Tenn. Code Ann. § 56-7-610 — TN Code / Title 56 / Chapter 7 / Section 56-7-610
Enrollee price negotiation for out of pocket services
Status: in_force

(a) An enrollee may choose to pay for a healthcare service out-of-pocket from an out-of-network provider. If an enrollee negotiates for a lower cost from an out-of-network provider than the average allowed amount paid by the carrier to a network provider for a comparable healthcare service, and the enrollee pays for the healthcare service out-of-pocket, then the enrollee may send documentation, which may be sent electronically, to the carrier, that provides the following: (1) The healthcare service the enrollee or patient received and the healthcare provider's name and contact information; (2) The order from the healthcare provider given to the enrollee or patient pursuant to § 56-7-605 and the final bill or statement for the healthcare service; (3) The average payments made by the carrier to network entities or providers for comparable healthcare services if this information is made available to the enrollee pursuant to this part; (4) The negotiated cost of the healthcare service that the enrollee received; and (5) A statement that: (A) The enrollee paid out-of-pocket for the healthcare services received; and (B) The healthcare entity is not making a claim against the carrier for payment for the healthcare service provided to the enrollee or patient. (b) A carrier that receives the documentation described in subsection (a) shall count the full amount that the enrollee paid out-of-pocket toward the enrollee's deductible, coinsurance, copayment, or other cost-sharing amount: (1) If the healthcare service is included under the enrollee's health plan; and (2) The enrollee negotiated for a lower cost for the healthcare service than the average allowed amount paid by the carrier to network providers for that comparable healthcare service. (c) The amount counted toward an enrollee's out-of-pocket deductible, coinsurance, copayment, or other cost-sharing amount must not exceed the total amount that the covered person is required to pay out-of-pocket during a contractually agreed upon period of time for healthcare services that are included under the covered person's insurance plan, and does not carry over once a new contract or agreement period for the insurance plan begins. Amended by 2023 Tenn. Acts, ch. 244, s 3, eff. 7/1/2023. Acts 2019, ch. 407, § 1.
(a) An enrollee may choose to pay for a healthcare service out-of-pocket from an out-of-network provider. If an enrollee negotiates for a lower cost from an out-of-network provider than the average allowed amount paid by the carrier to a network provider for a comparable healthcare service, and the enrollee pays for the healthcare service out-of-pocket, then the enrollee may send documentation, which may be sent electronically, to the carrier, that provides the following: (1) The healthcare service the enrollee or patient received and the healthcare provider's name and contact information; (2) The order from the healthcare provider given to the enrollee or patient pursuant to § 56-7-605 and the final bill or statement for the healthcare service; (3) The average payments made by the carrier to network entities or providers for comparable healthcare services if this information is made available to the enrollee pursuant to this part; (4) The negotiated cost of the healthcare service that the enrollee received; and (5) A statement that: (A) The enrollee paid out-of-pocket for the healthcare services received; and (B) The healthcare entity is not making a claim against the carrier for payment for the healthcare service provided to the enrollee or patient.
(1) The healthcare service the enrollee or patient received and the healthcare provider's name and contact information;
(2) The order from the healthcare provider given to the enrollee or patient pursuant to § 56-7-605 and the final bill or statement for the healthcare service;
(3) The average payments made by the carrier to network entities or providers for comparable healthcare services if this information is made available to the enrollee pursuant to this part;
(4) The negotiated cost of the healthcare service that the enrollee received; and
(5) A statement that: (A) The enrollee paid out-of-pocket for the healthcare services received; and (B) The healthcare entity is not making a claim against the carrier for payment for the healthcare service provided to the enrollee or patient.
(A) The enrollee paid out-of-pocket for the healthcare services received; and
(B) The healthcare entity is not making a claim against the carrier for payment for the healthcare service provided to the enrollee or patient.
(b) A carrier that receives the documentation described in subsection (a) shall count the full amount that the enrollee paid out-of-pocket toward the enrollee's deductible, coinsurance, copayment, or other cost-sharing amount: (1) If the healthcare service is included under the enrollee's health plan; and (2) The enrollee negotiated for a lower cost for the healthcare service than the average allowed amount paid by the carrier to network providers for that comparable healthcare service.
(1) If the healthcare service is included under the enrollee's health plan; and
(2) The enrollee negotiated for a lower cost for the healthcare service than the average allowed amount paid by the carrier to network providers for that comparable healthcare service.
(c) The amount counted toward an enrollee's out-of-pocket deductible, coinsurance, copayment, or other cost-sharing amount must not exceed the total amount that the covered person is required to pay out-of-pocket during a contractually agreed upon period of time for healthcare services that are included under the covered person's insurance plan, and does not carry over once a new contract or agreement period for the insurance plan begins.
Amended by 2023 Tenn. Acts, ch. 244, s 3, eff. 7/1/2023.
Acts 2019, ch. 407, § 1.
Tenn. Code Ann. § 56-6-405 — TN Code / Title 56 / Chapter 6 / Section 56-6-405
Advertising
Status: in_force

An administrator may use only advertising pertaining to the business underwritten by an insurer that has been approved by the insurer in advance of its use. Acts 1980, ch. 640, § 5.
An administrator may use only advertising pertaining to the business underwritten by an insurer that has been approved by the insurer in advance of its use.
Acts 1980, ch. 640, § 5.
Tenn. Code Ann. § 56-9-329 — TN Code / Title 56 / Chapter 9 / Section 56-9-329
Valuation of security held by secured creditors
Status: in_force

(a) The value of any security held by a secured creditor shall be determined in one (1) of the following ways, as the court may direct: (1) By converting the same into money according to the terms of the agreement pursuant to which the security was delivered to the creditors; or (2) By agreement, arbitration, compromise or litigation between the creditor and the liquidator. (b) The determination shall be under the supervision and control of the court with due regard for the recommendation of the liquidator. The amount so determined shall be credited upon the secured claim, and any deficiency shall be treated as an unsecured claim. If the claimant surrenders the claimant's security to the liquidator, the entire claim shall be allowed as if unsecured. Acts 1991, ch. 142, § 4.
(a) The value of any security held by a secured creditor shall be determined in one (1) of the following ways, as the court may direct: (1) By converting the same into money according to the terms of the agreement pursuant to which the security was delivered to the creditors; or (2) By agreement, arbitration, compromise or litigation between the creditor and the liquidator.
(1) By converting the same into money according to the terms of the agreement pursuant to which the security was delivered to the creditors; or
(2) By agreement, arbitration, compromise or litigation between the creditor and the liquidator.
(b) The determination shall be under the supervision and control of the court with due regard for the recommendation of the liquidator. The amount so determined shall be credited upon the secured claim, and any deficiency shall be treated as an unsecured claim. If the claimant surrenders the claimant's security to the liquidator, the entire claim shall be allowed as if unsecured.
Acts 1991, ch. 142, § 4.
Tenn. Code Ann. § 56-13-415 — TN Code / Title 56 / Chapter 13 / Section 56-13-415
Dividends
Status: in_force

(a) No SPFC shall declare or pay dividends in any form to its owners other than in accordance with the insurance securitization transaction agreements, and in no extent shall the dividends decrease the capital of the SPFC below two hundred fifty thousand dollars ($250,000). After giving effect to the dividends, the assets of the SPFC, including assets held in trust pursuant to the terms of the insurance securitization, shall be sufficient to satisfy the commissioner that the SPFC can meet its obligations. Approval by the commissioner of an ongoing plan for the payment of dividends or other distribution by an SPFC must be conditioned upon the retention, at the time of each payment, of capital or surplus equal to or in excess of amounts specified by, or determined in accordance with formulas approved for the SPFC by the commissioner. (b) The dividends may be declared by the management of the SPFC if the dividends do not violate this part or jeopardize the fulfillment of the obligations of the SPFC or the trustee pursuant to the SPFC insurance securitization agreements, the SPFC contract, or any related transaction and other provisions of this part. Acts 2011, ch. 468, § 1.
(a) No SPFC shall declare or pay dividends in any form to its owners other than in accordance with the insurance securitization transaction agreements, and in no extent shall the dividends decrease the capital of the SPFC below two hundred fifty thousand dollars ($250,000). After giving effect to the dividends, the assets of the SPFC, including assets held in trust pursuant to the terms of the insurance securitization, shall be sufficient to satisfy the commissioner that the SPFC can meet its obligations. Approval by the commissioner of an ongoing plan for the payment of dividends or other distribution by an SPFC must be conditioned upon the retention, at the time of each payment, of capital or surplus equal to or in excess of amounts specified by, or determined in accordance with formulas approved for the SPFC by the commissioner.
(b) The dividends may be declared by the management of the SPFC if the dividends do not violate this part or jeopardize the fulfillment of the obligations of the SPFC or the trustee pursuant to the SPFC insurance securitization agreements, the SPFC contract, or any related transaction and other provisions of this part.
Acts 2011, ch. 468, § 1.
Tenn. Code Ann. § 56-25-402 — TN Code / Title 56 / Chapter 25 / Section 56-25-402
Beneficiaries - Funeral benefits
Status: in_force

(a) The owner of a benefit contract has the right at all times to change the beneficiaries in accordance with the laws or rules of the society, unless the owner waives this right by specifically requesting in writing that the beneficiary designation be irrevocable. A society may, through its laws or rules, limit the scope of beneficiary designations and shall provide that no revocable beneficiary shall have or obtain any vested interest in the proceeds of any certificate, until the certificate has become due and payable in conformity with the benefit contract. (b) A society may make provision for the payment of funeral benefits to the extent of the portion of any payment under a certificate as might reasonably appear to be due to any person equitably entitled thereto by reason of having incurred expenses occasioned by the burial of the member. (c) If, at the death of any person insured under a benefit contract, there is no lawful beneficiary to whom the proceeds are payable, the amount of the benefit, except to the extent that funeral benefits may be paid as provided in this section, shall be payable to the personal representatives of the deceased insured; provided, that if the owner of the certificate is other than the insured, the proceeds shall be payable to the owner. Acts 1990, ch. 703, § 1.
(a) The owner of a benefit contract has the right at all times to change the beneficiaries in accordance with the laws or rules of the society, unless the owner waives this right by specifically requesting in writing that the beneficiary designation be irrevocable. A society may, through its laws or rules, limit the scope of beneficiary designations and shall provide that no revocable beneficiary shall have or obtain any vested interest in the proceeds of any certificate, until the certificate has become due and payable in conformity with the benefit contract.
(b) A society may make provision for the payment of funeral benefits to the extent of the portion of any payment under a certificate as might reasonably appear to be due to any person equitably entitled thereto by reason of having incurred expenses occasioned by the burial of the member.
(c) If, at the death of any person insured under a benefit contract, there is no lawful beneficiary to whom the proceeds are payable, the amount of the benefit, except to the extent that funeral benefits may be paid as provided in this section, shall be payable to the personal representatives of the deceased insured; provided, that if the owner of the certificate is other than the insured, the proceeds shall be payable to the owner.
Acts 1990, ch. 703, § 1.
Tenn. Code Ann. § 56-3-117 — TN Code / Title 56 / Chapter 3 / Section 56-3-117
Foreign and alien insurers - Investments
Status: in_force

(a) The investments of foreign and alien insurers shall be as permitted by the laws of their domicile but shall be of a quality substantially as high as those required under § 56-2-120 or §§ 56-3-113 - 56-3-116 and this section for similar funds of like domestic insurers. (b) For the purpose of this section, the domicile of an alien insurer, other than insurers formed under the laws of Canada, shall be that state designated by the insurer in writing filed with the commissioner at the time of admission to this state and may be any one (1) of the following states in which: (1) The insurer was first authorized to transact insurance; (2) The insurer's principal place of business is located in the United States; or (3) The larger deposits of trusteed assets of the insurer for the protection of its policyholders and creditors in the United States is held. (c) If the insurer makes no such designation, its domicile shall be deemed to be that state in which is located its principal place of business in the United States. (d) In the case of the insurer formed under the laws of Canada or a province of Canada, its domicile shall be deemed to be that province in which its head office is situated. (e) Before the commissioner takes any action pursuant to this section, the commissioner shall give written notice to the insurer involved, stating specifically the nature of the alleged violation, and fixing a time and place, at least ten (10) days thereafter, when a hearing on the matter shall be held. The burden of proof shall be on the commissioner to show the lack of statutory criteria by the preponderance of the evidence. After the hearing, or upon failure of the accused to appear at the hearing, the commissioner, if the commissioner finds a violation, may enter an appropriate order under this section as the commissioner deems advisable. (f) When the commissioner takes action in any or all of the ways set out in this section, the party aggrieved may appeal from the action to the chancery court of Davidson County. Acts 1991, ch. 142, § 2; 1999, ch. 394, § 1; T.C.A. § 56-3-116 .
(a) The investments of foreign and alien insurers shall be as permitted by the laws of their domicile but shall be of a quality substantially as high as those required under § 56-2-120 or §§ 56-3-113 - 56-3-116 and this section for similar funds of like domestic insurers.
(b) For the purpose of this section, the domicile of an alien insurer, other than insurers formed under the laws of Canada, shall be that state designated by the insurer in writing filed with the commissioner at the time of admission to this state and may be any one (1) of the following states in which: (1) The insurer was first authorized to transact insurance; (2) The insurer's principal place of business is located in the United States; or (3) The larger deposits of trusteed assets of the insurer for the protection of its policyholders and creditors in the United States is held.
(1) The insurer was first authorized to transact insurance;
(2) The insurer's principal place of business is located in the United States; or
(3) The larger deposits of trusteed assets of the insurer for the protection of its policyholders and creditors in the United States is held.
(c) If the insurer makes no such designation, its domicile shall be deemed to be that state in which is located its principal place of business in the United States.
(d) In the case of the insurer formed under the laws of Canada or a province of Canada, its domicile shall be deemed to be that province in which its head office is situated.
(e) Before the commissioner takes any action pursuant to this section, the commissioner shall give written notice to the insurer involved, stating specifically the nature of the alleged violation, and fixing a time and place, at least ten (10) days thereafter, when a hearing on the matter shall be held. The burden of proof shall be on the commissioner to show the lack of statutory criteria by the preponderance of the evidence. After the hearing, or upon failure of the accused to appear at the hearing, the commissioner, if the commissioner finds a violation, may enter an appropriate order under this section as the commissioner deems advisable.
(f) When the commissioner takes action in any or all of the ways set out in this section, the party aggrieved may appeal from the action to the chancery court of Davidson County.
Acts 1991, ch. 142, § 2; 1999, ch. 394, § 1; T.C.A. § 56-3-116 .
Tenn. Code Ann. § 56-5-121 — TN Code / Title 56 / Chapter 5 / Section 56-5-121
Interchange of data for rating plans - Cooperative activities
Status: in_force

(a) Reasonable rules and plans may be promulgated by the commissioner for the interchange of data necessary for the application of rating plans. (b) In order to further conform administration of rate regulatory laws, the commissioner and every insurer and the advisory organization designated by the commissioner may exchange information and experience data with insurance supervisory officials, insurers and advisory organizations in other states and may consult with them with respect to rate making and the application of rating systems. (c) Cooperation among advisory organizations, or among advisory organizations and insurers in rate making or in other matters within the scope of this chapter is authorized, but the filings resulting from the cooperation are subject to this chapter. The commissioner, with the assistance of the attorney general and reporter, may review the cooperative activities and practices. If after a hearing the activity or practice is found to violate this chapter, the commissioner may issue a written order specifying that the activity or practice violates this chapter and requiring the discontinuance of the activity. Acts 1996, ch. 944, § 41.
(a) Reasonable rules and plans may be promulgated by the commissioner for the interchange of data necessary for the application of rating plans.
(b) In order to further conform administration of rate regulatory laws, the commissioner and every insurer and the advisory organization designated by the commissioner may exchange information and experience data with insurance supervisory officials, insurers and advisory organizations in other states and may consult with them with respect to rate making and the application of rating systems.
(c) Cooperation among advisory organizations, or among advisory organizations and insurers in rate making or in other matters within the scope of this chapter is authorized, but the filings resulting from the cooperation are subject to this chapter. The commissioner, with the assistance of the attorney general and reporter, may review the cooperative activities and practices. If after a hearing the activity or practice is found to violate this chapter, the commissioner may issue a written order specifying that the activity or practice violates this chapter and requiring the discontinuance of the activity.
Acts 1996, ch. 944, § 41.
Tenn. Code Ann. § 56-32-127 — TN Code / Title 56 / Chapter 32 / Section 56-32-127
[Repealed]
Status: repealed

Acts 1998, ch. 952, §§ 1, 2; 1999, ch. 244, §§ 1 - 4; T.C.A. §56-32-227, repealed by Acts 2010 , ch. 980, § 28, effective 1/1/2011.
Tenn. Code Ann. § 56-7-3714 — TN Code / Title 56 / Chapter 7 / Section 56-7-3714
Prior authorization transfers
Status: in_force

(a) Upon receipt of information documenting a prior authorization from the enrollee or from the enrollee's healthcare provider, a prior authorization granted to an enrollee from a previous utilization review organization or health carrier must be honored for at least the initial ninety (90) days of an enrollee's coverage under a new health benefit plan. (b) During the time period described under subsection (a), a health carrier or utilization review organization may perform its own review to approve or deny the prior authorization approved by the enrollee's previous health benefit plan effective when the initial ninety-day period expires. (c) If there is a change in coverage of, or approval criteria for, a previously authorized healthcare service, then the change in coverage or approval criteria must not affect an enrollee who received prior authorization before the effective date of the change for the remainder of the enrollee's health benefit plan year. (d) A health carrier or utilization review organization shall continue to honor a prior authorization it has granted to an enrollee when the enrollee changes plans carried or administered by the same health carrier. Amended by 2023 Tenn. Acts, ch. 395, s 4, eff. 1/1/2025.
(a) Upon receipt of information documenting a prior authorization from the enrollee or from the enrollee's healthcare provider, a prior authorization granted to an enrollee from a previous utilization review organization or health carrier must be honored for at least the initial ninety (90) days of an enrollee's coverage under a new health benefit plan.
(b) During the time period described under subsection (a), a health carrier or utilization review organization may perform its own review to approve or deny the prior authorization approved by the enrollee's previous health benefit plan effective when the initial ninety-day period expires.
(c) If there is a change in coverage of, or approval criteria for, a previously authorized healthcare service, then the change in coverage or approval criteria must not affect an enrollee who received prior authorization before the effective date of the change for the remainder of the enrollee's health benefit plan year.
(d) A health carrier or utilization review organization shall continue to honor a prior authorization it has granted to an enrollee when the enrollee changes plans carried or administered by the same health carrier.
Amended by 2023 Tenn. Acts, ch. 395, s 4, eff. 1/1/2025.
Tenn. Code Ann. § 56-12-114 — TN Code / Title 56 / Chapter 12 / Section 56-12-114
Tax and fees exemption
Status: in_force

The association shall be exempt from payment of all fees, except examination fees, and all taxes levied by this state or any of its subdivisions, except taxes levied on real or personal property. Acts 1971, ch. 180, § 14; T.C.A., § 56-4014.
The association shall be exempt from payment of all fees, except examination fees, and all taxes levied by this state or any of its subdivisions, except taxes levied on real or personal property.
Acts 1971, ch. 180, § 14; T.C.A., § 56-4014.
Tenn. Code Ann. § 56-4-214 — TN Code / Title 56 / Chapter 4 / Section 56-4-214
Liability after ceasing to transact new business
Status: in_force

