reglab/statecodes huggingface dataset:
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3312 - Legal service insurance corporation; articles of incorporation; contents.

44-3312.
Legal service insurance corporation; articles of incorporation; contents.
(1) Two or more persons may organize a legal service insurance corporation under this section.
(2) The articles of incorporation of a not-for-profit corporation shall conform to the requirements applicable to not-for-profit corporations under the Nebraska Nonprofit Corporation Act and the articles of incorporation of a corporation for profit shall conform to the requirements applicable to corporations for profit under the Nebraska Model Business Corporation Act, except that:
(a) The name of the corporation shall indicate that legal services or indemnity for legal services is to be provided;
(b) The purposes of the corporation shall be limited to providing legal services or indemnity for legal expenses and business reasonably related thereto;
(c) The articles shall state whether members or other providers of services may be required to share operating deficits, either through assessments or through reductions in the compensation for services rendered. They shall also state the general conditions and procedures for deficit sharing and any limits on the amount of the deficit to be assumed by each individual member or provider;
(d) For corporations having members, the articles shall state the conditions and procedures for acquiring membership and that only members have the right to vote; and
(e) For corporations not having members, the articles shall state how the directors are to be selected.
Source
Laws 1979, LB 52, § 12;
Laws 1995, LB 109, § 225;
Laws 1996, LB 681, § 195;
Laws 2014, LB749, § 291.
Cross References
Nebraska Model Business Corporation Act, see section 21-201.
Nebraska Nonprofit Corporation Act, see section 21-1901.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3313 - Incorporators; certificate of authority; application; contents.

44-3313.
Incorporators; certificate of authority; application; contents.
The incorporators shall file with the director an application for a certificate of authority to do business, which shall include or have attached the following:
(1) The names, addresses, and occupations of all incorporators, proposed directors, and officers;
(2) For corporate incorporators, their articles and bylaws and a list of the names, addresses, and occupations of their directors and principal officers and, for the three most recent years, their annual statements and reports;
(3) The proposed articles and bylaws;
(4) All agreements relating to the corporation to which any incorporator, or proposed director or officer is a party;
(5) The amount and sources of the funds available for organization expenses and the proposed arrangements for reimbursement and compensation of incorporators or other persons;
(6) The proposed compensation of directors and officers;
(7) The forms to be used for any contracts between the corporation and its members or other persons concerning the provision of services to insureds;
(8) The proposed minimum amount of surplus;
(9) The plan for conducting the insurance business including all of the following:
(a) The geographical area in which business is intended to be done;
(b) The types of legal expense insurance intended to be written including specification whether and to what extent indemnity rather than service benefits are to be provided;
(c) The proposed marketing methods; and
(d) To the extent required by the director, the proposed method for the establishment of premium rates and other charges to policyholders; and
(10) Such other documents or information as the director reasonably requires.
Source
Laws 1979, LB 52, § 13.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3314 - Certificate of authority; director; issuance; conditions.

44-3314.
Certificate of authority; director; issuance; conditions.
The director shall issue a certificate of authority to a corporation organized under the provisions of sections 44-3312 and 44-3313 if:
(1) He or she finds that all requirements of law have been met;
(2) He or she is satisfied that all natural persons who are incorporators, the directors and principal officers of corporate incorporators, and the proposed directors and officers of the corporation being formed are trustworthy, competent, and collectively have the competence and experience to engage in the particular insurance business proposed; and
(3) He or she is satisfied that the business plan is consistent with the interests of the corporation's potential insureds and of the public.
Source
Laws 1979, LB 52, § 14.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3315 - Legal service insurance corporation; legal existence; when commenced.

44-3315.
Legal service insurance corporation; legal existence; when commenced.
Upon the issuance of the certificate of authority, and upon the issuance of the certificate of incorporation by the Secretary of State, the legal existence of the corporation organized under sections 44-3312 and 44-3313 shall begin, the articles and bylaws shall become effective, the proposed directors and officers shall take office, and the corporation shall be authorized to transact legal service insurance in this state subject to the requirements and restrictions of sections 44-3301 to 44-3327.
Source
Laws 1979, LB 52, § 15.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3316 - Legal service insurance corporation; funds; investments.

44-3316.
Legal service insurance corporation; funds; investments.
A corporation organized under sections 44-3312 and 44-3313 shall invest its funds as provided by Chapter 44 and its investments shall be valued as provided by Chapter 44. The investments shall exceed its liabilities and reserves except for claim liability covered by contracting attorney guarantees and it shall be a continuing condition of licensing by the director that such solvency be maintained.
Source
Laws 1979, LB 52, § 16.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3317 - Legal service insurance corporation; reserves.

