
to
deliver
funeral
services.
9
The
bill
amends
Code
section
523A.812
(insurance
division
10
regulatory
fund)
to
allocate
an
amount
established
by
the
11
commissioner
to
the
regulatory
fund
from
the
filing
fees
for
12
each
purchase
agreement
reported
on
a
preneed
seller’s
annual
13
report.
Current
law
requires
the
commissioner
to
allocate
14
$2
from
each
filing
fee
to
the
regulatory
fund.
The
bill
15
also
removes
the
prohibition
on
an
annual
allocation
to
the
16
regulatory
fund
if
the
current
balance
exceeds
$500,000.
17
Code
section
523A.814
(examination
fee)
is
amended
to
change
18
the
examination
fee
for
a
seller’s
annual
report
from
$5,
19
or
other
set
dollar
amount,
to
an
amount
established
by
the
20
commissioner.
21
The
bill
makes
conforming
changes
to
Code
section
523A.807
22
(prosecutions
for
violations
of
law).
23
DIVISION
IV
——
RESIDENTIAL
AND
MOTOR
VEHICLE
SERVICE
24
CONTRACTS.
Code
section
523C.3
(application
for
license)
25
is
amended
to
change
the
$500
fee
for
an
application
for
26
a
service
company
license
to
a
fee
established
by
the
27
commissioner.
The
current
fee
of
$50
for
each
motor
vehicle
28
service
contract
form
submitted
with
an
application
is
also
29
changed
to
a
fee
as
established
by
the
commissioner.
Code
30
section
523C.4
(license
expiration
and
renewal)
is
amended
to
31
change
the
license
renewal
fee
of
$500
to
a
fee
established
32
by
the
commissioner.
The
bill
amends
the
fee,
based
on
the
33
aggregate
amount
of
payments
a
licensee
received
for
the
sale
34
or
issuance
of
residential
service
contracts
in
this
state
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during
the
preceding
fiscal
year,
from
3
percent
per
contract
1
to
a
percentage
established
by
the
commissioner
by
rule,
and
2
also
removes
the
minimum
and
maximum
dollar
amount
of
fees
3
that
a
licensee
is
required
to
submit.
In
addition,
the
bill
4
amends
the
fee
for
each
motor
vehicle
service
contract
form
5
submitted
with
an
application
from
$50
to
a
fee
established
by
6
the
commissioner.
7
Code
section
523C.24
(service
company
oversight
fund)
is
8
amended
to
allow
the
commissioner
to
establish
the
amount
9
deposited
in
the
service
company
oversight
fund
from
all
10
licensing,
examination,
renewal,
and
inspection
fees
collected
11
under
Code
chapter
523C.
The
bill
also
removes
the
current
12
$500,000
maximum
cap
on
fees
that
may
be
deposited
in
the
fund
13
each
fiscal
year.
14
DIVISION
V
——
RETIREMENT
FACILITIES.
Code
section
523D.2A
15
is
amended
to
change
the
administrative
fee
submitted
by
a
16
provider
with
its
certification
filing
from
$100
to
an
amount
17
established
by
the
commissioner.
18
DIVISION
VI
——
IOWA
CEMETERY
ACT.
Code
section
523I.102
19
(definitions)
is
amended
to
exclude
specific
cemeteries,
under
20
the
jurisdiction
and
control
of
a
cemetery
commission
that
21
has
jurisdiction
and
control
over
pioneer
cemeteries,
from
22
the
definition
of
“cemetery”
for
purposes
of
Code
chapter
23
523I.
Code
section
523I.213
(insurance
division’s
enforcement
24
fund)
is
amended
to
remove
the
cap
on
the
allocation
to
the
25
insurance
division’s
enforcement
fund
of
examination
fees
paid
26
by
perpetual
cemeteries
with
their
annual
report.
The
bill
27
requires
the
commissioner
to
deposit
all
of
the
examination
28
fees
in
the
enforcement
fund.
29
Code
section
523I.301
(disclosure
requirements
——
prices
30
and
fees)
is
amended
to
require
cemeteries
to
disclose,
prior
31
to
the
sale
of
interment
rights,
whether
opening
and
closing
32
services
are
included
in
the
purchase
price.
The
bill
also
33
requires
cemeteries
to
disclose
all
fees
associated
with
34
disinterment
services.
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H.F.
838
Code
section
523I.309
(interment,
relocation,
or
1
disinterment
of
remains)
is
amended
to
require
cemeteries
2
to
disinter
and
relocate
remains
interred
in
a
cemetery
for
3
the
purpose
of
correcting
an
error
made
by
the
cemetery,
4
unless
the
interested
parties
have
a
written
agreement
5
directing
otherwise.
The
cemetery
must
bear
all
costs
of
the
6
disinterment
and
relocation.
Current
law
permits,
but
does
not
7
require,
a
cemetery
to
disinter
and
relocate
such
remains,
and
8
the
cemetery
is
not
required
to
bear
the
cost
of
disinterment
9
and
relocation.
10
The
bill
amends
Code
section
523I.808
(examination
fee)
to
11
require
an
examination
fee,
established
by
the
commissioner,
12
for
each
certificate
of
interment
rights
issued
during
the
13
period
covered
by
a
perpetual
care
cemetery’s
annual
report.
14
Under
current
law,
the
fee
is
$5
per
certificate.
15
The
bill
amends
Code
section
523I.813
(annual
report
by
16
perpetual
care
cemeteries)
to
allow,
rather
than
to
require,
17
the
commissioner
to
impose
a
late
penalty
on
a
perpetual
care
18
cemetery
that
fails
to
timely
file
its
annual
report.
19
DIVISION
VII
——
STATE
INNOVATION
WAIVER.
The
bill
20
authorizes
the
commissioner
to
develop
by
rule
a
state
21
innovation
waiver
(waiver)
pursuant
to
section
1332
of
the
22
federal
Patient
Protection
and
Affordable
Care
Act,
Pub.
L.
No.
23
111-148,
and
to
submit
an
application
on
behalf
of
the
state
24
to
the
United
States
secretary
of
health
and
human
services
25
and
the
United
States
secretary
of
the
treasury
(secretaries)
26
for
the
waiver.
If
a
waiver
is
approved
by
the
secretaries,
27
the
commissioner
is
authorized
to
implement
the
waiver
in
a
28
manner
consistent
with
applicable
state
and
federal
law.
The
29
bill
authorizes
the
commissioner
to
adopt
emergency
rules
30
to
implement
the
waiver
and
the
rules
are
to
be
effective
31
immediately
upon
filing
unless
a
later
date
is
specified
in
the
32
rules.
Any
rules
that
are
adopted
must
also
be
published
as
a
33
notice
of
intended
action.
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