Any insurance company ceasing for any cause to transact new business in this state shall continue to pay the taxes provided in this part in accordance with § 56-4-215 . Acts 1945, ch. 3, § 1; C. Supp. 1950, § 1248.41 (Williams, § 1248.169); T.C.A. (orig. ed.), § 56-418.
Any insurance company ceasing for any cause to transact new business in this state shall continue to pay the taxes provided in this part in accordance with § 56-4-215 .
Acts 1945, ch. 3, § 1; C. Supp. 1950, § 1248.41 (Williams, § 1248.169); T.C.A. (orig. ed.), § 56-418.
Tenn. Code Ann. § 56-2-106 — TN Code / Title 56 / Chapter 2 / Section 56-2-106
Certificate of exemption
Status: in_force

(a) The commissioner shall, upon the payment of a filing fee of one hundred dollars ($100), grant a certificate of exemption to any life insurance or annuity company: (1) That is organized and operated without profit to any private shareholder or individual; (2) That is organized and operated exclusively for the purpose of aiding educational or scientific institutions that are also organized and operated without profit to any private shareholder or individual; (3) That serves that purpose by issuing insurance and annuity contracts only to or for the benefit of the educational or scientific institutions or to individuals engaged in the service of the institutions; (4) That appoints the commissioner, and the commissioner's successors in office, as its attorney to receive the service of process issued against it in this state, which appointment shall be irrevocable, shall bind the company and any successor in interest, and shall remain in effect so long as there is in force in this state any contract or policy made or issued by the company or any obligation arising from the contract or policy; (5) That is fully and legally organized and qualified to do business and that has been actively doing business under the laws of the state of its incorporation for a period of at least three (3) years prior to its application for a certificate of exemption, and possesses and maintains the amount of capital and surplus that would be required for a company to be qualified in this state to do the kind or kinds of business it transacts; and (6) Whose directors and officers are of known good character and are not affiliated, directly or indirectly, through ownership, control, management, reinsurance transactions, or other insurance or business relations with any person known to have been involved in the improper manipulation of assets, accounts, reinsurance or any matter inimical to the business of insurance. (b) If, after reasonable notice and a hearing, the commissioner finds that any company holding a certificate of exemption no longer meets the requirements of subdivisions (a)(1)-(6), or finds that any company holding a certificate of exemption has been guilty of any unfair method of competition or any unfair or deceptive acts or practices, as defined in § 56-8-104 , the commissioner may enter an order suspending or revoking the certificate of exemption, which order may be reviewed by the writs of certiorari and supersedeas as otherwise provided by law. (c) Any company holding a certificate of exemption shall pay the premium tax imposed by § 56-4-205 on all policies of life insurance issued after April 4, 1968, to residents of the state, which policies are not issued pursuant to a plan or program authorized by the governing board of the educational or scientific institution, and the premiums for which are not paid for in whole or in part by the educational or scientific institution. Acts 1968, ch. 536, § 1; T.C.A., § 56-206.
(a) The commissioner shall, upon the payment of a filing fee of one hundred dollars ($100), grant a certificate of exemption to any life insurance or annuity company: (1) That is organized and operated without profit to any private shareholder or individual; (2) That is organized and operated exclusively for the purpose of aiding educational or scientific institutions that are also organized and operated without profit to any private shareholder or individual; (3) That serves that purpose by issuing insurance and annuity contracts only to or for the benefit of the educational or scientific institutions or to individuals engaged in the service of the institutions; (4) That appoints the commissioner, and the commissioner's successors in office, as its attorney to receive the service of process issued against it in this state, which appointment shall be irrevocable, shall bind the company and any successor in interest, and shall remain in effect so long as there is in force in this state any contract or policy made or issued by the company or any obligation arising from the contract or policy; (5) That is fully and legally organized and qualified to do business and that has been actively doing business under the laws of the state of its incorporation for a period of at least three (3) years prior to its application for a certificate of exemption, and possesses and maintains the amount of capital and surplus that would be required for a company to be qualified in this state to do the kind or kinds of business it transacts; and (6) Whose directors and officers are of known good character and are not affiliated, directly or indirectly, through ownership, control, management, reinsurance transactions, or other insurance or business relations with any person known to have been involved in the improper manipulation of assets, accounts, reinsurance or any matter inimical to the business of insurance.
(1) That is organized and operated without profit to any private shareholder or individual;
(2) That is organized and operated exclusively for the purpose of aiding educational or scientific institutions that are also organized and operated without profit to any private shareholder or individual;
(3) That serves that purpose by issuing insurance and annuity contracts only to or for the benefit of the educational or scientific institutions or to individuals engaged in the service of the institutions;
(4) That appoints the commissioner, and the commissioner's successors in office, as its attorney to receive the service of process issued against it in this state, which appointment shall be irrevocable, shall bind the company and any successor in interest, and shall remain in effect so long as there is in force in this state any contract or policy made or issued by the company or any obligation arising from the contract or policy;
(5) That is fully and legally organized and qualified to do business and that has been actively doing business under the laws of the state of its incorporation for a period of at least three (3) years prior to its application for a certificate of exemption, and possesses and maintains the amount of capital and surplus that would be required for a company to be qualified in this state to do the kind or kinds of business it transacts; and
(6) Whose directors and officers are of known good character and are not affiliated, directly or indirectly, through ownership, control, management, reinsurance transactions, or other insurance or business relations with any person known to have been involved in the improper manipulation of assets, accounts, reinsurance or any matter inimical to the business of insurance.
(b) If, after reasonable notice and a hearing, the commissioner finds that any company holding a certificate of exemption no longer meets the requirements of subdivisions (a)(1)-(6), or finds that any company holding a certificate of exemption has been guilty of any unfair method of competition or any unfair or deceptive acts or practices, as defined in § 56-8-104 , the commissioner may enter an order suspending or revoking the certificate of exemption, which order may be reviewed by the writs of certiorari and supersedeas as otherwise provided by law.
(c) Any company holding a certificate of exemption shall pay the premium tax imposed by § 56-4-205 on all policies of life insurance issued after April 4, 1968, to residents of the state, which policies are not issued pursuant to a plan or program authorized by the governing board of the educational or scientific institution, and the premiums for which are not paid for in whole or in part by the educational or scientific institution.
Acts 1968, ch. 536, § 1; T.C.A., § 56-206.
Tenn. Code Ann. § 56-53-110 — TN Code / Title 56 / Chapter 53 / Section 56-53-110
Immunity
Status: in_force

In the absence of actual malice, no person furnishing, disclosing or requesting information pursuant to § 56-53-109 shall be subject to civil liability for libel, slander, or any other cause of action arising from the furnishing, disclosing or requesting of the information. No person providing information pursuant to § 56-53-109(a) shall be subject to civil liability for any cause of action arising from the person's provision of requested information. Any person against whom any action is brought who is found to be immune from liability under this section, shall be entitled to recover reasonable attorneys' fees and costs from the person or party who brought the action. This section does not abrogate or modify in any way any common law or statutory privilege or immunity heretofore enjoyed by any person. Acts 2001, ch. 356, § 11.
In the absence of actual malice, no person furnishing, disclosing or requesting information pursuant to § 56-53-109 shall be subject to civil liability for libel, slander, or any other cause of action arising from the furnishing, disclosing or requesting of the information. No person providing information pursuant to § 56-53-109(a) shall be subject to civil liability for any cause of action arising from the person's provision of requested information. Any person against whom any action is brought who is found to be immune from liability under this section, shall be entitled to recover reasonable attorneys' fees and costs from the person or party who brought the action. This section does not abrogate or modify in any way any common law or statutory privilege or immunity heretofore enjoyed by any person.
Acts 2001, ch. 356, § 11.
Tenn. Code Ann. § 56-45-105 — TN Code / Title 56 / Chapter 45 / Section 56-45-105
Insurance insolvency guaranty fund - Covered risks - Loss or expense apportionment mechanisms
Status: in_force

(a) No risk retention group is required or permitted to join or contribute financially to any insurance insolvency guaranty fund, or similar mechanism, in this state, nor shall any risk retention group, or its insureds or claimants against its insureds, receive any benefit from any such fund for claims arising under the insurance policies issued by the risk retention group. (b) When a purchasing group obtains insurance covering its members' risks from an insurer not authorized in this state or a risk retention group, the risks, wherever resident or located, shall not be covered by any insurance guaranty fund or similar mechanism in this state. (c) When a purchasing group obtains insurance covering its members' risks from an authorized insurer, only risks resident or located in this state shall be covered by the state guaranty fund subject to § 56-12-111 . (d) Notwithstanding § 56-41-105 to the contrary, the commissioner may require a risk retention group to participate, or exempt a risk retention group from participation, in any mechanism established or authorized under the law of this state for the equitable apportionment among insurers of liability insurance losses and expenses incurred on policies written through the mechanism, and the risk retention group shall submit sufficient information to the commissioner to enable the commissioner to apportion on a nondiscriminatory basis the risk retention group's proportionate share of the losses and expenses. Acts 1991, ch. 142, § 6.
(a) No risk retention group is required or permitted to join or contribute financially to any insurance insolvency guaranty fund, or similar mechanism, in this state, nor shall any risk retention group, or its insureds or claimants against its insureds, receive any benefit from any such fund for claims arising under the insurance policies issued by the risk retention group.
(b) When a purchasing group obtains insurance covering its members' risks from an insurer not authorized in this state or a risk retention group, the risks, wherever resident or located, shall not be covered by any insurance guaranty fund or similar mechanism in this state.
(c) When a purchasing group obtains insurance covering its members' risks from an authorized insurer, only risks resident or located in this state shall be covered by the state guaranty fund subject to § 56-12-111 .
(d) Notwithstanding § 56-41-105 to the contrary, the commissioner may require a risk retention group to participate, or exempt a risk retention group from participation, in any mechanism established or authorized under the law of this state for the equitable apportionment among insurers of liability insurance losses and expenses incurred on policies written through the mechanism, and the risk retention group shall submit sufficient information to the commissioner to enable the commissioner to apportion on a nondiscriminatory basis the risk retention group's proportionate share of the losses and expenses.
Acts 1991, ch. 142, § 6.
Tenn. Code Ann. § 56-61-123 — TN Code / Title 56 / Chapter 61 / Section 56-61-123
External review reporting requirements
Status: in_force

(a) An external review organization conducting an external review pursuant to this chapter shall maintain written records in the aggregate by state and by health carrier on all requests for external review for which it conducted an external review during a calendar year and, upon request, submit a report to the commissioner, as required under subdivision (a)(2). (1) Each external review organization required to maintain written records on all requests for external review for which it conducted an external review shall submit to the commissioner, upon request, a report in the format specified by the commissioner. (2) The report shall include in the aggregate by state, and for each health carrier: (A) The total number of requests for external review; (B) The number of requests for external review resolved and, of those resolved, the number resolved upholding the adverse determination or final adverse determination and the number resolved reversing the adverse determination or final adverse determination; (C) The average length of time for resolution; (D) A summary of the types of coverages or cases for which an external review was sought, as provided in the format required by the commissioner; (E) The number of external reviews pursuant to § 56-61-116 that were terminated as the result of a reversal by the health carrier of its adverse determination or final adverse determination after the receipt of additional information from the aggrieved person; and (F) Any other information that the commissioner may request or require. (3) The external review organization shall retain the written records required pursuant to this subsection (a) for at least three (3) years. (b) Each health carrier shall maintain written records in the aggregate, by state and for each type of health benefit plan offered by the health carrier on all requests for external review that the health carrier receives notice of from the commissioner pursuant to this chapter. (1) Each health carrier required to maintain written records on all requests for external review pursuant to this subsection (b) shall submit to the commissioner, upon request, a report in the format specified by the commissioner. (2) The report shall include in the aggregate, by state, and by type of health benefit plan: (A) The total number of requests for external review; (B) From the total number of requests for external review reported under subdivision (b)(2)(A), the number of requests determined eligible for a full external review; and (C) Any other information that the commissioner may request or require. (3) The health carrier shall retain the written records required pursuant to this subsection (b) for at least three (3) years. Acts 2010, ch. 980, § 24.
(a) An external review organization conducting an external review pursuant to this chapter shall maintain written records in the aggregate by state and by health carrier on all requests for external review for which it conducted an external review during a calendar year and, upon request, submit a report to the commissioner, as required under subdivision (a)(2). (1) Each external review organization required to maintain written records on all requests for external review for which it conducted an external review shall submit to the commissioner, upon request, a report in the format specified by the commissioner. (2) The report shall include in the aggregate by state, and for each health carrier: (A) The total number of requests for external review; (B) The number of requests for external review resolved and, of those resolved, the number resolved upholding the adverse determination or final adverse determination and the number resolved reversing the adverse determination or final adverse determination; (C) The average length of time for resolution; (D) A summary of the types of coverages or cases for which an external review was sought, as provided in the format required by the commissioner; (E) The number of external reviews pursuant to § 56-61-116 that were terminated as the result of a reversal by the health carrier of its adverse determination or final adverse determination after the receipt of additional information from the aggrieved person; and (F) Any other information that the commissioner may request or require. (3) The external review organization shall retain the written records required pursuant to this subsection (a) for at least three (3) years.
(1) Each external review organization required to maintain written records on all requests for external review for which it conducted an external review shall submit to the commissioner, upon request, a report in the format specified by the commissioner.
(2) The report shall include in the aggregate by state, and for each health carrier: (A) The total number of requests for external review; (B) The number of requests for external review resolved and, of those resolved, the number resolved upholding the adverse determination or final adverse determination and the number resolved reversing the adverse determination or final adverse determination; (C) The average length of time for resolution; (D) A summary of the types of coverages or cases for which an external review was sought, as provided in the format required by the commissioner; (E) The number of external reviews pursuant to § 56-61-116 that were terminated as the result of a reversal by the health carrier of its adverse determination or final adverse determination after the receipt of additional information from the aggrieved person; and (F) Any other information that the commissioner may request or require.
(A) The total number of requests for external review;
(B) The number of requests for external review resolved and, of those resolved, the number resolved upholding the adverse determination or final adverse determination and the number resolved reversing the adverse determination or final adverse determination;
(C) The average length of time for resolution;
(D) A summary of the types of coverages or cases for which an external review was sought, as provided in the format required by the commissioner;
(E) The number of external reviews pursuant to § 56-61-116 that were terminated as the result of a reversal by the health carrier of its adverse determination or final adverse determination after the receipt of additional information from the aggrieved person; and
(F) Any other information that the commissioner may request or require.
(3) The external review organization shall retain the written records required pursuant to this subsection (a) for at least three (3) years.
(b) Each health carrier shall maintain written records in the aggregate, by state and for each type of health benefit plan offered by the health carrier on all requests for external review that the health carrier receives notice of from the commissioner pursuant to this chapter. (1) Each health carrier required to maintain written records on all requests for external review pursuant to this subsection (b) shall submit to the commissioner, upon request, a report in the format specified by the commissioner. (2) The report shall include in the aggregate, by state, and by type of health benefit plan: (A) The total number of requests for external review; (B) From the total number of requests for external review reported under subdivision (b)(2)(A), the number of requests determined eligible for a full external review; and (C) Any other information that the commissioner may request or require. (3) The health carrier shall retain the written records required pursuant to this subsection (b) for at least three (3) years.
(1) Each health carrier required to maintain written records on all requests for external review pursuant to this subsection (b) shall submit to the commissioner, upon request, a report in the format specified by the commissioner.
(2) The report shall include in the aggregate, by state, and by type of health benefit plan: (A) The total number of requests for external review; (B) From the total number of requests for external review reported under subdivision (b)(2)(A), the number of requests determined eligible for a full external review; and (C) Any other information that the commissioner may request or require.
(A) The total number of requests for external review;
(B) From the total number of requests for external review reported under subdivision (b)(2)(A), the number of requests determined eligible for a full external review; and
(C) Any other information that the commissioner may request or require.
(3) The health carrier shall retain the written records required pursuant to this subsection (b) for at least three (3) years.
Acts 2010, ch. 980, § 24.
Tenn. Code Ann. § 56-6-808 — TN Code / Title 56 / Chapter 6 / Section 56-6-808
Prohibited acts
Status: in_force

The RM shall not: (1) Cede retrocessions on behalf of the reinsurer, except that the RM may cede facultative retrocessions pursuant to obligatory facultative agreements if the contract with the reinsurer contains reinsurance underwriting guidelines for the retrocessions. The guidelines shall include a list of reinsurers with which the automatic agreements are in effect, and for each reinsurer, the coverages and amounts or percentages that may be reinsured and commission schedules; (2) Commit the reinsurer to participate in reinsurance syndicates; (3) Appoint any producer without assuring that the producer is lawfully licensed to transact the type of reinsurance for which the producer is appointed; (4) Without prior approval of the reinsurer, pay or commit the reinsurer to pay a claim, net of retrocessions, that exceeds the lesser of an amount specified by the reinsurer or one percent (1%) of the reinsurer's policyholders' surplus as of December 31 of the last complete calendar year; (5) Collect any payment from a retrocessionaire or commit the reinsurer to any claim settlement with a retrocessionaire, without prior approval of the reinsurer. If prior approval is given, a report must be promptly forwarded to the reinsurer; (6) Jointly employ an individual who is employed by the reinsurer unless the RM is under common control with the reinsurer subject to the Insurance Holding Company Act, compiled in chapter 11 of this title; or (7) Appoint a sub-RM. Acts 1993, ch. 253, § 9.
The RM shall not:
(1) Cede retrocessions on behalf of the reinsurer, except that the RM may cede facultative retrocessions pursuant to obligatory facultative agreements if the contract with the reinsurer contains reinsurance underwriting guidelines for the retrocessions. The guidelines shall include a list of reinsurers with which the automatic agreements are in effect, and for each reinsurer, the coverages and amounts or percentages that may be reinsured and commission schedules;
(2) Commit the reinsurer to participate in reinsurance syndicates;
(3) Appoint any producer without assuring that the producer is lawfully licensed to transact the type of reinsurance for which the producer is appointed;
(4) Without prior approval of the reinsurer, pay or commit the reinsurer to pay a claim, net of retrocessions, that exceeds the lesser of an amount specified by the reinsurer or one percent (1%) of the reinsurer's policyholders' surplus as of December 31 of the last complete calendar year;
(5) Collect any payment from a retrocessionaire or commit the reinsurer to any claim settlement with a retrocessionaire, without prior approval of the reinsurer. If prior approval is given, a report must be promptly forwarded to the reinsurer;
(6) Jointly employ an individual who is employed by the reinsurer unless the RM is under common control with the reinsurer subject to the Insurance Holding Company Act, compiled in chapter 11 of this title; or
(7) Appoint a sub-RM.
Acts 1993, ch. 253, § 9.
Tenn. Code Ann. § 56-21-117 — TN Code / Title 56 / Chapter 21 / Section 56-21-117
Policyholder's liability - Computation as assets of company
Status: in_force

