Bill > SB2374

This bill makes several significant changes to North Dakota's insurance laws, covering a wide range of areas. The bill introduces new provisions for property insurance, including mandatory arbitration endorsements, which require explicit written consent from policyholders and include specific disclosure requirements about waiving legal rights. It also establishes regulations for managed repair programs, requiring insurers to prominently disclose restrictions on repair vendor choices and specify premium benefits. The bill creates new guidelines for civil remedy actions against property insurers, mandating that insureds must first establish a contract breach through a court judgment before proceeding with a bad faith claim. Additionally, the bill sets time limitations for filing reopened or supplemental property insurance claims, generally requiring notice within one year of the original loss. The legislation also modifies regulations for surplus lines insurance, purchasing groups, and risk retention groups, including new requirements for financial disclosures, fees, and administrative procedures. A notable section directs the insurance commissioner to study the feasibility of providing towing and recovery cost coverage for vehicles with liability-only insurance during the 2025-26 interim, with a report due to the legislative management before September 1, 2026. The bill aims to provide more transparency, consumer protections, and clarity in various insurance-related transactions and processes.

Business and Industry

https://ndlegis.gov/assembly/69-2025/regular/bill-overview/bo2374.html