Bill > HB114

This bill proposes several key revisions to consumer protection laws related to insurance and financial planning. It establishes new regulations for insurance producers offering financial planning services, requiring them to disclose their status as insurance producers and any potential commissions when providing financial advice. The bill prohibits insurance producers from holding themselves out as financial planners unless they have formal certification, and mandates that any financial planning fees must be based on a written agreement that clearly outlines services, fees, and the client's freedom to choose insurance providers. Additionally, the bill introduces definitions for health insurance lead generators and expands regulations around insurance advertising, claim settlements, and lending practices. It strengthens consumer protections by requiring insurers to maintain detailed complaint records, prohibiting misleading marketing practices, and preventing lenders from coercing borrowers into specific insurance arrangements. The bill also updates language around misrepresentation in insurance policies, adds provisions about electronic advertising, and requires insurers to provide more transparent information about insurance products and claims. These changes aim to protect consumers from deceptive practices in the insurance and financial planning industries, with the new regulations set to take effect on January 1, 2026.

Business and Industry

https://bills.legmt.gov/#/laws/bill/2/LC0104