The contingent liabilities of the policyholders shall be computed as contingent assets of the company. The unpaid regular premium and premium notes of the policyholders not over twelve (12) months due shall be computed as ledger assets of the company. Acts 1907, ch. 461, § 5; Shan., § 3369a16; Acts 1921, ch. 160, § 5; Code 1932, § 6267; T.C.A. (orig. ed.), § 56-2019.
The contingent liabilities of the policyholders shall be computed as contingent assets of the company. The unpaid regular premium and premium notes of the policyholders not over twelve (12) months due shall be computed as ledger assets of the company.
Acts 1907, ch. 461, § 5; Shan., § 3369a16; Acts 1921, ch. 160, § 5; Code 1932, § 6267; T.C.A. (orig. ed.), § 56-2019.
Tenn. Code Ann. § 56-3-111 — TN Code / Title 56 / Chapter 3 / Section 56-3-111
Certain insurance companies to report settlement or judgment in health care liability claims
Status: in_force

(a) Insurance companies providing insurance coverage against civil liability for the death or personal injury of any person as the result of negligence or health care liability in the rendering of professional services by a licensed physician, either doctor of osteopathic medicine or doctor of medicine, or by a licensed dentist shall report to the state board of medical examiners or state board of osteopathic examination or the state board of dentistry any settlement of a claim or judgment, sealed, confidential or otherwise, of five thousand dollars ($5,000) or more that arises out of a claim of negligence or health care liability on the part of an insured physician or dentist as distinguished from administrative matters. The report shall be made within thirty (30) days of the settlement or judgment and shall contain only the following information: (1) The name and address of the licensed physician or dentist; (2) The name and address of the plaintiff; (3) The name of the patient, if different from the plaintiff; (4) The name and location of the court in which a claim was filed, if any; (5) The amount of any judgment or settlement; and (6) The identity of the insurance company and the person filling out the report. (b) The reports shall be confidential, shall not be subject to public inspection, shall not be subject to subpoena or used as evidence in any legal proceeding, civil or criminal; provided, however, that the reported judgments and settlements contained in the reports, except those that are ordered sealed or to remain confidential by a court of competent jurisdiction, may be used to fulfill the requirements of the Health Care Consumer Right to Know Act of 1998, compiled in title 63, chapter 32, but may not be used to initiate or prosecute any administrative proceeding before the board for licensing health care facilities. (c) No insurance company, official, or other person authorized by an insurance company to issue the reports shall be liable for filing reports in accordance with this section, so long as the report is not disclosed to anyone other than authorized personnel of the state board of medical examiners, state board of osteopathic examination or the state board of dentistry, or the reported judgments and settlements contained in the reports, except those that are ordered sealed or to remain confidential by a court of competent jurisdiction are used to fulfill the requirements of the Health Care Consumer Right to Know Act of 1998. Acts 1979, ch. 166, § 1; T.C.A., § 56-340; Acts 1996, ch. 713, § 1; 2004, ch. 902, § 3; 2012, ch. 798, § 18.
(a) Insurance companies providing insurance coverage against civil liability for the death or personal injury of any person as the result of negligence or health care liability in the rendering of professional services by a licensed physician, either doctor of osteopathic medicine or doctor of medicine, or by a licensed dentist shall report to the state board of medical examiners or state board of osteopathic examination or the state board of dentistry any settlement of a claim or judgment, sealed, confidential or otherwise, of five thousand dollars ($5,000) or more that arises out of a claim of negligence or health care liability on the part of an insured physician or dentist as distinguished from administrative matters. The report shall be made within thirty (30) days of the settlement or judgment and shall contain only the following information: (1) The name and address of the licensed physician or dentist; (2) The name and address of the plaintiff; (3) The name of the patient, if different from the plaintiff; (4) The name and location of the court in which a claim was filed, if any; (5) The amount of any judgment or settlement; and (6) The identity of the insurance company and the person filling out the report.
(1) The name and address of the licensed physician or dentist;
(2) The name and address of the plaintiff;
(3) The name of the patient, if different from the plaintiff;
(4) The name and location of the court in which a claim was filed, if any;
(5) The amount of any judgment or settlement; and
(6) The identity of the insurance company and the person filling out the report.
(b) The reports shall be confidential, shall not be subject to public inspection, shall not be subject to subpoena or used as evidence in any legal proceeding, civil or criminal; provided, however, that the reported judgments and settlements contained in the reports, except those that are ordered sealed or to remain confidential by a court of competent jurisdiction, may be used to fulfill the requirements of the Health Care Consumer Right to Know Act of 1998, compiled in title 63, chapter 32, but may not be used to initiate or prosecute any administrative proceeding before the board for licensing health care facilities.
(c) No insurance company, official, or other person authorized by an insurance company to issue the reports shall be liable for filing reports in accordance with this section, so long as the report is not disclosed to anyone other than authorized personnel of the state board of medical examiners, state board of osteopathic examination or the state board of dentistry, or the reported judgments and settlements contained in the reports, except those that are ordered sealed or to remain confidential by a court of competent jurisdiction are used to fulfill the requirements of the Health Care Consumer Right to Know Act of 1998.
Acts 1979, ch. 166, § 1; T.C.A., § 56-340; Acts 1996, ch. 713, § 1; 2004, ch. 902, § 3; 2012, ch. 798, § 18.
Tenn. Code Ann. § 56-5-117 — TN Code / Title 56 / Chapter 5 / Section 56-5-117
Violations - Penalties - Suspension of licenses
Status: in_force

(a) If the commissioner finds that any person or organization has violated this part, the commissioner may impose a penalty of not more than five hundred dollars ($500) for each violation, to be recovered for the use of the state in a civil action brought in the name of the state by the commissioner in a court of competent jurisdiction. Technical violations arising from systems or computer errors of the same type shall be treated as a single violation. In the event of an overcharge, if the insurer makes restitution, including payment of interest, no penalty shall be imposed. (b) The commissioner may, in lieu of subsection (a), impose a civil penalty after notice and hearing in accordance with the Uniform Administrative Procedures Act, compiled in title 4, chapter 5, if the commissioner finds that any person or organization has violated this part. This civil penalty shall not exceed five hundred dollars ($500) for each violation as provided for in subsection (a). (c) The commissioner has the discretion to abate the part of the penalty in this section that the facts of the particular case warrant and to bring suit for a lesser amount that may be determined, or to accept the lesser amount in settlement of the state's claim for penalties. Any abatement or settlement of the penalties by the commissioner shall be with the consent and approval of the attorney general and reporter. (d) The commissioner may suspend the license of any rate service organization or insurer for failure to comply with an order of the commissioner within the time limited by the order, or any extension of the time that the commissioner may grant. The commissioner may determine when a suspension of license becomes effective and it shall remain in effect for the period fixed by the commissioner, unless the commissioner modifies or rescinds the suspension, or until the order upon which the suspension is based is modified, rescinded, or reversed. (e) No license shall be suspended except upon a written order of the commissioner, stating the commissioner's findings, made after a hearing held upon not less than ten (10) days' written notice to the person or organization, specifying the alleged violation. Acts 1983, ch. 66, § 18.
(a) If the commissioner finds that any person or organization has violated this part, the commissioner may impose a penalty of not more than five hundred dollars ($500) for each violation, to be recovered for the use of the state in a civil action brought in the name of the state by the commissioner in a court of competent jurisdiction. Technical violations arising from systems or computer errors of the same type shall be treated as a single violation. In the event of an overcharge, if the insurer makes restitution, including payment of interest, no penalty shall be imposed.
(b) The commissioner may, in lieu of subsection (a), impose a civil penalty after notice and hearing in accordance with the Uniform Administrative Procedures Act, compiled in title 4, chapter 5, if the commissioner finds that any person or organization has violated this part. This civil penalty shall not exceed five hundred dollars ($500) for each violation as provided for in subsection (a).
(c) The commissioner has the discretion to abate the part of the penalty in this section that the facts of the particular case warrant and to bring suit for a lesser amount that may be determined, or to accept the lesser amount in settlement of the state's claim for penalties. Any abatement or settlement of the penalties by the commissioner shall be with the consent and approval of the attorney general and reporter.
(d) The commissioner may suspend the license of any rate service organization or insurer for failure to comply with an order of the commissioner within the time limited by the order, or any extension of the time that the commissioner may grant. The commissioner may determine when a suspension of license becomes effective and it shall remain in effect for the period fixed by the commissioner, unless the commissioner modifies or rescinds the suspension, or until the order upon which the suspension is based is modified, rescinded, or reversed.
(e) No license shall be suspended except upon a written order of the commissioner, stating the commissioner's findings, made after a hearing held upon not less than ten (10) days' written notice to the person or organization, specifying the alleged violation.
Acts 1983, ch. 66, § 18.
Tenn. Code Ann. § 56-7-3502 — TN Code / Title 56 / Chapter 7 / Section 56-7-3502
Exception process
Status: in_force

(a) If a health carrier, health benefit plan, or utilization review organization denies coverage of a prescription drug for the treatment of a medical condition through the use of a step therapy protocol, then the health carrier, health benefit plan, or utilization review organization must provide access to a clear, readily accessible, and convenient process for a patient or prescribing practitioner to request a step therapy exception. The process must be easily accessible on the website of the health carrier, health benefit plan, or utilization review organization. A health carrier, health benefit plan, or utilization review organization may use its existing medical exceptions process to satisfy this subsection (a). (b) A health carrier, health benefit plan, or utilization review organization shall grant a step therapy exception if one (1) of the following applies: (1) The required prescription drug is contraindicated or will likely cause an adverse reaction to, or physical or mental harm to, the patient due to a documented adverse event with a previous use of the required prescription drug or a documented medical condition, including a comorbid condition; (2) The required prescription drug is expected to be ineffective based on the known clinical characteristics of the patient and the known characteristics of the prescription drug regimen; (3) The required prescription drug is not in the best interest of the patient, based on clinical appropriateness, because the patient's use of the drug is expected to: (A) Cause a significant barrier to the patient's adherence to or compliance with the patient's plan of care; (B) Worsen a comorbid condition of the patient; or (C) Decrease the patient's ability to achieve or maintain reasonable functional ability in performing daily activities; or (4) The patient is currently receiving a positive therapeutic outcome on a prescription drug selected by the patient's healthcare provider for the medical condition under consideration while on a current or previous health insurance or health benefit plan, and the patient's healthcare provider gives documentation to the health insurance, health benefit plan, or utilization review organization that the change in prescription drug required by the step therapy protocol is expected to be ineffective or cause harm to the patient based on the known characteristics of the specific enrollee and the known characteristics of the required prescription drug. (c) Upon granting a step therapy exception, the health carrier, health benefit plan, or utilization review organization shall authorize coverage for the prescription drug prescribed by the patient's treating healthcare provider if the prescription drug is covered under the current health insurance, health benefit plan, or utilization review organization. (d) The health carrier, health benefit plan, or utilization review organization shall grant or deny a step therapy exception request or an appeal within the turnaround times established pursuant to § 56-6-705 . If a response by a health carrier, health benefit plan, or utilization review organization is not received within that time period, then the exception is granted. (e) A step therapy exception is eligible for appeal by an insured. (f) This section does not prevent: (1) A health carrier, health benefit plan, or utilization review organization from requiring a patient to try an AB-rated generic equivalent or interchangeable biological product prior to providing coverage for the equivalent branded prescription drug; (2) A health carrier, health benefit plan, or utilization review organization from requiring a pharmacist to substitute a prescription drug consistent with the laws of this state; or (3) A healthcare provider from prescribing a prescription drug that is determined to be medically appropriate. (g) The use of pharmaceutical samples of a required prescription drug is not considered a trial of the required prescription drug as part of a step therapy protocol. Added by 2022 Tenn. Acts, ch. 1020, s 1, eff. 1/1/2023.
(a) If a health carrier, health benefit plan, or utilization review organization denies coverage of a prescription drug for the treatment of a medical condition through the use of a step therapy protocol, then the health carrier, health benefit plan, or utilization review organization must provide access to a clear, readily accessible, and convenient process for a patient or prescribing practitioner to request a step therapy exception. The process must be easily accessible on the website of the health carrier, health benefit plan, or utilization review organization. A health carrier, health benefit plan, or utilization review organization may use its existing medical exceptions process to satisfy this subsection (a).
(b) A health carrier, health benefit plan, or utilization review organization shall grant a step therapy exception if one (1) of the following applies: (1) The required prescription drug is contraindicated or will likely cause an adverse reaction to, or physical or mental harm to, the patient due to a documented adverse event with a previous use of the required prescription drug or a documented medical condition, including a comorbid condition; (2) The required prescription drug is expected to be ineffective based on the known clinical characteristics of the patient and the known characteristics of the prescription drug regimen; (3) The required prescription drug is not in the best interest of the patient, based on clinical appropriateness, because the patient's use of the drug is expected to: (A) Cause a significant barrier to the patient's adherence to or compliance with the patient's plan of care; (B) Worsen a comorbid condition of the patient; or (C) Decrease the patient's ability to achieve or maintain reasonable functional ability in performing daily activities; or (4) The patient is currently receiving a positive therapeutic outcome on a prescription drug selected by the patient's healthcare provider for the medical condition under consideration while on a current or previous health insurance or health benefit plan, and the patient's healthcare provider gives documentation to the health insurance, health benefit plan, or utilization review organization that the change in prescription drug required by the step therapy protocol is expected to be ineffective or cause harm to the patient based on the known characteristics of the specific enrollee and the known characteristics of the required prescription drug.
(1) The required prescription drug is contraindicated or will likely cause an adverse reaction to, or physical or mental harm to, the patient due to a documented adverse event with a previous use of the required prescription drug or a documented medical condition, including a comorbid condition;
(2) The required prescription drug is expected to be ineffective based on the known clinical characteristics of the patient and the known characteristics of the prescription drug regimen;
(3) The required prescription drug is not in the best interest of the patient, based on clinical appropriateness, because the patient's use of the drug is expected to: (A) Cause a significant barrier to the patient's adherence to or compliance with the patient's plan of care; (B) Worsen a comorbid condition of the patient; or (C) Decrease the patient's ability to achieve or maintain reasonable functional ability in performing daily activities; or
(A) Cause a significant barrier to the patient's adherence to or compliance with the patient's plan of care;
(B) Worsen a comorbid condition of the patient; or
(C) Decrease the patient's ability to achieve or maintain reasonable functional ability in performing daily activities; or
(4) The patient is currently receiving a positive therapeutic outcome on a prescription drug selected by the patient's healthcare provider for the medical condition under consideration while on a current or previous health insurance or health benefit plan, and the patient's healthcare provider gives documentation to the health insurance, health benefit plan, or utilization review organization that the change in prescription drug required by the step therapy protocol is expected to be ineffective or cause harm to the patient based on the known characteristics of the specific enrollee and the known characteristics of the required prescription drug.
(c) Upon granting a step therapy exception, the health carrier, health benefit plan, or utilization review organization shall authorize coverage for the prescription drug prescribed by the patient's treating healthcare provider if the prescription drug is covered under the current health insurance, health benefit plan, or utilization review organization.
(d) The health carrier, health benefit plan, or utilization review organization shall grant or deny a step therapy exception request or an appeal within the turnaround times established pursuant to § 56-6-705 . If a response by a health carrier, health benefit plan, or utilization review organization is not received within that time period, then the exception is granted.
(e) A step therapy exception is eligible for appeal by an insured.
(f) This section does not prevent: (1) A health carrier, health benefit plan, or utilization review organization from requiring a patient to try an AB-rated generic equivalent or interchangeable biological product prior to providing coverage for the equivalent branded prescription drug; (2) A health carrier, health benefit plan, or utilization review organization from requiring a pharmacist to substitute a prescription drug consistent with the laws of this state; or (3) A healthcare provider from prescribing a prescription drug that is determined to be medically appropriate.
(1) A health carrier, health benefit plan, or utilization review organization from requiring a patient to try an AB-rated generic equivalent or interchangeable biological product prior to providing coverage for the equivalent branded prescription drug;
(2) A health carrier, health benefit plan, or utilization review organization from requiring a pharmacist to substitute a prescription drug consistent with the laws of this state; or
(3) A healthcare provider from prescribing a prescription drug that is determined to be medically appropriate.
(g) The use of pharmaceutical samples of a required prescription drug is not considered a trial of the required prescription drug as part of a step therapy protocol.
Added by 2022 Tenn. Acts, ch. 1020, s 1, eff. 1/1/2023.
Tenn. Code Ann. § 56-9-507 — TN Code / Title 56 / Chapter 9 / Section 56-9-507
Commissioner - Power to institute judicial proceedings
Status: in_force

Nothing in this chapter precludes the commissioner from initiating judicial proceedings to place an insurer in conservation, rehabilitation or liquidation proceedings or other delinquency proceedings, however designated under the laws of this state, regardless of whether the commissioner has previously initiated administrative supervision proceedings under this chapter against the insurer. Acts 1991, ch. 142, § 4.
Nothing in this chapter precludes the commissioner from initiating judicial proceedings to place an insurer in conservation, rehabilitation or liquidation proceedings or other delinquency proceedings, however designated under the laws of this state, regardless of whether the commissioner has previously initiated administrative supervision proceedings under this chapter against the insurer.
Acts 1991, ch. 142, § 4.
Tenn. Code Ann. § 56-3-203 — TN Code / Title 56 / Chapter 3 / Section 56-3-203
Failure to provide claims office - Penalty
Status: in_force

Life, accident, hospitalization and health insurance companies that violate § 56-3-201 shall be fined no less than five hundred dollars ($500) nor more than one thousand dollars ($1,000) for each day a violation occurs in each city named in § 56-3-201 . Acts 1973, ch. 253, § 3; T.C.A., § 56-354.
Life, accident, hospitalization and health insurance companies that violate § 56-3-201 shall be fined no less than five hundred dollars ($500) nor more than one thousand dollars ($1,000) for each day a violation occurs in each city named in § 56-3-201 .
Acts 1973, ch. 253, § 3; T.C.A., § 56-354.
Tenn. Code Ann. § 56-30-125 — TN Code / Title 56 / Chapter 30 / Section 56-30-125
Subscription contract - Duration - Renewal - Termination - Forfeiture of membership - Deferment of inception coverage
Status: in_force

Every subscription contract made by a dental service plan corporation shall provide for the payment of dental services for a period of twelve (12) months from the date of issue of the subscription certificate. The contract may provide that it shall be subject to renewal from year to year unless there has been one (1) month's prior written notice of termination by the dental service plan corporation. A subscriber shall forfeit membership upon failure to renew the contract, or upon voluntary resignation. During the first contract year, the contract may provide that the inception coverage may be deferred for not more than two (2) months from date of issue of the contract, and may exclude treatment of dental ills existing at the inception of the contract. Acts 1961, ch. 340, § 24; T.C.A., § 56-3525.
Every subscription contract made by a dental service plan corporation shall provide for the payment of dental services for a period of twelve (12) months from the date of issue of the subscription certificate. The contract may provide that it shall be subject to renewal from year to year unless there has been one (1) month's prior written notice of termination by the dental service plan corporation. A subscriber shall forfeit membership upon failure to renew the contract, or upon voluntary resignation. During the first contract year, the contract may provide that the inception coverage may be deferred for not more than two (2) months from date of issue of the contract, and may exclude treatment of dental ills existing at the inception of the contract.
Acts 1961, ch. 340, § 24; T.C.A., § 56-3525.
Tenn. Code Ann. § 56-46-107 — TN Code / Title 56 / Chapter 46 / Section 56-46-107
Mandatory Control Level Events
Status: in_force