44-3317.
Legal service insurance corporation; reserves.
A corporation organized under sections 44-3312 and 44-3313 shall maintain the reserves necessary for the sound operation of the business, including unearned premium reserves. The amount and manner of calculating such reserves shall be determined by rule of the director.
Source
Laws 1979, LB 52, § 17.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3318 - Legal expense insurers; acts; not applicable.

44-3318.
Legal expense insurers; acts; not applicable.
An insurer whose purposes according to its articles of incorporation are restricted to transacting legal expense insurance and business reasonably related thereto shall not be a member of the Nebraska Property and Liability Insurance Guaranty Association described in Chapter 44, article 24, or the Nebraska Life and Health Insurance Guaranty Association described in Chapter 44, article 27. The Nebraska Property and Liability Insurance Guaranty Association Act and the Nebraska Life and Health Insurance Guaranty Association Act shall not be applicable to legal expense insurance issued by an insurer whose purposes according to its articles of incorporation are restricted to transacting legal expense insurance and business reasonably related thereto.
Source
Laws 1979, LB 52, § 18.
Cross References
Nebraska Life and Health Insurance Guaranty Association Act, see section 44-2720.
Nebraska Property and Liability Insurance Guaranty Association Act, see section 44-2418.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3319 - Legal service insurance corporation; advancement of funds; repayment.

44-3319.
Legal service insurance corporation; advancement of funds; repayment.
Any person may advance to a corporation organized under sections 44-3312 and 44-3313 on a contingent liability basis such funds as are necessary for the purposes of its business or to enable it to comply with any requirements of sections 44-3301 to 44-3327. Such money and interest thereon as may have been agreed upon shall be repayable and shall be repaid only on prior approval by the director. Repayment shall only be made out of operating surplus after reserve requirements have been met. No assessments against insureds may be levied for the purpose of repayment and no dividends may be paid to members as long as interest or repayment installments remain unpaid.
Source
Laws 1979, LB 52, § 19.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3320 - Legal service insurance corporation; laws applicable.

44-3320.
Legal service insurance corporation; laws applicable.
All corporations organized under sections 44-3312 and 44-3313 shall be governed by such other laws regulating the business of insurance and profit and nonprofit corporations as do not conflict with sections 44-3301 to 44-3327.
Source
Laws 1979, LB 52, § 20.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3321 - Legal service insurance corporation; agency or management contract; director approval required.

44-3321.
Legal service insurance corporation; agency or management contract; director approval required.
A corporation organized under sections 44-3312 and 44-3313 shall not enter into an exclusive agency contract or management contract, unless the contract is first filed with the director and approved within thirty days of filing or such reasonable extended period as the director may specify by notice given within thirty days. The director may disapprove the contracts submitted if he or she finds that the contract contains provisions which impair the interests of the insurer's participants, creditors, or the public in this state.
Source
Laws 1979, LB 52, § 21.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3322 - Legal service insurance corporation; affairs; transactions; examination.

44-3322.
Legal service insurance corporation; affairs; transactions; examination.
The Department of Insurance may appoint any deputy or examiner or other persons who shall have the power of visitation and examination into the affairs of any corporation organized under sections 44-3312 and 44-3313. Such deputy or examiner shall have free access to all the books, papers, and documents that relate to the business of the corporation, and may summon and qualify witnesses under oath to examine its officers, agents, or employees or other persons in relation to the affairs, transactions, and condition of such corporation.
Source
Laws 1979, LB 52, § 22.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3323 - Legal service insurance corporation; supervision, rehabilitation, conservation, dissolution, or liquidation; procedures.

44-3323.
Legal service insurance corporation; supervision, rehabilitation, conservation, dissolution, or liquidation; procedures.
Any supervision, rehabilitation, conservation, dissolution, or liquidation of a corporation organized under sections 44-3312 and 44-3313 shall be conducted pursuant to the Nebraska Insurers Supervision, Rehabilitation, and Liquidation Act.
Source
Laws 1979, LB 52, § 23;
Laws 1989, LB 319, § 76.
Cross References
Nebraska Insurers Supervision, Rehabilitation, and Liquidation Act, see section 44-4862.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3324 - Legal service insurance corporation; annual premium statement; filed.

44-3324.
Legal service insurance corporation; annual premium statement; filed.
Each corporation organized under sections 44-3312 and 44-3313 shall annually on March 1 file with the department its statement for the preceding calendar year, and in the form prescribed by the director, showing all premiums received by it for the issuance of legal expense insurance in this state. Such annual statements may use accounting principles common to its business, but such accounting principles must enable the director to ascertain whether the reserve required by section 44-3317 has been maintained.
Source
Laws 1979, LB 52, § 24.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3325 - Legal service insurance corporation; annual statement; failure to file; penalty.

