S.D. among states considering measures modernizing insurance documents delivery
Legislators in three states — including South Dakota — are approving legislation that will modernize how insurers provide documents to their policyholders.
That's according to the Property Casualty Insurers Association of America.
"Access to technology has changed how many consumers handle their personal finances. A growing number of consumers want to manage their personal business via email and text or on a website that is accessible 24/7," said Kelly Campbell, PCI vice president.
Current laws require insurance companies to provide policy documents to consumers through regular mail. New laws are advancing in several legislatures to update the insurance codes and allow insurers to send documents electronically and meet policyholder preferences.
Arizona and Wyoming also have similar measures that are pending in their legislatures.
The South Dakota House of Representatives approved House Bill 1156 Feb. 12.
If legislators in these three states give the stamp of approval on these measures, Arizona, South Dakota and Wyoming will join an expanding number of states revamping their insurance codes. In 2013, 13 states approved laws allowing consumers to access their insurance policy through a website and 17 states approved legislation allowing electronic delivery of documents and notices.
PCI is composed of over 1,000 insurance companies.