(a) "Mandatory Control Level Event" means any of the following events: (1) The filing of an RBC Report that indicates that the insurer's Total Adjusted Capital is less than its Mandatory Control Level RBC; (2) Notification by the commissioner to the insurer of an Adjusted RBC Report that indicates the event in subdivision (a)(1); provided, that the insurer does not challenge the Adjusted RBC Report under § 56-46-108 ; or (3) If, pursuant to § 56-46-108 , the insurer challenges an Adjusted RBC Report that indicates the event in subdivision (a)(1), notification by the commissioner to the insurer that the commissioner has, after a hearing, rejected the insurer's challenge. (b) In the event of a Mandatory Control Level Event: (1) With respect to a life insurer, the commissioner shall take actions necessary to place the insurer under regulatory control pursuant to chapter 9 of this title. In that event, the Mandatory Control Level Event shall be deemed sufficient grounds for the commissioner to take action pursuant to chapter 9 of this title, and the commissioner shall have the rights, powers and duties with respect to the insurer as are set forth in chapter 9 of this title. If the commissioner takes actions pursuant to an Adjusted RBC Report, the insurer shall be entitled to the protections of chapter 9, part 2 of this title pertaining to summary proceedings. Notwithstanding any of this subdivision (b)(1), the commissioner may forego action for up to ninety (90) days after the Mandatory Control Level Event if the commissioner finds there is a reasonable expectation that the Mandatory Control Level Event may be eliminated within the ninety-day period. (2) With respect to a property and casualty insurer, the commissioner shall take actions necessary to place the insurer under regulatory control pursuant to chapter 9 of this title, or in the case of an insurer that is writing no business and that is running-off its existing business, may allow the insurer to continue its run-off under the supervision of the commissioner. In either event, the Mandatory Control Level Event shall be deemed sufficient grounds for the commissioner to take action pursuant to chapter 9 of this title, and the commissioner shall have the rights, powers and duties with respect to the insurer as are set forth in chapter 9 of this title. If the commissioner takes actions pursuant to an Adjusted RBC Report, the insurer shall be entitled to the protections of chapter 9, part 2 of this title pertaining to summary proceedings. Notwithstanding any of this subdivision (b)(2), the commissioner may forego action for up to ninety (90) days after the Mandatory Control Level Event if the commissioner finds there is a reasonable expectation that the Mandatory Control Level Event may be eliminated within the ninety-day period. Acts 1996, ch. 750, § 8.
(a) "Mandatory Control Level Event" means any of the following events: (1) The filing of an RBC Report that indicates that the insurer's Total Adjusted Capital is less than its Mandatory Control Level RBC; (2) Notification by the commissioner to the insurer of an Adjusted RBC Report that indicates the event in subdivision (a)(1); provided, that the insurer does not challenge the Adjusted RBC Report under § 56-46-108 ; or (3) If, pursuant to § 56-46-108 , the insurer challenges an Adjusted RBC Report that indicates the event in subdivision (a)(1), notification by the commissioner to the insurer that the commissioner has, after a hearing, rejected the insurer's challenge.
(1) The filing of an RBC Report that indicates that the insurer's Total Adjusted Capital is less than its Mandatory Control Level RBC;
(2) Notification by the commissioner to the insurer of an Adjusted RBC Report that indicates the event in subdivision (a)(1); provided, that the insurer does not challenge the Adjusted RBC Report under § 56-46-108 ; or
(3) If, pursuant to § 56-46-108 , the insurer challenges an Adjusted RBC Report that indicates the event in subdivision (a)(1), notification by the commissioner to the insurer that the commissioner has, after a hearing, rejected the insurer's challenge.
(b) In the event of a Mandatory Control Level Event: (1) With respect to a life insurer, the commissioner shall take actions necessary to place the insurer under regulatory control pursuant to chapter 9 of this title. In that event, the Mandatory Control Level Event shall be deemed sufficient grounds for the commissioner to take action pursuant to chapter 9 of this title, and the commissioner shall have the rights, powers and duties with respect to the insurer as are set forth in chapter 9 of this title. If the commissioner takes actions pursuant to an Adjusted RBC Report, the insurer shall be entitled to the protections of chapter 9, part 2 of this title pertaining to summary proceedings. Notwithstanding any of this subdivision (b)(1), the commissioner may forego action for up to ninety (90) days after the Mandatory Control Level Event if the commissioner finds there is a reasonable expectation that the Mandatory Control Level Event may be eliminated within the ninety-day period. (2) With respect to a property and casualty insurer, the commissioner shall take actions necessary to place the insurer under regulatory control pursuant to chapter 9 of this title, or in the case of an insurer that is writing no business and that is running-off its existing business, may allow the insurer to continue its run-off under the supervision of the commissioner. In either event, the Mandatory Control Level Event shall be deemed sufficient grounds for the commissioner to take action pursuant to chapter 9 of this title, and the commissioner shall have the rights, powers and duties with respect to the insurer as are set forth in chapter 9 of this title. If the commissioner takes actions pursuant to an Adjusted RBC Report, the insurer shall be entitled to the protections of chapter 9, part 2 of this title pertaining to summary proceedings. Notwithstanding any of this subdivision (b)(2), the commissioner may forego action for up to ninety (90) days after the Mandatory Control Level Event if the commissioner finds there is a reasonable expectation that the Mandatory Control Level Event may be eliminated within the ninety-day period.
(1) With respect to a life insurer, the commissioner shall take actions necessary to place the insurer under regulatory control pursuant to chapter 9 of this title. In that event, the Mandatory Control Level Event shall be deemed sufficient grounds for the commissioner to take action pursuant to chapter 9 of this title, and the commissioner shall have the rights, powers and duties with respect to the insurer as are set forth in chapter 9 of this title. If the commissioner takes actions pursuant to an Adjusted RBC Report, the insurer shall be entitled to the protections of chapter 9, part 2 of this title pertaining to summary proceedings. Notwithstanding any of this subdivision (b)(1), the commissioner may forego action for up to ninety (90) days after the Mandatory Control Level Event if the commissioner finds there is a reasonable expectation that the Mandatory Control Level Event may be eliminated within the ninety-day period.
(2) With respect to a property and casualty insurer, the commissioner shall take actions necessary to place the insurer under regulatory control pursuant to chapter 9 of this title, or in the case of an insurer that is writing no business and that is running-off its existing business, may allow the insurer to continue its run-off under the supervision of the commissioner. In either event, the Mandatory Control Level Event shall be deemed sufficient grounds for the commissioner to take action pursuant to chapter 9 of this title, and the commissioner shall have the rights, powers and duties with respect to the insurer as are set forth in chapter 9 of this title. If the commissioner takes actions pursuant to an Adjusted RBC Report, the insurer shall be entitled to the protections of chapter 9, part 2 of this title pertaining to summary proceedings. Notwithstanding any of this subdivision (b)(2), the commissioner may forego action for up to ninety (90) days after the Mandatory Control Level Event if the commissioner finds there is a reasonable expectation that the Mandatory Control Level Event may be eliminated within the ninety-day period.
Acts 1996, ch. 750, § 8.
Tenn. Code Ann. § 56-35-202 — TN Code / Title 56 / Chapter 35 / Section 56-35-202
Bond or deposit required - Suits on bond
Status: in_force

(a) Every title insurance agent licensed shall, within thirty (30) days after the date the license is issued, file with the commissioner a bond in the amount of twenty-five thousand dollars ($25,000), or cash and/or securities in like amount. (b) The bond, or cash and/or securities, on file with the commissioner shall be maintained for so long as the title insurance agent's license remains in effect. (c) The bond shall be made payable to this state for the use and benefit of all persons who suffer pecuniary loss in a real estate transaction, involving the solicitation or issuance of title insurance, caused by any act of fraud, dishonesty, theft, embezzlement or willful misconduct on the part of the title insurance agent. (d) Any person suffering the pecuniary loss may bring suit on the bond in the person's own name in any court of competent jurisdiction in Tennessee. (e) The bond shall be executed by a surety company authorized to do business in Tennessee, and shall be in a form acceptable to the commissioner. (f) Nothing in this section shall be construed to be in derogation of any other rights which may be held or accrued by any person involved in the solicitation, transaction, or issuance of title insurance. Acts 1980, ch. 857, § 10.
(a) Every title insurance agent licensed shall, within thirty (30) days after the date the license is issued, file with the commissioner a bond in the amount of twenty-five thousand dollars ($25,000), or cash and/or securities in like amount.
(b) The bond, or cash and/or securities, on file with the commissioner shall be maintained for so long as the title insurance agent's license remains in effect.
(c) The bond shall be made payable to this state for the use and benefit of all persons who suffer pecuniary loss in a real estate transaction, involving the solicitation or issuance of title insurance, caused by any act of fraud, dishonesty, theft, embezzlement or willful misconduct on the part of the title insurance agent.
(d) Any person suffering the pecuniary loss may bring suit on the bond in the person's own name in any court of competent jurisdiction in Tennessee.
(e) The bond shall be executed by a surety company authorized to do business in Tennessee, and shall be in a form acceptable to the commissioner.
(f) Nothing in this section shall be construed to be in derogation of any other rights which may be held or accrued by any person involved in the solicitation, transaction, or issuance of title insurance.
Acts 1980, ch. 857, § 10.
Tenn. Code Ann. § 56-23-105 — TN Code / Title 56 / Chapter 23 / Section 56-23-105
Rates and rating organizations
Status: in_force

Chapter 5 of this title shall apply to every stock fire insurance company operating under this chapter. Acts 1973, ch. 293, § 5; T.C.A., § 56-4205.
Chapter 5 of this title shall apply to every stock fire insurance company operating under this chapter.
Acts 1973, ch. 293, § 5; T.C.A., § 56-4205.
Tenn. Code Ann. § 56-32-107 — TN Code / Title 56 / Chapter 32 / Section 56-32-107
Evidence of coverage
Status: in_force

(a) (1) Every enrollee residing in this state is entitled to evidence of coverage. (2) No evidence of coverage, or amendment to the evidence of coverage, shall be issued or delivered to any person in this state until a copy of the form of the evidence of coverage, or amendment to the evidence of coverage, has been filed and approved by the commissioner. (3) (A) An evidence of coverage shall contain: (i) No provisions or statements that are unjust, unfair, inequitable, misleading, deceptive, that encourage misrepresentation, or that are untrue, misleading or deceptive as defined in § 56-32-113(a) ; (ii) A clear and concise statement if a contract, or a reasonably complete summary if a certificate, of: (a) The health care services and the insurance or other benefits, if any, to which the enrollee is entitled; (b) Any limitation on the services, kind of services, benefits, or kind of benefits to be provided, including any deductible, copayment or coinsurance feature; (c) Where and in what manner information is available as to how services may be obtained; and (d) The total amount of payment for health care services and the indemnity or service benefits, if any, that the enrollee is obligated to pay with respect to individual contracts; and (iii) A clear and understandable description of the HMO's method for resolving enrollee complaints. (B) Any subsequent change may be evidenced in a separate document issued to the enrollee. (4) A copy of the form of the evidence of coverage to be used in this state, and any amendment to the evidence of coverage, shall be subject to the filing and approval requirements of subdivision (a)(2), unless it is subject to the jurisdiction of the commissioner under the laws governing health insurance or hospital medical service corporations, in which event the filing and approval provisions of those laws shall apply. Specifically, with respect to premiums charged, §§ 56-26-102 and 56-26-202 and rules promulgated under that section shall apply. To the extent, however, that the provisions do not apply, the requirement in subsection (c) shall be applicable. (b) (1) No schedule of charges for enrollee coverage for health care services, or amendment to the schedule, may be used until a copy of the schedule, or amendment to the schedule, has been filed and approved by the commissioner. (2) The charges may be established in accordance with actuarial principles for various categories of enrollees; provided, that charges applicable to an enrollee shall not be individually determined based on the status of the enrollee's health. However, the charges shall not be excessive, inadequate or unfairly discriminatory. A certification by a qualified actuary or other qualified person acceptable to the commissioner of the appropriateness of the use of the charges, based on reasonable assumptions, shall accompany the filing together with adequate supporting information. (c) The commissioner shall, within a reasonable period, approve any form if the requirements of subsection (a) are met. It is unlawful to issue the form or to use the schedule of charges until approved. The commissioner may require the submission of whatever relevant information the commissioner deems necessary in determining whether to approve or disapprove a filing made pursuant to this section. The commissioner, if disapproving the filing, shall notify the filer. In the notice of disapproval, the commissioner shall specify the reasons for the disapproval. The commissioner's approval or disapproval of a filing shall otherwise occur in accordance with the standards established by §§ 56-26-102 and 56-26-202 and the related rules. Acts 1986, ch. 713, § 7; 2001, ch. 151, § 3; T.C.A. §56-32-207; Acts 2011 , ch. 344, §§ 18- 20.
(a) (1) Every enrollee residing in this state is entitled to evidence of coverage. (2) No evidence of coverage, or amendment to the evidence of coverage, shall be issued or delivered to any person in this state until a copy of the form of the evidence of coverage, or amendment to the evidence of coverage, has been filed and approved by the commissioner. (3) (A) An evidence of coverage shall contain: (i) No provisions or statements that are unjust, unfair, inequitable, misleading, deceptive, that encourage misrepresentation, or that are untrue, misleading or deceptive as defined in § 56-32-113(a) ; (ii) A clear and concise statement if a contract, or a reasonably complete summary if a certificate, of: (a) The health care services and the insurance or other benefits, if any, to which the enrollee is entitled; (b) Any limitation on the services, kind of services, benefits, or kind of benefits to be provided, including any deductible, copayment or coinsurance feature; (c) Where and in what manner information is available as to how services may be obtained; and (d) The total amount of payment for health care services and the indemnity or service benefits, if any, that the enrollee is obligated to pay with respect to individual contracts; and (iii) A clear and understandable description of the HMO's method for resolving enrollee complaints. (B) Any subsequent change may be evidenced in a separate document issued to the enrollee. (4) A copy of the form of the evidence of coverage to be used in this state, and any amendment to the evidence of coverage, shall be subject to the filing and approval requirements of subdivision (a)(2), unless it is subject to the jurisdiction of the commissioner under the laws governing health insurance or hospital medical service corporations, in which event the filing and approval provisions of those laws shall apply. Specifically, with respect to premiums charged, §§ 56-26-102 and 56-26-202 and rules promulgated under that section shall apply. To the extent, however, that the provisions do not apply, the requirement in subsection (c) shall be applicable.
(1) Every enrollee residing in this state is entitled to evidence of coverage.
(2) No evidence of coverage, or amendment to the evidence of coverage, shall be issued or delivered to any person in this state until a copy of the form of the evidence of coverage, or amendment to the evidence of coverage, has been filed and approved by the commissioner.
(3) (A) An evidence of coverage shall contain: (i) No provisions or statements that are unjust, unfair, inequitable, misleading, deceptive, that encourage misrepresentation, or that are untrue, misleading or deceptive as defined in § 56-32-113(a) ; (ii) A clear and concise statement if a contract, or a reasonably complete summary if a certificate, of: (a) The health care services and the insurance or other benefits, if any, to which the enrollee is entitled; (b) Any limitation on the services, kind of services, benefits, or kind of benefits to be provided, including any deductible, copayment or coinsurance feature; (c) Where and in what manner information is available as to how services may be obtained; and (d) The total amount of payment for health care services and the indemnity or service benefits, if any, that the enrollee is obligated to pay with respect to individual contracts; and (iii) A clear and understandable description of the HMO's method for resolving enrollee complaints. (B) Any subsequent change may be evidenced in a separate document issued to the enrollee.
(A) An evidence of coverage shall contain: (i) No provisions or statements that are unjust, unfair, inequitable, misleading, deceptive, that encourage misrepresentation, or that are untrue, misleading or deceptive as defined in § 56-32-113(a) ; (ii) A clear and concise statement if a contract, or a reasonably complete summary if a certificate, of: (a) The health care services and the insurance or other benefits, if any, to which the enrollee is entitled; (b) Any limitation on the services, kind of services, benefits, or kind of benefits to be provided, including any deductible, copayment or coinsurance feature; (c) Where and in what manner information is available as to how services may be obtained; and (d) The total amount of payment for health care services and the indemnity or service benefits, if any, that the enrollee is obligated to pay with respect to individual contracts; and (iii) A clear and understandable description of the HMO's method for resolving enrollee complaints.
(i) No provisions or statements that are unjust, unfair, inequitable, misleading, deceptive, that encourage misrepresentation, or that are untrue, misleading or deceptive as defined in § 56-32-113(a) ;
(ii) A clear and concise statement if a contract, or a reasonably complete summary if a certificate, of: (a) The health care services and the insurance or other benefits, if any, to which the enrollee is entitled; (b) Any limitation on the services, kind of services, benefits, or kind of benefits to be provided, including any deductible, copayment or coinsurance feature; (c) Where and in what manner information is available as to how services may be obtained; and (d) The total amount of payment for health care services and the indemnity or service benefits, if any, that the enrollee is obligated to pay with respect to individual contracts; and
(a) The health care services and the insurance or other benefits, if any, to which the enrollee is entitled;
(b) Any limitation on the services, kind of services, benefits, or kind of benefits to be provided, including any deductible, copayment or coinsurance feature;
(c) Where and in what manner information is available as to how services may be obtained; and
(d) The total amount of payment for health care services and the indemnity or service benefits, if any, that the enrollee is obligated to pay with respect to individual contracts; and
(iii) A clear and understandable description of the HMO's method for resolving enrollee complaints.
(B) Any subsequent change may be evidenced in a separate document issued to the enrollee.
(4) A copy of the form of the evidence of coverage to be used in this state, and any amendment to the evidence of coverage, shall be subject to the filing and approval requirements of subdivision (a)(2), unless it is subject to the jurisdiction of the commissioner under the laws governing health insurance or hospital medical service corporations, in which event the filing and approval provisions of those laws shall apply. Specifically, with respect to premiums charged, §§ 56-26-102 and 56-26-202 and rules promulgated under that section shall apply. To the extent, however, that the provisions do not apply, the requirement in subsection (c) shall be applicable.
(b) (1) No schedule of charges for enrollee coverage for health care services, or amendment to the schedule, may be used until a copy of the schedule, or amendment to the schedule, has been filed and approved by the commissioner. (2) The charges may be established in accordance with actuarial principles for various categories of enrollees; provided, that charges applicable to an enrollee shall not be individually determined based on the status of the enrollee's health. However, the charges shall not be excessive, inadequate or unfairly discriminatory. A certification by a qualified actuary or other qualified person acceptable to the commissioner of the appropriateness of the use of the charges, based on reasonable assumptions, shall accompany the filing together with adequate supporting information.
(1) No schedule of charges for enrollee coverage for health care services, or amendment to the schedule, may be used until a copy of the schedule, or amendment to the schedule, has been filed and approved by the commissioner.
(2) The charges may be established in accordance with actuarial principles for various categories of enrollees; provided, that charges applicable to an enrollee shall not be individually determined based on the status of the enrollee's health. However, the charges shall not be excessive, inadequate or unfairly discriminatory. A certification by a qualified actuary or other qualified person acceptable to the commissioner of the appropriateness of the use of the charges, based on reasonable assumptions, shall accompany the filing together with adequate supporting information.
(c) The commissioner shall, within a reasonable period, approve any form if the requirements of subsection (a) are met. It is unlawful to issue the form or to use the schedule of charges until approved. The commissioner may require the submission of whatever relevant information the commissioner deems necessary in determining whether to approve or disapprove a filing made pursuant to this section. The commissioner, if disapproving the filing, shall notify the filer. In the notice of disapproval, the commissioner shall specify the reasons for the disapproval. The commissioner's approval or disapproval of a filing shall otherwise occur in accordance with the standards established by §§ 56-26-102 and 56-26-202 and the related rules.
Acts 1986, ch. 713, § 7; 2001, ch. 151, § 3; T.C.A. §56-32-207; Acts 2011 , ch. 344, §§ 18- 20.
Tenn. Code Ann. § 56-6-919 — TN Code / Title 56 / Chapter 6 / Section 56-6-919
Investigations by commissioner
Status: in_force