44-3325.
Legal service insurance corporation; annual statement; failure to file; penalty.
Any corporation organized under sections 44-3312 and 44-3313 neglecting to file the annual statement in the form and within the time provided by section 44-3324 shall forfeit one hundred dollars for each day during which such neglect continues, and, upon notice by the director to that effect, its authority to do business in this state shall cease while such default continues.
Source
Laws 1979, LB 52, § 25.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3326 - Director; require additional reports.

44-3326.
Director; require additional reports.
In addition to an annual statement, the director may require of licensees, under oath and in the form prescribed by him or her, such additional regular or special reports as he or she may deem necessary to the proper supervision of corporations under sections 44-3312 and 44-3313.
Source
Laws 1979, LB 52, § 26.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3327 - Legal service insurance corporation; taxation provisions applicable.

44-3327.
Legal service insurance corporation; taxation provisions applicable.
Any corporation organized under sections 44-3312 and 44-3313 shall also be subject to the taxation provisions of Chapter 77, article 9, to the extent that direct writing premiums are subject to taxation under such article.
Source
Laws 1979, LB 52, § 27.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3402 - Sections, purposes.

44-3402.
Sections, purposes.
The purpose of sections 44-3401 to 44-3408 is to establish minimum standards for readability of language used in policies of life insurance, sickness and accident insurance, credit life insurance, and credit accident and health insurance delivered or issued for delivery in this state. Sections 44-3401 to 44-3408 are not intended to change the risks assumed by insurers subject to the act, nor to change their obligation to comply with the substance of other insurance laws applicable to life, sickness and accident, credit life, or credit accident and health insurance policies. Sections 44-3401 to 44-3408 are not intended to prevent flexibility and innovation in the development of policy forms or content nor to require standard policy forms or content.
Source
Laws 1979, LB 415, § 2.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3403 - Terms, defined.

44-3403.
Terms, defined.
For purposes of the Nebraska Life, Sickness and Accident Insurance Policy Readability Act, unless the context otherwise requires:
(1) Director shall mean the Director of Insurance;
(2) Insurer shall mean any company, corporation, exchange, society, or association whether organized on the stock, mutual, assessment, or fraternal plan of insurance, which is authorized under the laws of this state to provide life insurance, sickness and accident insurance, credit life insurance, or credit accident and health insurance, including, but not limited to, fraternal benefit societies and health maintenance organizations; and
(3) Policy shall mean any contract of life insurance, sickness and accident insurance, credit life insurance, or credit accident and health insurance delivered or issued for delivery in this state by any insurer subject to the act.
Source
Laws 1979, LB 415, § 3;
Laws 1989, LB 92, § 232.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3404 - Policies; applicability of sections.

44-3404.
Policies; applicability of sections.
Sections 44-3401 to 44-3408 shall apply to all policies, except:
(1) Any policy which is a security subject to federal jurisdiction;
(2) Any group policy covering a group of one thousand or more lives at date of issue, other than a group credit life insurance policy or a group credit accident and health insurance policy, but this shall not exempt any individual certificate issued under a group policy delivered or issued for delivery in this state;
(3) Any group annuity contract which funds a pension, profit-sharing, or deferred compensation plan;
(4) Any form used in connection with, as a conversion from, as an addition to, or in exchange under, a contractual provision for a policy delivered or issued for delivery on a form approved or permitted to be issued before the dates such forms must be approved under sections 44-3401 to 44-3408; or
(5) The renewal of a policy delivered or issued for delivery before the dates such forms must be approved under sections 44-3401 to 44-3408.
Source
Laws 1979, LB 415, § 4.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3406 - Flesch reading ease score; lower score authorized; when.

44-3406.
Flesch reading ease score; lower score authorized; when.
The director may authorize a lower score than the Flesch reading ease score required in subsection (1) of section 44-3405 whenever, in his or her sole discretion, he or she finds that a lower score: (1) Will provide a more accurate reflection of the readability of a policy form; (2) is warranted by the nature of a particular policy form or type or class of policy forms; or (3) is caused by certain policy language which is drafted to conform to the requirements of any state law, regulation, or agency interpretation.
Source
Laws 1979, LB 415, § 6.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3407 - Policy; approval.

