WSR 20-03-113
PERMANENT RULES
OFFICE OF THE
INSURANCE COMMISSIONER
[Insurance Commissioner Matter No. R 2019-09—Filed January 16, 2020, 8:39 a.m., effective August 1, 2020]
Effective Date of Rule: August 1, 2020.
Purpose: To increase consumer awareness of available agency assistance and to help consumers with their insurance questions by requiring contact information for the office of the insurance commissioner on adverse notifications.
Citation of Rules Affected by this Order: New WAC 284-30-770.
Statutory Authority for Adoption: RCW 48.02.060, 48.18.545, 48.19.035, 48.43.525, and 48.43.535.
Adopted under notice filed as WSR 19-15-133 on July 23, 2019.
A final cost-benefit analysis is available by contacting David Forte, P.O. Box 40260, Olympia, WA 98504-0260, phone 360-725-7042, email DavidF@oic.wa.gov.
Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.
Number of Sections Adopted at the Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.
Number of Sections Adopted on the Agency's own Initiative: New 1, Amended 0, Repealed 0.
Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.
Number of Sections Adopted using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 1, Amended 0, Repealed 0.
Date Adopted: January 16, 2020.
Mike Kreidler
Insurance Commissioner
NEW SECTION
WAC 284-30-770Adverse notification requirements.
(1) This section applies to all insurers, fraternal benefit societies, health carriers including disability, health maintenance organizations (HMOs), health care service contractors (HCSCs), and limited licensed carriers, and to all insurance policies, health plans, and insurance contracts.
(2) For the purpose of this section only the term "Adverse notification" means a notice, statement, or document from an insurer, fraternal benefit societies, health carriers including disability, HMOs, HCSCs, and limited licensed carriers to their insured, or enrollee, or both, describing one or more of the following:
(a) A claim denial;
(b) A final claim payment for less than the amount of the claim submitted. This does not include a claim that is paid less than the original amount to reflect the contracted health care provider's rate;
(c) An adverse benefit determination as defined in RCW 48.43.005(2); and
(d) Rescission, cancellation, termination or nonrenewal of a policy unless initiated by an insured. This does not apply to the end of a scheduled policy term or cancellation due to nonpayment of premium.
(3) On each adverse notification provided, the notice must include the following information:
"If you have questions or concerns about the actions of your insurance company or agent, or would like information on your rights to file an appeal, contact the Washington state Office of the Insurance Commissioner's consumer protection hotline at 1-800-562-6900 or visit www.insurance.wa.gov. The insurance commissioner protects and educates insurance consumers, advances the public interest, and provides fair and efficient regulation of the insurance industry."
(4) The notice specified in subsection (3) of this section must be in the same font type and not less than the font size of the majority of the notification. This notice must appear on the first page, at the end of the adverse notification, or where this notice currently exists if adverse notices are already provided to insureds.