The commissioner may make investigations necessary for the proper administration of this part. For the purpose of making investigations, the commissioner shall have inquisitorial powers and shall be empowered to subpoena witnesses and examine them under oath; provided, that all testimony, documents and other evidence obtained by the commissioner pursuant to this section shall be absolutely privileged and shall not be admissible as evidence in any private civil proceeding. Notwithstanding this section, the adjuster may request and obtain from the department a copy of any charges brought against the adjuster, or if no charges have been filed, a written notice of the alleged violation. Acts 2006, ch. 997, § 20.
The commissioner may make investigations necessary for the proper administration of this part. For the purpose of making investigations, the commissioner shall have inquisitorial powers and shall be empowered to subpoena witnesses and examine them under oath; provided, that all testimony, documents and other evidence obtained by the commissioner pursuant to this section shall be absolutely privileged and shall not be admissible as evidence in any private civil proceeding. Notwithstanding this section, the adjuster may request and obtain from the department a copy of any charges brought against the adjuster, or if no charges have been filed, a written notice of the alleged violation.
Acts 2006, ch. 997, § 20.
Tenn. Code Ann. § 56-31-129 — TN Code / Title 56 / Chapter 31 / Section 56-31-129
Settlement of dispute or controversy by commissioner - Review of decision
Status: in_force

Any dispute or controversy arising between a vision service plan corporation and any participating optometrist, or any optometrist desiring to become a participating optometrist, or any subscriber, or any other person whose subscription certificate has been cancelled, or to whom the corporation has refused to issue a certificate, may, within thirty (30) days after the dispute or controversy arises, be appealed to the commissioner, by the person allegedly aggrieved, or a person or persons designated by that person. After proper notice and hearing, the commissioner shall make a finding, which shall be binding on any vision service plan corporation or agent of the corporation, subject to judicial review. Acts 1969, ch. 118, § 29; T.C.A., § 56-3729.
Any dispute or controversy arising between a vision service plan corporation and any participating optometrist, or any optometrist desiring to become a participating optometrist, or any subscriber, or any other person whose subscription certificate has been cancelled, or to whom the corporation has refused to issue a certificate, may, within thirty (30) days after the dispute or controversy arises, be appealed to the commissioner, by the person allegedly aggrieved, or a person or persons designated by that person. After proper notice and hearing, the commissioner shall make a finding, which shall be binding on any vision service plan corporation or agent of the corporation, subject to judicial review.
Acts 1969, ch. 118, § 29; T.C.A., § 56-3729.
Tenn. Code Ann. § 56-13-408 — TN Code / Title 56 / Chapter 13 / Section 56-13-408
Making insurance securitizations more efficient - Conditions for establishing and maintaining SPFC
Status: in_force

(a) This section and § 56-13-409 provide a basis for the creation and use of protected cells by an SPFC as a means of accessing alternative sources of capital, lowering formation and administrative expenses, and generally making insurance securitizations more efficient. If a conflict exists between this chapter and either this section or § 56-13-409 , either this section or § 56-13-409 shall control, as applicable. (b) An SPFC may establish and maintain one (1) or more protected cells with prior written approval of the commissioner and subject to compliance with the applicable provisions of this part and the following conditions: (1) A protected cell shall be established only for the purpose of insuring or reinsuring risks of one (1) or more SPFC contracts with a counterparty with the intent of facilitating an insurance securitization; (2) Each protected cell shall be accounted for separately on the books and records of the SPFC to reflect the financial condition and results of operations of the protected cell, net income or loss, dividends, or other distributions to the counterparty for the SPFC contract with each cell, and other factors as may be provided in the SPFC contract, insurance securitization transaction documents, plan of operation, or business plan, or as required by the commissioner; (3) Amounts attributed to a protected cell under this part, including assets transferred to a protected cell account, are owned by the SPFC, and no SPFC shall be, or hold itself out to be, a trustee with respect to those protected cell assets of that protected cell account; (4) All attributions of assets and liabilities between a protected cell and the general account shall be in accordance with the plan of operation approved by the commissioner. No other attribution of assets or liabilities shall be made by an SPFC between the SPFC's general account and its protected cell or cells. The SPFC shall attribute all insurance obligations, assets, and liabilities relating to an SPFC contract and the related insurance securitization transaction, including any securities issued by the SPFC as part of the insurance securitization, to a particular protected cell. The rights, benefits, obligations, and liabilities of any securities attributable to that protected cell and the performance under an SPFC contract and the related securitization transaction and any tax benefits, losses, refunds, or credits allocated, or any of them, at any point in time pursuant to a tax allocation agreement between the SPFC and the SPFC's counterparty, parent, or company or group company, or any of them, in common control with them, as the case may be, including any payments made by or due to be made to the SPFC pursuant to the terms of the agreement, shall reflect the insurance obligations, assets, and liabilities relating to the SPFC contract and the insurance securitization transaction that are attributed to a particular protected cell; (5) No assets of a protected cell shall be chargeable with liabilities arising out of an SPFC contract related to or associated with another protected cell. However, one (1) or more SPFC contracts may be attributed to a protected cell only if the SPFC contracts are intended to be, and ultimately are, part of a single securitization transaction; (6) No sale, exchange, or other transfer of assets shall be made by the SPFC between, or among, any of the SPFC's protected cells without the consent of the commissioner, counterparty, and each protected cell; (7) Except as otherwise contemplated in the SPFC contract or related insurance securitization transaction documents, or both no sale, exchange, transfer of assets, dividend, or distribution shall be made from a protected cell to a counterparty or parent without the commissioner's approval and the sale, exchange, transfer, dividend, or distribution shall not be approved if the sale, exchange, transfer, dividend, or distribution would result in a protected cell's insolvency or impairment; and (8) An SPFC may pay interest or repay principal, or both, and make distributions or repayments with respect to any securities attributed to a particular protected cell from assets or cash flows relating to, or emerging from, the SPFC contract and the insurance securitization transactions that are attributable to that particular protected cell in accordance with this part or as otherwise approved by the commissioner. (c) No SPFC contract with, or attributable to, a protected cell shall take effect without the commissioner's prior written approval, and the addition of each new protected cell constitutes a change in the business plan requiring the commissioner's prior written approval. The commissioner may retain legal, financial, and examination services from outside the department to examine and investigate the application for a protected cell, the reasonable cost of which may be charged against the applicant, or the commissioner may use internal resources to examine and investigate the application, the reasonable cost of which may be charged against the applicant, or both. (d) An SPFC utilizing protected cells shall possess and maintain minimum capitalization separate and apart from the capitalization of its protected cell or cells in an amount determined by the commissioner after giving due consideration of the SPFC's business plan, feasibility study, and pro-formas, including the nature of the risks to be insured or reinsured. For purposes of determining the capitalization of each protected cell, an SPFC shall initially capitalize and maintain capitalization in each protected cell in the amount and manner required for an SPFC in § 56-13-406 . (e) The establishment of one (1) or more protected cells alone shall not constitute, and shall not be deemed to be, a fraudulent conveyance, an intent by the SPFC to defraud creditors, or the carrying out of business by the SPFC for any other fraudulent purpose. Acts 2011, ch. 468, § 1.
(a) This section and § 56-13-409 provide a basis for the creation and use of protected cells by an SPFC as a means of accessing alternative sources of capital, lowering formation and administrative expenses, and generally making insurance securitizations more efficient. If a conflict exists between this chapter and either this section or § 56-13-409 , either this section or § 56-13-409 shall control, as applicable.
(b) An SPFC may establish and maintain one (1) or more protected cells with prior written approval of the commissioner and subject to compliance with the applicable provisions of this part and the following conditions: (1) A protected cell shall be established only for the purpose of insuring or reinsuring risks of one (1) or more SPFC contracts with a counterparty with the intent of facilitating an insurance securitization; (2) Each protected cell shall be accounted for separately on the books and records of the SPFC to reflect the financial condition and results of operations of the protected cell, net income or loss, dividends, or other distributions to the counterparty for the SPFC contract with each cell, and other factors as may be provided in the SPFC contract, insurance securitization transaction documents, plan of operation, or business plan, or as required by the commissioner; (3) Amounts attributed to a protected cell under this part, including assets transferred to a protected cell account, are owned by the SPFC, and no SPFC shall be, or hold itself out to be, a trustee with respect to those protected cell assets of that protected cell account; (4) All attributions of assets and liabilities between a protected cell and the general account shall be in accordance with the plan of operation approved by the commissioner. No other attribution of assets or liabilities shall be made by an SPFC between the SPFC's general account and its protected cell or cells. The SPFC shall attribute all insurance obligations, assets, and liabilities relating to an SPFC contract and the related insurance securitization transaction, including any securities issued by the SPFC as part of the insurance securitization, to a particular protected cell. The rights, benefits, obligations, and liabilities of any securities attributable to that protected cell and the performance under an SPFC contract and the related securitization transaction and any tax benefits, losses, refunds, or credits allocated, or any of them, at any point in time pursuant to a tax allocation agreement between the SPFC and the SPFC's counterparty, parent, or company or group company, or any of them, in common control with them, as the case may be, including any payments made by or due to be made to the SPFC pursuant to the terms of the agreement, shall reflect the insurance obligations, assets, and liabilities relating to the SPFC contract and the insurance securitization transaction that are attributed to a particular protected cell; (5) No assets of a protected cell shall be chargeable with liabilities arising out of an SPFC contract related to or associated with another protected cell. However, one (1) or more SPFC contracts may be attributed to a protected cell only if the SPFC contracts are intended to be, and ultimately are, part of a single securitization transaction; (6) No sale, exchange, or other transfer of assets shall be made by the SPFC between, or among, any of the SPFC's protected cells without the consent of the commissioner, counterparty, and each protected cell; (7) Except as otherwise contemplated in the SPFC contract or related insurance securitization transaction documents, or both no sale, exchange, transfer of assets, dividend, or distribution shall be made from a protected cell to a counterparty or parent without the commissioner's approval and the sale, exchange, transfer, dividend, or distribution shall not be approved if the sale, exchange, transfer, dividend, or distribution would result in a protected cell's insolvency or impairment; and (8) An SPFC may pay interest or repay principal, or both, and make distributions or repayments with respect to any securities attributed to a particular protected cell from assets or cash flows relating to, or emerging from, the SPFC contract and the insurance securitization transactions that are attributable to that particular protected cell in accordance with this part or as otherwise approved by the commissioner.
(1) A protected cell shall be established only for the purpose of insuring or reinsuring risks of one (1) or more SPFC contracts with a counterparty with the intent of facilitating an insurance securitization;
(2) Each protected cell shall be accounted for separately on the books and records of the SPFC to reflect the financial condition and results of operations of the protected cell, net income or loss, dividends, or other distributions to the counterparty for the SPFC contract with each cell, and other factors as may be provided in the SPFC contract, insurance securitization transaction documents, plan of operation, or business plan, or as required by the commissioner;
(3) Amounts attributed to a protected cell under this part, including assets transferred to a protected cell account, are owned by the SPFC, and no SPFC shall be, or hold itself out to be, a trustee with respect to those protected cell assets of that protected cell account;
(4) All attributions of assets and liabilities between a protected cell and the general account shall be in accordance with the plan of operation approved by the commissioner. No other attribution of assets or liabilities shall be made by an SPFC between the SPFC's general account and its protected cell or cells. The SPFC shall attribute all insurance obligations, assets, and liabilities relating to an SPFC contract and the related insurance securitization transaction, including any securities issued by the SPFC as part of the insurance securitization, to a particular protected cell. The rights, benefits, obligations, and liabilities of any securities attributable to that protected cell and the performance under an SPFC contract and the related securitization transaction and any tax benefits, losses, refunds, or credits allocated, or any of them, at any point in time pursuant to a tax allocation agreement between the SPFC and the SPFC's counterparty, parent, or company or group company, or any of them, in common control with them, as the case may be, including any payments made by or due to be made to the SPFC pursuant to the terms of the agreement, shall reflect the insurance obligations, assets, and liabilities relating to the SPFC contract and the insurance securitization transaction that are attributed to a particular protected cell;
(5) No assets of a protected cell shall be chargeable with liabilities arising out of an SPFC contract related to or associated with another protected cell. However, one (1) or more SPFC contracts may be attributed to a protected cell only if the SPFC contracts are intended to be, and ultimately are, part of a single securitization transaction;
(6) No sale, exchange, or other transfer of assets shall be made by the SPFC between, or among, any of the SPFC's protected cells without the consent of the commissioner, counterparty, and each protected cell;
(7) Except as otherwise contemplated in the SPFC contract or related insurance securitization transaction documents, or both no sale, exchange, transfer of assets, dividend, or distribution shall be made from a protected cell to a counterparty or parent without the commissioner's approval and the sale, exchange, transfer, dividend, or distribution shall not be approved if the sale, exchange, transfer, dividend, or distribution would result in a protected cell's insolvency or impairment; and
(8) An SPFC may pay interest or repay principal, or both, and make distributions or repayments with respect to any securities attributed to a particular protected cell from assets or cash flows relating to, or emerging from, the SPFC contract and the insurance securitization transactions that are attributable to that particular protected cell in accordance with this part or as otherwise approved by the commissioner.
(c) No SPFC contract with, or attributable to, a protected cell shall take effect without the commissioner's prior written approval, and the addition of each new protected cell constitutes a change in the business plan requiring the commissioner's prior written approval. The commissioner may retain legal, financial, and examination services from outside the department to examine and investigate the application for a protected cell, the reasonable cost of which may be charged against the applicant, or the commissioner may use internal resources to examine and investigate the application, the reasonable cost of which may be charged against the applicant, or both.
(d) An SPFC utilizing protected cells shall possess and maintain minimum capitalization separate and apart from the capitalization of its protected cell or cells in an amount determined by the commissioner after giving due consideration of the SPFC's business plan, feasibility study, and pro-formas, including the nature of the risks to be insured or reinsured. For purposes of determining the capitalization of each protected cell, an SPFC shall initially capitalize and maintain capitalization in each protected cell in the amount and manner required for an SPFC in § 56-13-406 .
(e) The establishment of one (1) or more protected cells alone shall not constitute, and shall not be deemed to be, a fraudulent conveyance, an intent by the SPFC to defraud creditors, or the carrying out of business by the SPFC for any other fraudulent purpose.
Acts 2011, ch. 468, § 1.
Tenn. Code Ann. § 56-7-1509 — TN Code / Title 56 / Chapter 7 / Section 56-7-1509
Violations of part - Powers to compel compliance
Status: in_force

In addition to any other applicable penalties for violations set out in this title, the commissioner may require issuers violating this part or rules or regulations promulgated pursuant to this part to cease marketing any medicare supplement policy or certificate in this state that is related directly or indirectly to a violation, or may require the issuer to take actions necessary to comply with this part or both. Acts 1992, ch. 735, § 9.
In addition to any other applicable penalties for violations set out in this title, the commissioner may require issuers violating this part or rules or regulations promulgated pursuant to this part to cease marketing any medicare supplement policy or certificate in this state that is related directly or indirectly to a violation, or may require the issuer to take actions necessary to comply with this part or both.
Acts 1992, ch. 735, § 9.
Tenn. Code Ann. § 56-7-2708 — TN Code / Title 56 / Chapter 7 / Section 56-7-2708
Regulations
Status: in_force

The commissioner may promulgate regulations necessary or appropriate to carry out this part in accordance with the Uniform Administrative Procedures Act, compiled in title 4, chapter 5. Acts 1997, ch. 121, § 2.
The commissioner may promulgate regulations necessary or appropriate to carry out this part in accordance with the Uniform Administrative Procedures Act, compiled in title 4, chapter 5.
Acts 1997, ch. 121, § 2.
Tenn. Code Ann. § 56-32-113 — TN Code / Title 56 / Chapter 32 / Section 56-32-113
Prohibited practices
Status: in_force