44-3407.
Policy; approval.
A policy meeting the requirements of section 44-3405 shall be approved, notwithstanding the provision of any other laws which specify the content of policies, if the policy provides protection not less favorable than that required by such laws.
Source
Laws 1979, LB 415, § 7.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3408 - Sections; when applicable.

44-3408.
Sections; when applicable.
Sections 44-3401 to 44-3408 applies to all policies filed on or after June 30, 1981. No policy shall be delivered or issued for delivery in this state on or after June 30, 1984, unless approved by the director or permitted to be issued under sections 44-3401 to 44-3408. Any policy which has been approved or permitted to be issued before June 30, 1984, and which meets the standards set by sections 44-3401 to 44-3408, need not be refiled for approval, but may continue to be lawfully delivered or issued for delivery in this state upon the filing with the director of a list of such policies identified by policy number and accompanied by a certificate as to each such policy in the manner provided in section 44-3405.
Source
Laws 1979, LB 415, § 8.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3520 - Act, how cited.

44-3520.
Act, how cited.
Sections 44-3520 to 44-3527 shall be known and may be cited as the Motor Vehicle Service Contract Reimbursement Insurance Act.
Source
Laws 1990, LB 1136, § 92;
Laws 2020, LB774, § 5.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3522 - Motor vehicle service contract; requirements.

44-3522.
Motor vehicle service contract; requirements.
No motor vehicle service contract shall be issued, sold, or offered for sale in this state unless:
(1) The motor vehicle service contract provider is insured under a motor vehicle service contract reimbursement insurance policy issued by an insurer authorized to do business in this state;
(2) True and correct copies of the motor vehicle service contract and the motor vehicle service contract reimbursement insurance policy have been filed with the director; and
(3) The contract conspicuously states:
(a) That the obligations of the motor vehicle service contract provider to the service contract holder are covered under the motor vehicle service contract reimbursement insurance policy; and
(b) The name and address of the issuer of the motor vehicle service contract reimbursement insurance policy.
Source
Laws 1990, LB 1136, § 94;
Laws 2006, LB 875, § 5;
Laws 2007, LB188, § 1.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3523 - Motor vehicle service contract reimbursement insurance policy; requirements; failure to timely provide covered service; effect.

44-3523.
Motor vehicle service contract reimbursement insurance policy; requirements; failure to timely provide covered service; effect.
(1) No motor vehicle service contract reimbursement insurance policy shall be issued, sold, or offered for sale in this state unless the policy conspicuously states that the insurer will either reimburse or pay on behalf of the motor vehicle service contract provider any covered sums the motor vehicle service contract provider is legally obligated to pay or, in the event of the provider's nonperformance, will provide the service that the provider is legally obligated to perform according to the provider's contractual obligations under the motor vehicle service contracts issued or sold by the provider in this state.
(2) In the event covered service is not provided by the motor vehicle service contract provider within sixty days of proof of loss by the service contract holder, the service contract holder is entitled to apply directly to the insurer providing the motor vehicle service contract reimbursement insurance policy.
(3) The motor vehicle service contract reimbursement insurance policy shall completely and fully reimburse or pay on behalf of the motor vehicle service contract provider all repair costs incurred under the motor vehicle service contract. All unearned premium reserves and claim reserve funds shall be established as liabilities on the books of the insurer in accordance with statutory accounting practices. This subsection shall not apply to programs directly obligating an automobile dealer to perform under the motor vehicle service contract.
Source
Laws 1990, LB 1136, § 95;
Laws 2006, LB 875, § 6;
Laws 2020, LB774, § 7.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3524 - Cease and desist order; notice; hearing; injunction.

44-3524.
Cease and desist order; notice; hearing; injunction.
(1) The director may issue an order instructing a motor vehicle service contract provider to cease and desist from selling or offering for sale motor vehicle service contracts if the director determines that the provider has failed to comply with the Motor Vehicle Service Contract Reimbursement Insurance Act. At the same time the order is issued, the director shall serve notice to the motor vehicle service provider of the reasons for such order and that the motor vehicle service provider may request a hearing in writing within ten business days after receipt of the order. If a hearing is requested, the director shall schedule a hearing within ten business days after receipt of the request. The hearing shall be conducted in accordance with the Administrative Procedure Act. If a hearing is not requested and none is ordered by the director, the order shall remain in effect until modified or vacated by the director.
(2) Upon the failure of a motor vehicle service contract provider to obey a cease and desist order issued by the director, the director may give notice in writing of the failure to the Attorney General who may commence an action against the provider to enjoin the provider from selling or offering for sale motor vehicle service contracts until the provider complies with the act. The district court may issue the injunction.
Source
Laws 1990, LB 1136, § 96;
Laws 2014, LB700, § 15.
Cross References
Administrative Procedure Act, see section 84-920.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3525 - Rules and regulations.