(a) No HMO or representative of the HMO may cause or knowingly permit the use of advertising that is untrue or misleading, solicitation that is untrue or misleading, or any form of evidence of coverage that is deceptive. For the purpose of this chapter: (1) A statement or item of information shall be deemed to be untrue if it does not conform to fact in any respect that is or may be significant to an enrollee of, or person considering enrollment with, an HMO; (2) A statement or item of information shall be deemed to be misleading, whether or not it may be literally untrue, if, in the total context in which the statement is made or the item of information is communicated, the statement or item of information may be reasonably understood by a reasonable person, not possessing special knowledge regarding health care coverage, as indicating any benefit or advantage or the absence of any exclusion, limitation or disadvantage or possible significance to an enrollee of, or person considering enrollment in, an HMO, if the benefit or advantage or absence or limitation, exclusion or disadvantage does not in fact exist; and (3) An evidence of coverage shall be deemed to be deceptive if the evidence of coverage taken as a whole, and with consideration given to typography and format, as well as language, is such as to cause a reasonable person, not possessing special knowledge regarding HMOs and evidences of coverage for HMOs, to expect benefits, services, charges or other advantages that the evidence of coverage does not provide or that the HMO issuing the evidence of coverage does not regularly make available for enrollees covered under the evidence of coverage. (b) Chapter 8, part 1 of this title shall be construed to apply to HMOs and evidences of coverage, except to the extent that the commissioner determines the nature of HMOs and evidences of coverage render chapter 8, part 1 of this title inappropriate. (c) An HMO may not cancel or refuse to renew an enrollee, except for reasons stated in the organization's rules applicable to all enrollees, or for the failure to pay the charge for coverage, or for other reasons promulgated by the commissioner. (d) No HMO, unless licensed as an insurer, may refer to itself as an insurer or use a name deceptively similar to the name or description of any insurance or surety corporation doing business in this state. (e) Any person not in possession of a valid certificate of authority issued pursuant to this chapter may not use the phrase "health maintenance organization" or "HMO" in the course of operation. Acts 1986, ch. 713, § 13; T.C.A. § 56-32-213.
(a) No HMO or representative of the HMO may cause or knowingly permit the use of advertising that is untrue or misleading, solicitation that is untrue or misleading, or any form of evidence of coverage that is deceptive. For the purpose of this chapter: (1) A statement or item of information shall be deemed to be untrue if it does not conform to fact in any respect that is or may be significant to an enrollee of, or person considering enrollment with, an HMO; (2) A statement or item of information shall be deemed to be misleading, whether or not it may be literally untrue, if, in the total context in which the statement is made or the item of information is communicated, the statement or item of information may be reasonably understood by a reasonable person, not possessing special knowledge regarding health care coverage, as indicating any benefit or advantage or the absence of any exclusion, limitation or disadvantage or possible significance to an enrollee of, or person considering enrollment in, an HMO, if the benefit or advantage or absence or limitation, exclusion or disadvantage does not in fact exist; and (3) An evidence of coverage shall be deemed to be deceptive if the evidence of coverage taken as a whole, and with consideration given to typography and format, as well as language, is such as to cause a reasonable person, not possessing special knowledge regarding HMOs and evidences of coverage for HMOs, to expect benefits, services, charges or other advantages that the evidence of coverage does not provide or that the HMO issuing the evidence of coverage does not regularly make available for enrollees covered under the evidence of coverage.
(1) A statement or item of information shall be deemed to be untrue if it does not conform to fact in any respect that is or may be significant to an enrollee of, or person considering enrollment with, an HMO;
(2) A statement or item of information shall be deemed to be misleading, whether or not it may be literally untrue, if, in the total context in which the statement is made or the item of information is communicated, the statement or item of information may be reasonably understood by a reasonable person, not possessing special knowledge regarding health care coverage, as indicating any benefit or advantage or the absence of any exclusion, limitation or disadvantage or possible significance to an enrollee of, or person considering enrollment in, an HMO, if the benefit or advantage or absence or limitation, exclusion or disadvantage does not in fact exist; and
(3) An evidence of coverage shall be deemed to be deceptive if the evidence of coverage taken as a whole, and with consideration given to typography and format, as well as language, is such as to cause a reasonable person, not possessing special knowledge regarding HMOs and evidences of coverage for HMOs, to expect benefits, services, charges or other advantages that the evidence of coverage does not provide or that the HMO issuing the evidence of coverage does not regularly make available for enrollees covered under the evidence of coverage.
(b) Chapter 8, part 1 of this title shall be construed to apply to HMOs and evidences of coverage, except to the extent that the commissioner determines the nature of HMOs and evidences of coverage render chapter 8, part 1 of this title inappropriate.
(c) An HMO may not cancel or refuse to renew an enrollee, except for reasons stated in the organization's rules applicable to all enrollees, or for the failure to pay the charge for coverage, or for other reasons promulgated by the commissioner.
(d) No HMO, unless licensed as an insurer, may refer to itself as an insurer or use a name deceptively similar to the name or description of any insurance or surety corporation doing business in this state.
(e) Any person not in possession of a valid certificate of authority issued pursuant to this chapter may not use the phrase "health maintenance organization" or "HMO" in the course of operation.
Acts 1986, ch. 713, § 13; T.C.A. § 56-32-213.
Tenn. Code Ann. § 56-7-1804 — TN Code / Title 56 / Chapter 7 / Section 56-7-1804
Prerequisites for effective notice of cancellation - Contents of notices of cancellation - Delivery of notice
Status: in_force

(a) No notice of cancellation of a commercial risk insurance policy shall be effective unless mailed by the insurer, its authorized agent, or employee, to the named insured as shown in the policy declarations at the address shown in the declarations. (b) If the cancellation is due to any of the items set forth in § 56-7-1803 , or if the policy has been in effect less than sixty (60) days and is not a renewal policy, the cancellation shall be effective not less than ten (10) days after the date of mailing. (c) The mailing of notice shall be sufficient proof of notice. The effective date and hour of cancellation stated in the notice shall become the end of the policy period unless the insured shall surrender the policy and request cancellation prior to the date and hour specified in the cancellation notice. (d) Delivery of the written notice either by the agent or by the company shall be the equivalent of mailing. (e) All notices of cancellation shall state which of the grounds set forth in § 56-7-1803 are relied upon, and that upon written request of the named insured, the insurer shall furnish the facts on which the cancellation is based. (f) There shall be no liability on the part of, and no cause of action of any nature shall arise against, any insurer, its authorized representative, its agents, its employees, or any firm, person or corporation furnishing to the insurer information as to the reason for cancellation, for any statement made by any of them in any written notice of cancellation, for the providing of information pertaining to the cancellation, or for statements made or evidence submitted at any hearings conducted in connection with the cancellation. Acts 1986, ch. 656, § 4.
(a) No notice of cancellation of a commercial risk insurance policy shall be effective unless mailed by the insurer, its authorized agent, or employee, to the named insured as shown in the policy declarations at the address shown in the declarations.
(b) If the cancellation is due to any of the items set forth in § 56-7-1803 , or if the policy has been in effect less than sixty (60) days and is not a renewal policy, the cancellation shall be effective not less than ten (10) days after the date of mailing.
(c) The mailing of notice shall be sufficient proof of notice. The effective date and hour of cancellation stated in the notice shall become the end of the policy period unless the insured shall surrender the policy and request cancellation prior to the date and hour specified in the cancellation notice.
(d) Delivery of the written notice either by the agent or by the company shall be the equivalent of mailing.
(e) All notices of cancellation shall state which of the grounds set forth in § 56-7-1803 are relied upon, and that upon written request of the named insured, the insurer shall furnish the facts on which the cancellation is based.
(f) There shall be no liability on the part of, and no cause of action of any nature shall arise against, any insurer, its authorized representative, its agents, its employees, or any firm, person or corporation furnishing to the insurer information as to the reason for cancellation, for any statement made by any of them in any written notice of cancellation, for the providing of information pertaining to the cancellation, or for statements made or evidence submitted at any hearings conducted in connection with the cancellation.
Acts 1986, ch. 656, § 4.
Tenn. Code Ann. § 56-16-105 — TN Code / Title 56 / Chapter 16 / Section 56-16-105
Power and authority to enter into reciprocal insurance contract
Status: in_force

(a) Persons of this state may enter into reciprocal insurance contracts with each other and with persons of other states and countries, providing indemnity among themselves from any loss that may be insured against under other laws, excepting life insurance. (b) For any corporation now existing or hereafter organized under the laws of this state, the power and authority to enter into reciprocal insurance contracts shall be in addition to the powers conferred upon it in its certificate of incorporation, and shall be incidental to the purposes for which the corporation is organized. Acts 1990, ch. 728, § 2; T.C.A. § 56-16-205 .
(a) Persons of this state may enter into reciprocal insurance contracts with each other and with persons of other states and countries, providing indemnity among themselves from any loss that may be insured against under other laws, excepting life insurance.
(b) For any corporation now existing or hereafter organized under the laws of this state, the power and authority to enter into reciprocal insurance contracts shall be in addition to the powers conferred upon it in its certificate of incorporation, and shall be incidental to the purposes for which the corporation is organized.
Acts 1990, ch. 728, § 2; T.C.A. § 56-16-205 .
Tenn. Code Ann. § 56-7-2801 — TN Code / Title 56 / Chapter 7 / Section 56-7-2801
Short title
Status: in_force

This part shall be known and may be cited as the "Tennessee Health Insurance Portability, Availability and Renewability Act." Acts 1997, ch. 157, § 2.
This part shall be known and may be cited as the "Tennessee Health Insurance Portability, Availability and Renewability Act."
Acts 1997, ch. 157, § 2.
Tenn. Code Ann. § 56-6-406 — TN Code / Title 56 / Chapter 6 / Section 56-6-406
Administrator's duties as fiduciary
Status: in_force

All insurance charges or premiums collected by an administrator on behalf of or for an insurer or insurers, and return premiums received from the insurer or insurers, shall be held by the administrator in a fiduciary capacity. The funds shall be immediately remitted to the person or persons entitled to the funds, or shall be deposited promptly in a fiduciary bank account established and maintained by the administrator. If charges or premiums so deposited have been collected on behalf of or for more than one (1) insurer, the administrator shall cause the bank in which the fiduciary account is maintained to keep records clearly recording the deposits in and withdrawal from the account on behalf of or for each insurer. The administrator shall promptly obtain and keep copies of all the records and, upon request of an insurer, shall furnish the insurer with copies of the records pertaining to deposits and withdrawals on behalf of or for the insurer. The administrator shall not pay any claim by withdrawals from the fiduciary account. Withdrawals from the account shall be made, as provided in the written agreement between the administrator and the insurer, for: (1) Remittance to an insurer entitled to the remittance; (2) Deposit in an account maintained in the name of the insurer; (3) Transfer to and deposit in a claims paying account, with claims to be paid as provided in § 56-6-407 ; (4) Payment to a group policyholder for remittance to the insured entitled to the remittance; (5) Payment to the administrator of its commission, fees or charges; or (6) Remittance of return premiums to the person or persons entitled to the remittance. Acts 1980, ch. 640, § 6.
All insurance charges or premiums collected by an administrator on behalf of or for an insurer or insurers, and return premiums received from the insurer or insurers, shall be held by the administrator in a fiduciary capacity. The funds shall be immediately remitted to the person or persons entitled to the funds, or shall be deposited promptly in a fiduciary bank account established and maintained by the administrator. If charges or premiums so deposited have been collected on behalf of or for more than one (1) insurer, the administrator shall cause the bank in which the fiduciary account is maintained to keep records clearly recording the deposits in and withdrawal from the account on behalf of or for each insurer. The administrator shall promptly obtain and keep copies of all the records and, upon request of an insurer, shall furnish the insurer with copies of the records pertaining to deposits and withdrawals on behalf of or for the insurer. The administrator shall not pay any claim by withdrawals from the fiduciary account. Withdrawals from the account shall be made, as provided in the written agreement between the administrator and the insurer, for:
(1) Remittance to an insurer entitled to the remittance;
(2) Deposit in an account maintained in the name of the insurer;
(3) Transfer to and deposit in a claims paying account, with claims to be paid as provided in § 56-6-407 ;
(4) Payment to a group policyholder for remittance to the insured entitled to the remittance;
(5) Payment to the administrator of its commission, fees or charges; or
(6) Remittance of return premiums to the person or persons entitled to the remittance.
Acts 1980, ch. 640, § 6.
Tenn. Code Ann. § 56-17-103 — TN Code / Title 56 / Chapter 17 / Section 56-17-103
Information required to be provided to members
Status: in_force

(a) A discount card or materials distributed on behalf of a discount plan covered under this chapter must expressly provide, in bold and reasonably prominent type, that the card or plan does not constitute insurance. The card or distributed materials must also contain a toll-free number for customer service and provide the operator's corporate name and a website address, if applicable. (b) The operator must provide a prospective member, prior to becoming a member, with a complete description of the fees that a member of the plan could be assessed, including one-time non-refundable processing fees, upfront fees, or membership fees associated with the plan, along with the estimated average savings typically associated with the plan's general terms and conditions. (c) An operator must provide a member with: (1) An annually updated network directory of participating pharmacies, dentists, and vision care providers or access to the information online or by a toll-free number; (2) An annually updated list of the prescription drugs covered by the card or plan or access to the information online, by a toll-free number, or by way of a notation that the plan is an open formulary; and (3) A toll-free number for customer service. Added by 2021 Tenn. Acts, ch. 372, s 1, eff. 7/1/2021.
(a) A discount card or materials distributed on behalf of a discount plan covered under this chapter must expressly provide, in bold and reasonably prominent type, that the card or plan does not constitute insurance. The card or distributed materials must also contain a toll-free number for customer service and provide the operator's corporate name and a website address, if applicable.
(b) The operator must provide a prospective member, prior to becoming a member, with a complete description of the fees that a member of the plan could be assessed, including one-time non-refundable processing fees, upfront fees, or membership fees associated with the plan, along with the estimated average savings typically associated with the plan's general terms and conditions.
(c) An operator must provide a member with: (1) An annually updated network directory of participating pharmacies, dentists, and vision care providers or access to the information online or by a toll-free number; (2) An annually updated list of the prescription drugs covered by the card or plan or access to the information online, by a toll-free number, or by way of a notation that the plan is an open formulary; and (3) A toll-free number for customer service.
(1) An annually updated network directory of participating pharmacies, dentists, and vision care providers or access to the information online or by a toll-free number;
(2) An annually updated list of the prescription drugs covered by the card or plan or access to the information online, by a toll-free number, or by way of a notation that the plan is an open formulary; and
(3) A toll-free number for customer service.
Added by 2021 Tenn. Acts, ch. 372, s 1, eff. 7/1/2021.
Tenn. Code Ann. § 56-7-2325 — TN Code / Title 56 / Chapter 7 / Section 56-7-2325
Medical accident insurance issued to school children - Coverage
Status: in_force

Where any policy of insurance, group or individual, issued after July 1, 1973, to school children, contains a provision whereby incurred medical benefits for accidents are payable for a specified number of days following the covered accident and if, during the specified period, written notice is given to the insurance company by the insured, accompanied by a written statement from the insured's licensed physician stating that medical treatment will be required after the termination of the specified period, then the company shall pay the medical expenses that are incurred within one (1) year from the date of the accident causing the loss for benefits as provided by the contract of insurance. Acts 1973, ch. 311, § 1; T.C.A., § 56-1163; Acts 1992, ch. 984, § 1; T.C.A., § 56-7-1007.
Where any policy of insurance, group or individual, issued after July 1, 1973, to school children, contains a provision whereby incurred medical benefits for accidents are payable for a specified number of days following the covered accident and if, during the specified period, written notice is given to the insurance company by the insured, accompanied by a written statement from the insured's licensed physician stating that medical treatment will be required after the termination of the specified period, then the company shall pay the medical expenses that are incurred within one (1) year from the date of the accident causing the loss for benefits as provided by the contract of insurance.
Acts 1973, ch. 311, § 1; T.C.A., § 56-1163; Acts 1992, ch. 984, § 1; T.C.A., § 56-7-1007.
Tenn. Code Ann. § 56-46-209 — TN Code / Title 56 / Chapter 46 / Section 56-46-209
Construction with other laws - Rules - Exemptions
Status: in_force

(a) This part is supplemental to any other laws of this state, and shall not preclude or limit any other powers or duties of the commissioner under such laws, including, but not limited to, chapter 9 of this title. (b) The commissioner is authorized to promulgate rules and regulations to effectuate the purposes of this part. (c) The commissioner may exempt from the application of this part a domestic health organization that: (1) Writes direct business only in this state; (2) Assumes no reinsurance in excess of five percent (5%) of direct premium written; and (3) (A) Writes direct annual premiums for comprehensive medical business of two million dollars ($2,000,000) or less; or (B) Is a limited health service organization that covers less than two thousand (2,000) lives. Acts 2014, ch. 559, § 7.
(a) This part is supplemental to any other laws of this state, and shall not preclude or limit any other powers or duties of the commissioner under such laws, including, but not limited to, chapter 9 of this title.
(b) The commissioner is authorized to promulgate rules and regulations to effectuate the purposes of this part.
(c) The commissioner may exempt from the application of this part a domestic health organization that: (1) Writes direct business only in this state; (2) Assumes no reinsurance in excess of five percent (5%) of direct premium written; and (3) (A) Writes direct annual premiums for comprehensive medical business of two million dollars ($2,000,000) or less; or (B) Is a limited health service organization that covers less than two thousand (2,000) lives.
(1) Writes direct business only in this state;
(2) Assumes no reinsurance in excess of five percent (5%) of direct premium written; and
(3) (A) Writes direct annual premiums for comprehensive medical business of two million dollars ($2,000,000) or less; or (B) Is a limited health service organization that covers less than two thousand (2,000) lives.
(A) Writes direct annual premiums for comprehensive medical business of two million dollars ($2,000,000) or less; or
(B) Is a limited health service organization that covers less than two thousand (2,000) lives.
Acts 2014, ch. 559, § 7.
Tenn. Code Ann. § 56-32-134 — TN Code / Title 56 / Chapter 32 / Section 56-32-134
Required information for verification and audit purposes
Status: in_force

(a) As used in this section, "affiliate" has the same meaning as defined in § 56-32-102 . (b) (1) For verification and audit purposes, each managed care organization that participates in the TennCare program shall provide to the department of commerce and insurance the following information for its organization: (A) The names and addresses of all persons required to file a disclosure with the commissioner of health under § 71-5-137(a) and (b) ; (B) An explanation of the interest in or connection with the managed care organization, or an affiliate of the organization, in accordance with § 71-5-137(a) , of each person required to file a disclosure under subdivision (b)(1)(A); and (C) A listing of all compensation of any form paid to each person required to file a disclosure under subdivision (b)(1)(A) related to the person's interest in or connection with the managed care organization, or an affiliate of the organization, in accordance with § 71-5-137(a) . (2) The information shall be provided on or before January 15 of each year for the preceding calendar year. Acts 2000, ch. 708, § 5; T.C.A. § 56-32-234.
(a) As used in this section, "affiliate" has the same meaning as defined in § 56-32-102 .
(b) (1) For verification and audit purposes, each managed care organization that participates in the TennCare program shall provide to the department of commerce and insurance the following information for its organization: (A) The names and addresses of all persons required to file a disclosure with the commissioner of health under § 71-5-137(a) and (b) ; (B) An explanation of the interest in or connection with the managed care organization, or an affiliate of the organization, in accordance with § 71-5-137(a) , of each person required to file a disclosure under subdivision (b)(1)(A); and (C) A listing of all compensation of any form paid to each person required to file a disclosure under subdivision (b)(1)(A) related to the person's interest in or connection with the managed care organization, or an affiliate of the organization, in accordance with § 71-5-137(a) . (2) The information shall be provided on or before January 15 of each year for the preceding calendar year.
(1) For verification and audit purposes, each managed care organization that participates in the TennCare program shall provide to the department of commerce and insurance the following information for its organization: (A) The names and addresses of all persons required to file a disclosure with the commissioner of health under § 71-5-137(a) and (b) ; (B) An explanation of the interest in or connection with the managed care organization, or an affiliate of the organization, in accordance with § 71-5-137(a) , of each person required to file a disclosure under subdivision (b)(1)(A); and (C) A listing of all compensation of any form paid to each person required to file a disclosure under subdivision (b)(1)(A) related to the person's interest in or connection with the managed care organization, or an affiliate of the organization, in accordance with § 71-5-137(a) .
(A) The names and addresses of all persons required to file a disclosure with the commissioner of health under § 71-5-137(a) and (b) ;
(B) An explanation of the interest in or connection with the managed care organization, or an affiliate of the organization, in accordance with § 71-5-137(a) , of each person required to file a disclosure under subdivision (b)(1)(A); and
(C) A listing of all compensation of any form paid to each person required to file a disclosure under subdivision (b)(1)(A) related to the person's interest in or connection with the managed care organization, or an affiliate of the organization, in accordance with § 71-5-137(a) .
(2) The information shall be provided on or before January 15 of each year for the preceding calendar year.
Acts 2000, ch. 708, § 5; T.C.A. § 56-32-234.
Tenn. Code Ann. § 56-7-901 — TN Code / Title 56 / Chapter 7 / Section 56-7-901
Credit health and accident insurance
Status: in_force

(a) Application of Law. All accident and health insurance for a term of ten (10) years or less in connection with loans or credit transactions shall be subject to this section, except insurance in connection with a loan or other credit transaction of more than fifteen (15) years' duration; nor shall insurance be subject to this section where the issuance of the insurance is an isolated transaction on the part of the insurer not related to an agreement or a plan for insuring debtors of the creditor. (b) Filing of Forms. All policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements and riders delivered or issued for delivery in this state, and the schedules of premium rates pertaining to the policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements and riders, shall be filed with the commissioner. (c) Disapproval by Commissioner. The commissioner shall, within sixty (60) days after the filing of the policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements, riders and rates, disapprove the rate or form if the benefits provided in the rate or form are not reasonable in relation to the premium charge, or if the rate or form contains provisions that are unjust, unfair, inequitable, misleading, deceptive, or encourage misrepresentation of the coverage or are contrary to this title or any rule or regulation promulgated under this title. (d) Effect of Disapproval Hearing. If the commissioner notifies the insurer that the form or rate is disapproved, it shall be unlawful thereafter for the insurer to issue or use the form or rate. In the notice, the commissioner shall specify the reason for disapproval and state that a hearing will be granted within twenty (20) days after request in writing by the insurer. The policy, certificate of insurance, notice of proposed insurance, and any application, endorsement, rider, or rate may be issued or used after the expiration of sixty (60) days from the date it has been so filed, unless the commissioner has issued prior written disapproval within the sixty-day period. (e) Withdrawal of Approval. The commissioner may, at any time after a hearing held not less than twenty (20) days after written notice to the insurer, withdraw approval of the form or rate on any ground set forth in subsection (c). The written notice of the hearing shall state the reason for the proposed withdrawal. It is unlawful for the insurer to issue or use the form or rate after the effective date of the withdrawal. (f) Group Insurance. The insurer shall be required to file only the group certificate and notice of proposed insurance delivered or issued for delivery in this state as specified in regulations, if any, issued by the commissioner, and the forms shall be approved by the commissioner if they conform with the requirements specified in the regulations, if any, and if the schedules of premium rates applicable to the insurance evidenced by the certificate or notice are not in excess of the insurer's schedules of premium rates filed with the commissioner; provided, that the premium rate in effect on existing group policies may be continued until the first policy anniversary date following July 1, 1968, if a group policy of credit accident and health insurance: (1) Has been delivered in this state before July 1, 1968; or (2) Has been or is delivered in another state before or after July 1, 1968. (g) Judicial Review. Any order or final determination of the commissioner under this section shall be subject to judicial review. (h) Insurers Must Be Authorized. All forms shall be delivered or issued for delivery in this state only by an insurer authorized to do an insurance business therein, and shall be issued only through holders of licenses or authorizations issued by the commissioner. (i) Enforcement. The commissioner may, after notice and hearing, issue rules and regulations the commissioner deems appropriate for the supervision of this section. Acts 1968, ch. 630, §§ 1-3; impl. am. Acts 1971, ch. 137, § 1; 1973, ch. 34, § 1; T.C.A., § 56-1159; Acts 1980, ch. 867, § 1; 1985, ch. 107, § 2; 1988, ch. 709, § 1.
(a) Application of Law. All accident and health insurance for a term of ten (10) years or less in connection with loans or credit transactions shall be subject to this section, except insurance in connection with a loan or other credit transaction of more than fifteen (15) years' duration; nor shall insurance be subject to this section where the issuance of the insurance is an isolated transaction on the part of the insurer not related to an agreement or a plan for insuring debtors of the creditor.
(b) Filing of Forms. All policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements and riders delivered or issued for delivery in this state, and the schedules of premium rates pertaining to the policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements and riders, shall be filed with the commissioner.
(c) Disapproval by Commissioner. The commissioner shall, within sixty (60) days after the filing of the policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements, riders and rates, disapprove the rate or form if the benefits provided in the rate or form are not reasonable in relation to the premium charge, or if the rate or form contains provisions that are unjust, unfair, inequitable, misleading, deceptive, or encourage misrepresentation of the coverage or are contrary to this title or any rule or regulation promulgated under this title.
(d) Effect of Disapproval Hearing. If the commissioner notifies the insurer that the form or rate is disapproved, it shall be unlawful thereafter for the insurer to issue or use the form or rate. In the notice, the commissioner shall specify the reason for disapproval and state that a hearing will be granted within twenty (20) days after request in writing by the insurer. The policy, certificate of insurance, notice of proposed insurance, and any application, endorsement, rider, or rate may be issued or used after the expiration of sixty (60) days from the date it has been so filed, unless the commissioner has issued prior written disapproval within the sixty-day period.
(e) Withdrawal of Approval. The commissioner may, at any time after a hearing held not less than twenty (20) days after written notice to the insurer, withdraw approval of the form or rate on any ground set forth in subsection (c). The written notice of the hearing shall state the reason for the proposed withdrawal. It is unlawful for the insurer to issue or use the form or rate after the effective date of the withdrawal.
(f) Group Insurance. The insurer shall be required to file only the group certificate and notice of proposed insurance delivered or issued for delivery in this state as specified in regulations, if any, issued by the commissioner, and the forms shall be approved by the commissioner if they conform with the requirements specified in the regulations, if any, and if the schedules of premium rates applicable to the insurance evidenced by the certificate or notice are not in excess of the insurer's schedules of premium rates filed with the commissioner; provided, that the premium rate in effect on existing group policies may be continued until the first policy anniversary date following July 1, 1968, if a group policy of credit accident and health insurance: (1) Has been delivered in this state before July 1, 1968; or (2) Has been or is delivered in another state before or after July 1, 1968.
(1) Has been delivered in this state before July 1, 1968; or
(2) Has been or is delivered in another state before or after July 1, 1968.
(g) Judicial Review. Any order or final determination of the commissioner under this section shall be subject to judicial review.
(h) Insurers Must Be Authorized. All forms shall be delivered or issued for delivery in this state only by an insurer authorized to do an insurance business therein, and shall be issued only through holders of licenses or authorizations issued by the commissioner.
(i) Enforcement. The commissioner may, after notice and hearing, issue rules and regulations the commissioner deems appropriate for the supervision of this section.
Acts 1968, ch. 630, §§ 1-3; impl. am. Acts 1971, ch. 137, § 1; 1973, ch. 34, § 1; T.C.A., § 56-1159; Acts 1980, ch. 867, § 1; 1985, ch. 107, § 2; 1988, ch. 709, § 1.
Tenn. Code Ann. § 56-46-205 — TN Code / Title 56 / Chapter 46 / Section 56-46-205
Authorized Control Level Events
Status: in_force

(a) "Authorized Control Level Event" means any of the following events: (1) The filing of an RBC report by the health organization that indicates that the health organization's total adjusted capital is greater than or equal to its Mandatory Control Level RBC but less than its Authorized Control Level RBC; (2) The notification by the commissioner to the health organization of an adjusted RBC report that indicates the event in subdivision (a)(1); provided, that the health organization does not challenge the adjusted RBC report under § 56-46-207 ; (3) If, pursuant to § 56-46-207 , the health organization challenges an adjusted RBC report that indicates the event in subdivision (a)(1), notification by the commissioner to the health organization that the commissioner has, after a hearing, rejected the health organization's challenge; (4) The failure of the health organization to respond, in a manner satisfactory to the commissioner, to a corrective order; provided, that the health organization has not challenged the corrective order under § 56-46-207 ; or (5) If the health organization has challenged a corrective order under § 56-46-207 and the commissioner has, after a hearing, rejected the challenge or modified the corrective order, the failure of the health organization to respond, in a manner satisfactory to the commissioner, to the corrective order subsequent to rejection or modification by the commissioner. (b) If an Authorized Control Level Event occurs with respect to a health organization, the commissioner shall: (1) Take such actions as are required under § 56-46-204 regarding a health organization with respect to which a Regulatory Action Level Event has occurred; or (2) If the commissioner deems it to be in the best interests of the policyholders and creditors of the health organization and of the public, take such actions as are necessary to cause the health organization to be placed under regulatory control under chapter 9 of this title. In the event the commissioner takes such actions, the Authorized Control Level Event shall be deemed sufficient grounds for the commissioner to take action under chapter 9 of this title, and the commissioner shall have the rights, powers and duties with respect to the health organization as are set forth in chapter 9 of this title. In the event the commissioner takes actions under this subsection (b) pursuant to an adjusted RBC report, the health organization shall be entitled to such protections as are afforded to health organizations under chapter 9, part 2 of this title pertaining to summary proceedings. Acts 2014, ch. 559, § 7.
(a) "Authorized Control Level Event" means any of the following events: (1) The filing of an RBC report by the health organization that indicates that the health organization's total adjusted capital is greater than or equal to its Mandatory Control Level RBC but less than its Authorized Control Level RBC; (2) The notification by the commissioner to the health organization of an adjusted RBC report that indicates the event in subdivision (a)(1); provided, that the health organization does not challenge the adjusted RBC report under § 56-46-207 ; (3) If, pursuant to § 56-46-207 , the health organization challenges an adjusted RBC report that indicates the event in subdivision (a)(1), notification by the commissioner to the health organization that the commissioner has, after a hearing, rejected the health organization's challenge; (4) The failure of the health organization to respond, in a manner satisfactory to the commissioner, to a corrective order; provided, that the health organization has not challenged the corrective order under § 56-46-207 ; or (5) If the health organization has challenged a corrective order under § 56-46-207 and the commissioner has, after a hearing, rejected the challenge or modified the corrective order, the failure of the health organization to respond, in a manner satisfactory to the commissioner, to the corrective order subsequent to rejection or modification by the commissioner.
(1) The filing of an RBC report by the health organization that indicates that the health organization's total adjusted capital is greater than or equal to its Mandatory Control Level RBC but less than its Authorized Control Level RBC;
(2) The notification by the commissioner to the health organization of an adjusted RBC report that indicates the event in subdivision (a)(1); provided, that the health organization does not challenge the adjusted RBC report under § 56-46-207 ;
(3) If, pursuant to § 56-46-207 , the health organization challenges an adjusted RBC report that indicates the event in subdivision (a)(1), notification by the commissioner to the health organization that the commissioner has, after a hearing, rejected the health organization's challenge;
(4) The failure of the health organization to respond, in a manner satisfactory to the commissioner, to a corrective order; provided, that the health organization has not challenged the corrective order under § 56-46-207 ; or
(5) If the health organization has challenged a corrective order under § 56-46-207 and the commissioner has, after a hearing, rejected the challenge or modified the corrective order, the failure of the health organization to respond, in a manner satisfactory to the commissioner, to the corrective order subsequent to rejection or modification by the commissioner.
(b) If an Authorized Control Level Event occurs with respect to a health organization, the commissioner shall: (1) Take such actions as are required under § 56-46-204 regarding a health organization with respect to which a Regulatory Action Level Event has occurred; or (2) If the commissioner deems it to be in the best interests of the policyholders and creditors of the health organization and of the public, take such actions as are necessary to cause the health organization to be placed under regulatory control under chapter 9 of this title. In the event the commissioner takes such actions, the Authorized Control Level Event shall be deemed sufficient grounds for the commissioner to take action under chapter 9 of this title, and the commissioner shall have the rights, powers and duties with respect to the health organization as are set forth in chapter 9 of this title. In the event the commissioner takes actions under this subsection (b) pursuant to an adjusted RBC report, the health organization shall be entitled to such protections as are afforded to health organizations under chapter 9, part 2 of this title pertaining to summary proceedings.
(1) Take such actions as are required under § 56-46-204 regarding a health organization with respect to which a Regulatory Action Level Event has occurred; or
(2) If the commissioner deems it to be in the best interests of the policyholders and creditors of the health organization and of the public, take such actions as are necessary to cause the health organization to be placed under regulatory control under chapter 9 of this title. In the event the commissioner takes such actions, the Authorized Control Level Event shall be deemed sufficient grounds for the commissioner to take action under chapter 9 of this title, and the commissioner shall have the rights, powers and duties with respect to the health organization as are set forth in chapter 9 of this title. In the event the commissioner takes actions under this subsection (b) pursuant to an adjusted RBC report, the health organization shall be entitled to such protections as are afforded to health organizations under chapter 9, part 2 of this title pertaining to summary proceedings.
Acts 2014, ch. 559, § 7.
Tenn. Code Ann. § 56-2-205 — TN Code / Title 56 / Chapter 2 / Section 56-2-205
Insurance company may exercise one or all branches of authorized business
Status: in_force

The corporation may, at its option, exercise one (1) or more or all of the branches of business in which it is authorized to engage. Acts 1875, ch. 142, § 10; Shan., § 2263; mod. Code 1932, § 3976; T.C.A. (orig. ed.), §§ 56-208, 56-222.
The corporation may, at its option, exercise one (1) or more or all of the branches of business in which it is authorized to engage.
Acts 1875, ch. 142, § 10; Shan., § 2263; mod. Code 1932, § 3976; T.C.A. (orig. ed.), §§ 56-208, 56-222.
Tenn. Code Ann. § 56-3-802 — TN Code / Title 56 / Chapter 3 / Section 56-3-802
Authority to hold securities
Status: in_force

The commissioner is authorized to accept the deposits, and the state treasurer shall hold the deposits in the same manner as other deposits are held under §§ 56-2-104 , 56-2-112 and other applicable sections of this title. Acts 1973, ch. 104, § 2; T.C.A., § 56-356.
The commissioner is authorized to accept the deposits, and the state treasurer shall hold the deposits in the same manner as other deposits are held under §§ 56-2-104 , 56-2-112 and other applicable sections of this title.
Acts 1973, ch. 104, § 2; T.C.A., § 56-356.
Tenn. Code Ann. § 56-31-123 — TN Code / Title 56 / Chapter 31 / Section 56-31-123
Review of order of commissioner - Writ of certiorari
Status: in_force

A review of any order made by the commissioner pursuant to this chapter may be had in the circuit court of Davidson County, upon a writ of certiorari. Application for the writ shall be made within thirty (30) days after the entry of the order by the commissioner. Acts 1969, ch. 118, § 24; T.C.A., § 56-3723.
A review of any order made by the commissioner pursuant to this chapter may be had in the circuit court of Davidson County, upon a writ of certiorari. Application for the writ shall be made within thirty (30) days after the entry of the order by the commissioner.
Acts 1969, ch. 118, § 24; T.C.A., § 56-3723.
Tenn. Code Ann. § 56-57-104 — TN Code / Title 56 / Chapter 57 / Section 56-57-104
[Repealed]
Status: repealed

Repealed and reenacted by 2021 Tenn. Acts, ch. 372, s 1, eff. 7/1/2021.
Tenn. Code Ann. § 56-28-105 — TN Code / Title 56 / Chapter 28 / Section 56-28-105
Application for license - Form - Accompanying documents - Filing fee - Unpaid contributions reported as separate item
Status: in_force

Application for the license shall be made on forms approved by the commissioner, containing the information the commissioner deems necessary. Each application for the license shall be accompanied by copies of the following documents: (1) Certificate of incorporation; (2) Bylaws; (3) Proposed contracts between the corporation and participating hospital or hospitals showing terms under which hospital service is to be furnished to subscribers; (4) Contracts to be issued to subscribers showing a table of the rates to be charged and the benefits to which they are entitled, showing benefits expressed in service rather than in dollars; however, with equitable arrangements to protect the interests of subscribers when it becomes impossible for the service to be provided. The contracts should make clear that the ultimate responsibility for service to subscribers rests with the member hospital or hospitals; and (5) A statement of its financial condition and business in such form and detail as the commissioner may require, including the amounts of contribution paid for working capital, and the name or names of each contributor and the terms of the contribution, signed and sworn to by the president and secretary or other proper officers, and shall pay for the filing of the statement the sum of thirty dollars ($30.00). Contributions not paid, but agreed to be paid, may be reported as a separate item, but shall not be admitted as assets of the corporation. Acts 1945, ch. 98, § 4; C. Supp. 1950, § 4186.4; T.C.A. (orig. ed.), § 56-3005.
Application for the license shall be made on forms approved by the commissioner, containing the information the commissioner deems necessary. Each application for the license shall be accompanied by copies of the following documents:
(1) Certificate of incorporation;
(2) Bylaws;
(3) Proposed contracts between the corporation and participating hospital or hospitals showing terms under which hospital service is to be furnished to subscribers;
(4) Contracts to be issued to subscribers showing a table of the rates to be charged and the benefits to which they are entitled, showing benefits expressed in service rather than in dollars; however, with equitable arrangements to protect the interests of subscribers when it becomes impossible for the service to be provided. The contracts should make clear that the ultimate responsibility for service to subscribers rests with the member hospital or hospitals; and
(5) A statement of its financial condition and business in such form and detail as the commissioner may require, including the amounts of contribution paid for working capital, and the name or names of each contributor and the terms of the contribution, signed and sworn to by the president and secretary or other proper officers, and shall pay for the filing of the statement the sum of thirty dollars ($30.00). Contributions not paid, but agreed to be paid, may be reported as a separate item, but shall not be admitted as assets of the corporation.
Acts 1945, ch. 98, § 4; C. Supp. 1950, § 4186.4; T.C.A. (orig. ed.), § 56-3005.
Tenn. Code Ann. § 56-43-114 — TN Code / Title 56 / Chapter 43 / Section 56-43-114
Suspension, revocation or refusal to renew certificates
Status: in_force

The commissioner may suspend, revoke or refuse to renew any certificate of authority to a person transacting the business of legal insurance under this chapter pursuant to chapters 1, 2 and 8 of this title. Acts 1989, ch. 423, § 13.
The commissioner may suspend, revoke or refuse to renew any certificate of authority to a person transacting the business of legal insurance under this chapter pursuant to chapters 1, 2 and 8 of this title.
Acts 1989, ch. 423, § 13.
Tenn. Code Ann. § 56-7-1109 — TN Code / Title 56 / Chapter 7 / Section 56-7-1109
Effect of accidents on premiums
Status: in_force

(a) Whenever a person who is employed as a driver is involved in a traffic accident in the course of employment and while operating a motor vehicle owned by or leased to the person's employer, the accident shall in no way be considered by the person's personal automobile insurance carrier in fixing insurance premiums, nor shall it cause any increase in the person's personal automobile insurance premiums, if the accident did not involve negligence on the part of the person. Likewise, an accident involving the person while using the person's personal vehicle and not involving negligence by the person shall not be considered relative to insurance or premiums for the person's employer. (b) Whenever a person is involved in a traffic accident while operating a motor vehicle, if the accident did not involve negligence on the part of the person, it shall in no way be considered by the person's personal automobile insurance carrier in fixing premiums, nor shall it cause any increase in the person's personal automobile insurance premiums. Likewise, an accident involving the person, while operating another person's insured vehicle under the other person's authority and not involving negligence on the part of the driver, shall not cause an increase in the personal automobile insurance premiums for the owner of the vehicle; provided, that the owner did not violate any contractual duties or obligations by authorizing the driver to operate the vehicle. Acts 1988, ch. 759, § 1; 1989, ch. 378, § 1.
(a) Whenever a person who is employed as a driver is involved in a traffic accident in the course of employment and while operating a motor vehicle owned by or leased to the person's employer, the accident shall in no way be considered by the person's personal automobile insurance carrier in fixing insurance premiums, nor shall it cause any increase in the person's personal automobile insurance premiums, if the accident did not involve negligence on the part of the person. Likewise, an accident involving the person while using the person's personal vehicle and not involving negligence by the person shall not be considered relative to insurance or premiums for the person's employer.
(b) Whenever a person is involved in a traffic accident while operating a motor vehicle, if the accident did not involve negligence on the part of the person, it shall in no way be considered by the person's personal automobile insurance carrier in fixing premiums, nor shall it cause any increase in the person's personal automobile insurance premiums. Likewise, an accident involving the person, while operating another person's insured vehicle under the other person's authority and not involving negligence on the part of the driver, shall not cause an increase in the personal automobile insurance premiums for the owner of the vehicle; provided, that the owner did not violate any contractual duties or obligations by authorizing the driver to operate the vehicle.
Acts 1988, ch. 759, § 1; 1989, ch. 378, § 1.
Tenn. Code Ann. § 56-51-143 — TN Code / Title 56 / Chapter 51 / Section 56-51-143
Levy upon deposit limited
Status: in_force

No judgment creditor or other claimant, other than the department, of a prepaid limited health service organization shall have the right to levy upon any of the assets or securities held in this state as a deposit under § 56-51-137 . Acts 2000, ch. 948, § 43.
No judgment creditor or other claimant, other than the department, of a prepaid limited health service organization shall have the right to levy upon any of the assets or securities held in this state as a deposit under § 56-51-137 .
Acts 2000, ch. 948, § 43.
Tenn. Code Ann. § 56-5-122 — TN Code / Title 56 / Chapter 5 / Section 56-5-122
Exempt commercial risk policyholders
Status: in_force

(a) For purposes of this section: (1) "Exempt commercial risk policyholder" means an insured that either employs the services of an insurance producer licensed in property or casualty lines of authority or procures commercial risk insurance with the services of a full-time risk manager, and: (A) Is a city, county, or metropolitan government with a population of at least fifty thousand (50,000), according to the 2010 federal census or any subsequent census; (B) Is this state; (C) Is a not-for-profit organization or a public entity with an annual budget of at least twenty-five million dollars ($25,000,000) in the preceding fiscal year; or (D) Is a commercial risk policyholder that annually certifies to the department on a form designated by the department that the policyholder: (i) Possesses a net worth of more than ten million dollars ($10,000,000) at the time the policy of insurance is issued; (ii) Generated net revenue or sales of more than fifteen million dollars ($15,000,000) in the preceding fiscal year; (iii) Employs more than twenty-five (25) employees per individual company or fifty (50) employees per holding company at the time the policy of insurance is issued; and (iv) Paid annual aggregate insurance premiums of at least two hundred thousand dollars ($200,000) in the preceding fiscal year of commercial risk insurance as defined in § 56-5-102 , excluding any premiums paid for accident and health insurance and workers' compensation and employer's liability insurance as defined in § 56-2-201 ; and (2) "Risk manager" means a person who: (A) Holds an Accredited Advisor in Insurance (AAI) or Associate in Risk Management (ARM) designation for property and casualty lines of authority; (B) Holds a risk management in insurance degree from an accredited college or university for property and casualty lines of authority; or (C) Is qualified by experience, as determined by the commissioner. (b) Section 56-5-106(a) does not apply to a commercial risk policy issued to an exempt commercial risk policyholder by an insurer of commercial risk insurance. (c) An insurer of commercial risk insurance is subject to the penalties provided in § 56-2-305 if the: (1) Insurer does not comply with § 56-5-106(a) relative to a commercial risk insurance policy issued to a commercial risk policyholder; and (2) Policyholder has not filed a certification as required by subdivision (a)(1)(D). (d) The certification form filed by a commercial risk policyholder pursuant to subdivision (a)(1)(D) shall be confidential and not subject to title 10, chapter 7, part 5. (e) Any application or policy issued to an exempt commercial risk policyholder must contain a disclaimer in language the same as or substantially similar to the following: The rate provided for in this policy and all forms utilized are exempt from the filing requirements of Tenn. Code Ann. § 56-5-106 . Amended by 2018 Tenn. Acts, ch. 996,Secs.s4, s5 eff. 5/21/2018. Acts 2012, ch. 878, § 1.
(a) For purposes of this section: (1) "Exempt commercial risk policyholder" means an insured that either employs the services of an insurance producer licensed in property or casualty lines of authority or procures commercial risk insurance with the services of a full-time risk manager, and: (A) Is a city, county, or metropolitan government with a population of at least fifty thousand (50,000), according to the 2010 federal census or any subsequent census; (B) Is this state; (C) Is a not-for-profit organization or a public entity with an annual budget of at least twenty-five million dollars ($25,000,000) in the preceding fiscal year; or (D) Is a commercial risk policyholder that annually certifies to the department on a form designated by the department that the policyholder: (i) Possesses a net worth of more than ten million dollars ($10,000,000) at the time the policy of insurance is issued; (ii) Generated net revenue or sales of more than fifteen million dollars ($15,000,000) in the preceding fiscal year; (iii) Employs more than twenty-five (25) employees per individual company or fifty (50) employees per holding company at the time the policy of insurance is issued; and (iv) Paid annual aggregate insurance premiums of at least two hundred thousand dollars ($200,000) in the preceding fiscal year of commercial risk insurance as defined in § 56-5-102 , excluding any premiums paid for accident and health insurance and workers' compensation and employer's liability insurance as defined in § 56-2-201 ; and (2) "Risk manager" means a person who: (A) Holds an Accredited Advisor in Insurance (AAI) or Associate in Risk Management (ARM) designation for property and casualty lines of authority; (B) Holds a risk management in insurance degree from an accredited college or university for property and casualty lines of authority; or (C) Is qualified by experience, as determined by the commissioner.
(1) "Exempt commercial risk policyholder" means an insured that either employs the services of an insurance producer licensed in property or casualty lines of authority or procures commercial risk insurance with the services of a full-time risk manager, and: (A) Is a city, county, or metropolitan government with a population of at least fifty thousand (50,000), according to the 2010 federal census or any subsequent census; (B) Is this state; (C) Is a not-for-profit organization or a public entity with an annual budget of at least twenty-five million dollars ($25,000,000) in the preceding fiscal year; or (D) Is a commercial risk policyholder that annually certifies to the department on a form designated by the department that the policyholder: (i) Possesses a net worth of more than ten million dollars ($10,000,000) at the time the policy of insurance is issued; (ii) Generated net revenue or sales of more than fifteen million dollars ($15,000,000) in the preceding fiscal year; (iii) Employs more than twenty-five (25) employees per individual company or fifty (50) employees per holding company at the time the policy of insurance is issued; and (iv) Paid annual aggregate insurance premiums of at least two hundred thousand dollars ($200,000) in the preceding fiscal year of commercial risk insurance as defined in § 56-5-102 , excluding any premiums paid for accident and health insurance and workers' compensation and employer's liability insurance as defined in § 56-2-201 ; and
(A) Is a city, county, or metropolitan government with a population of at least fifty thousand (50,000), according to the 2010 federal census or any subsequent census;
(B) Is this state;
(C) Is a not-for-profit organization or a public entity with an annual budget of at least twenty-five million dollars ($25,000,000) in the preceding fiscal year; or
(D) Is a commercial risk policyholder that annually certifies to the department on a form designated by the department that the policyholder: (i) Possesses a net worth of more than ten million dollars ($10,000,000) at the time the policy of insurance is issued; (ii) Generated net revenue or sales of more than fifteen million dollars ($15,000,000) in the preceding fiscal year; (iii) Employs more than twenty-five (25) employees per individual company or fifty (50) employees per holding company at the time the policy of insurance is issued; and (iv) Paid annual aggregate insurance premiums of at least two hundred thousand dollars ($200,000) in the preceding fiscal year of commercial risk insurance as defined in § 56-5-102 , excluding any premiums paid for accident and health insurance and workers' compensation and employer's liability insurance as defined in § 56-2-201 ; and
(i) Possesses a net worth of more than ten million dollars ($10,000,000) at the time the policy of insurance is issued;
(ii) Generated net revenue or sales of more than fifteen million dollars ($15,000,000) in the preceding fiscal year;
(iii) Employs more than twenty-five (25) employees per individual company or fifty (50) employees per holding company at the time the policy of insurance is issued; and
(iv) Paid annual aggregate insurance premiums of at least two hundred thousand dollars ($200,000) in the preceding fiscal year of commercial risk insurance as defined in § 56-5-102 , excluding any premiums paid for accident and health insurance and workers' compensation and employer's liability insurance as defined in § 56-2-201 ; and
(2) "Risk manager" means a person who: (A) Holds an Accredited Advisor in Insurance (AAI) or Associate in Risk Management (ARM) designation for property and casualty lines of authority; (B) Holds a risk management in insurance degree from an accredited college or university for property and casualty lines of authority; or (C) Is qualified by experience, as determined by the commissioner.
(A) Holds an Accredited Advisor in Insurance (AAI) or Associate in Risk Management (ARM) designation for property and casualty lines of authority;
(B) Holds a risk management in insurance degree from an accredited college or university for property and casualty lines of authority; or
(C) Is qualified by experience, as determined by the commissioner.
(b) Section 56-5-106(a) does not apply to a commercial risk policy issued to an exempt commercial risk policyholder by an insurer of commercial risk insurance.
(c) An insurer of commercial risk insurance is subject to the penalties provided in § 56-2-305 if the: (1) Insurer does not comply with § 56-5-106(a) relative to a commercial risk insurance policy issued to a commercial risk policyholder; and (2) Policyholder has not filed a certification as required by subdivision (a)(1)(D).
(1) Insurer does not comply with § 56-5-106(a) relative to a commercial risk insurance policy issued to a commercial risk policyholder; and
(2) Policyholder has not filed a certification as required by subdivision (a)(1)(D).
(d) The certification form filed by a commercial risk policyholder pursuant to subdivision (a)(1)(D) shall be confidential and not subject to title 10, chapter 7, part 5.
(e) Any application or policy issued to an exempt commercial risk policyholder must contain a disclaimer in language the same as or substantially similar to the following: The rate provided for in this policy and all forms utilized are exempt from the filing requirements of Tenn. Code Ann. § 56-5-106 .
The rate provided for in this policy and all forms utilized are exempt from the filing requirements of Tenn. Code Ann. § 56-5-106 .
Amended by 2018 Tenn. Acts, ch. 996,Secs.s4, s5 eff. 5/21/2018.
Acts 2012, ch. 878, § 1.
Tenn. Code Ann. § 56-7-315 — TN Code / Title 56 / Chapter 7 / Section 56-7-315
Interest payable after receipt of claim
Status: in_force

An insurer of a life insurance policy or annuity issued for delivery in this state, with respect to a claim for benefits by reason of the death of the insured or annuitant, shall pay interest beginning on the fifteenth day following the date of death of the insured or annuitant, with the interest compounded annually for a period not to exceed three (3) years from that date. The rate of interest payable shall not be less than the interest currently paid by the insurer with respect to proceeds left on deposit. Acts 1993, ch. 351, § 1; 2002, ch. 681, § 1.
An insurer of a life insurance policy or annuity issued for delivery in this state, with respect to a claim for benefits by reason of the death of the insured or annuitant, shall pay interest beginning on the fifteenth day following the date of death of the insured or annuitant, with the interest compounded annually for a period not to exceed three (3) years from that date. The rate of interest payable shall not be less than the interest currently paid by the insurer with respect to proceeds left on deposit.
Acts 1993, ch. 351, § 1; 2002, ch. 681, § 1.
Tenn. Code Ann. § 56-45-112 — TN Code / Title 56 / Chapter 45 / Section 56-45-112
Persons who may solicit, procure or negotiate liability insurance coverage for risk retention groups and purchasing groups - Agents or brokers - Notice
Status: in_force

(a) No person, firm, association or corporation shall act or aid in any manner in soliciting, negotiating or procuring liability insurance in this state from a risk retention group unless the person, firm, association or corporation is licensed as an insurance agent or broker in accordance with chapter 6 of this title. (b) (1) No person, firm, association or corporation shall act or aid in any manner in soliciting, negotiating or procuring liability insurance in this state for a purchasing group from an authorized insurer or a risk retention group chartered in a state unless the person, firm, association or corporation is licensed as an insurance agent or broker in accordance with chapter 6 of this title. (2) No person, firm, association or corporation shall act or aid in any manner in soliciting, negotiating or procuring liability insurance coverage in this state for any member of a purchasing group under a purchasing group's policy unless the person, firm, association or corporation is licensed as an insurance agent or broker in accordance with chapter 6 of this title. (3) No person, firm, association or corporation shall act or aid in any manner in soliciting, negotiating or procuring liability insurance from an approved surplus lines insurer on behalf of a purchasing group located in this state unless the person, firm, association or corporation is licensed as a surplus lines agent or an excess line broker in accordance with chapter 14 of this title. (c) For purposes of acting as an agent or broker for a risk retention group or purchasing group pursuant to subsections (a) and (b), the requirement of residence in this state does not apply. (d) Every person, firm, association or corporation licensed pursuant to chapter 6 of this title, on business placed with risk retention groups or written through a purchasing group, shall inform each prospective insured of the notice required by § 56-45-104(g) , in the case of a risk retention group, and § 56-45-109(b) , in the case of a purchasing group. Acts 1991, ch. 142, § 6.
(a) No person, firm, association or corporation shall act or aid in any manner in soliciting, negotiating or procuring liability insurance in this state from a risk retention group unless the person, firm, association or corporation is licensed as an insurance agent or broker in accordance with chapter 6 of this title.
(b) (1) No person, firm, association or corporation shall act or aid in any manner in soliciting, negotiating or procuring liability insurance in this state for a purchasing group from an authorized insurer or a risk retention group chartered in a state unless the person, firm, association or corporation is licensed as an insurance agent or broker in accordance with chapter 6 of this title. (2) No person, firm, association or corporation shall act or aid in any manner in soliciting, negotiating or procuring liability insurance coverage in this state for any member of a purchasing group under a purchasing group's policy unless the person, firm, association or corporation is licensed as an insurance agent or broker in accordance with chapter 6 of this title. (3) No person, firm, association or corporation shall act or aid in any manner in soliciting, negotiating or procuring liability insurance from an approved surplus lines insurer on behalf of a purchasing group located in this state unless the person, firm, association or corporation is licensed as a surplus lines agent or an excess line broker in accordance with chapter 14 of this title.
(1) No person, firm, association or corporation shall act or aid in any manner in soliciting, negotiating or procuring liability insurance in this state for a purchasing group from an authorized insurer or a risk retention group chartered in a state unless the person, firm, association or corporation is licensed as an insurance agent or broker in accordance with chapter 6 of this title.
(2) No person, firm, association or corporation shall act or aid in any manner in soliciting, negotiating or procuring liability insurance coverage in this state for any member of a purchasing group under a purchasing group's policy unless the person, firm, association or corporation is licensed as an insurance agent or broker in accordance with chapter 6 of this title.
(3) No person, firm, association or corporation shall act or aid in any manner in soliciting, negotiating or procuring liability insurance from an approved surplus lines insurer on behalf of a purchasing group located in this state unless the person, firm, association or corporation is licensed as a surplus lines agent or an excess line broker in accordance with chapter 14 of this title.
(c) For purposes of acting as an agent or broker for a risk retention group or purchasing group pursuant to subsections (a) and (b), the requirement of residence in this state does not apply.
(d) Every person, firm, association or corporation licensed pursuant to chapter 6 of this title, on business placed with risk retention groups or written through a purchasing group, shall inform each prospective insured of the notice required by § 56-45-104(g) , in the case of a risk retention group, and § 56-45-109(b) , in the case of a purchasing group.
Acts 1991, ch. 142, § 6.
Tenn. Code Ann. § 56-3-903 — TN Code / Title 56 / Chapter 3 / Section 56-3-903
Use of book-entry systems
Status: in_force

(a) (1) A domestic insurance company may deposit, or arrange for the deposit of, securities held in or purchased for its general account and its separate accounts in a clearing corporation. (2) When securities are deposited with a clearing corporation: (A) Certificates representing securities of the same class of the same issuer may be merged and held in bulk in the name of the nominee of such clearing corporation with any other securities deposited with such clearing corporation by any person, regardless of the ownership of such securities; and (B) Certificates representing securities of small denominations may be merged into one (1) or more certificates of larger denominations. (3) The records of any custodian through which an insurance company holds securities in a clearing corporation shall at all times show that such securities are held for such insurance company and for which accounts. (4) Ownership of, and other interest in, such securities may be transferred by bookkeeping entry on the books of such clearing corporation without physical delivery of certificates representing such securities. (b) The commissioner is authorized to promulgate rules and regulations governing the deposit by insurance companies of securities with clearing corporations, including establishing standards for national banks, state banks, federal home loan banks, trust companies and broker/dealers to qualify as custodians for insurance company securities. Acts 2012 , ch. 680, § 4.
(a) (1) A domestic insurance company may deposit, or arrange for the deposit of, securities held in or purchased for its general account and its separate accounts in a clearing corporation. (2) When securities are deposited with a clearing corporation: (A) Certificates representing securities of the same class of the same issuer may be merged and held in bulk in the name of the nominee of such clearing corporation with any other securities deposited with such clearing corporation by any person, regardless of the ownership of such securities; and (B) Certificates representing securities of small denominations may be merged into one (1) or more certificates of larger denominations. (3) The records of any custodian through which an insurance company holds securities in a clearing corporation shall at all times show that such securities are held for such insurance company and for which accounts. (4) Ownership of, and other interest in, such securities may be transferred by bookkeeping entry on the books of such clearing corporation without physical delivery of certificates representing such securities.
(1) A domestic insurance company may deposit, or arrange for the deposit of, securities held in or purchased for its general account and its separate accounts in a clearing corporation.
(2) When securities are deposited with a clearing corporation: (A) Certificates representing securities of the same class of the same issuer may be merged and held in bulk in the name of the nominee of such clearing corporation with any other securities deposited with such clearing corporation by any person, regardless of the ownership of such securities; and (B) Certificates representing securities of small denominations may be merged into one (1) or more certificates of larger denominations.
(A) Certificates representing securities of the same class of the same issuer may be merged and held in bulk in the name of the nominee of such clearing corporation with any other securities deposited with such clearing corporation by any person, regardless of the ownership of such securities; and
(B) Certificates representing securities of small denominations may be merged into one (1) or more certificates of larger denominations.
(3) The records of any custodian through which an insurance company holds securities in a clearing corporation shall at all times show that such securities are held for such insurance company and for which accounts.
(4) Ownership of, and other interest in, such securities may be transferred by bookkeeping entry on the books of such clearing corporation without physical delivery of certificates representing such securities.
(b) The commissioner is authorized to promulgate rules and regulations governing the deposit by insurance companies of securities with clearing corporations, including establishing standards for national banks, state banks, federal home loan banks, trust companies and broker/dealers to qualify as custodians for insurance company securities.
Acts 2012 , ch. 680, § 4.