44-3525.
Rules and regulations.
The director may adopt and promulgate rules and regulations to carry out the Motor Vehicle Service Contract Reimbursement Insurance Act and to establish minimum standards for disclosure of the coverage limitations and exclusions of motor vehicle service contracts.
Source
Laws 1990, LB 1136, § 97.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3526 - Act; exemptions.

44-3526.
Act; exemptions.
The Motor Vehicle Service Contract Reimbursement Insurance Act shall not apply to:
(1) Motor vehicle service contracts (a)(i) issued by a motor vehicle manufacturer or importer for the motor vehicles manufactured or imported by that manufacturer or importer and (ii) sold by a franchised motor vehicle dealer licensed pursuant to the Motor Vehicle Industry Regulation Act or (b) issued and sold directly by a motor vehicle manufacturer or importer licensed pursuant to the Motor Vehicle Industry Regulation Act for the motor vehicles manufactured or imported by that manufacturer or importer; or
(2) Product warranties governed by the Magnuson-Moss Warranty - Federal Trade Commission Improvement Act, 15 U.S.C. 2301 et seq., or to any other warranties, indemnity agreement, or guarantees that are not provided incidental to the purchase of a vehicle protection product.
Source
Laws 1990, LB 1136, § 98;
Laws 2010, LB816, § 3;
Laws 2012, LB1054, § 2.
Cross References
Motor Vehicle Industry Regulation Act, see section 60-1401.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3601 - Act, how cited.

44-3601.
Act, how cited.
Sections 44-3601 to 44-3610 shall be known and may be cited as the Medicare Supplement Insurance Minimum Standards Act.
Source
Laws 1980, LB 877, § 1;
Laws 1981, LB 329, § 1;
Laws 1988, LB 998, § 2;
Laws 1992, LB 1006, § 19.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3602 - Terms, defined.

44-3602.
Terms, defined.
For purposes of the Medicare Supplement Insurance Minimum Standards Act:
(1) Applicant shall mean:
(a) In the case of an individual medicare supplement policy, the person who seeks to contract for insurance benefits; and
(b) In the case of a group medicare supplement policy, the proposed certificate holder;
(2) Certificate shall mean any certificate delivered or issued for delivery in this state under a group medicare supplement policy;
(3) Certificate form shall mean the form on which the certificate is delivered or issued for delivery by the issuer;
(4) Director shall mean the Director of Insurance;
(5) Issuer shall include insurance companies, fraternal benefit societies, health care service plans, health maintenance organizations, and any other entities delivering or issuing for delivery in this state medicare supplement policies or certificates;
(6) Medicare shall mean the Health Insurance for the Aged Act, Title XVIII of the Social Security Amendments of 1965, as then constituted or later amended;
(7) Medicare supplement policy shall mean a group or individual policy of sickness and accident insurance or a subscriber contract of health maintenance organizations, other than a policy issued pursuant to a contract under section 1876 of the federal Social Security Act, 42 U.S.C. 1395 et seq., or an issued policy under a demonstration project specified in 42 U.S.C. 1395ss(g)(1), which is advertised, marketed, or designed primarily as a supplement to reimbursements under medicare for the hospital, medical, or surgical expenses of persons eligible for medicare; and
(8) Policy form shall mean the form on which the policy is delivered or issued for delivery by the issuer.
Source
Laws 1980, LB 877, § 2;
Laws 1981, LB 329, § 2;
Laws 1985, LB 209, § 2;
Laws 1985, LB 253, § 2;
Laws 1988, LB 998, § 3;
Laws 1989, LB 92, § 235;
Laws 1990, LB 983, § 1;
Laws 1992, LB 1006, § 20;
Laws 1996, LB 969, § 3.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3603 - Act; applicability.

44-3603.
Act; applicability.
(1) The Medicare Supplement Insurance Minimum Standards Act shall apply to:
(a) All medicare supplement policies delivered or issued for delivery in this state on or after April 16, 1992; and
(b) All certificates issued under group medicare supplement policies, which certificates have been delivered or issued for delivery in this state.
(2) The act shall not apply to a policy of one or more employers or labor organizations or of the trustees of a fund established by one or more employers or labor organizations, or a combination thereof, for employees or former employees, or a combination thereof, or for members or former members, or a combination thereof, of the labor organizations.
(3) Except as otherwise specifically provided in subsection (4) of section 44-3607, the act shall not be intended to prohibit or apply to insurance policies or health care benefit plans, including group conversion policies, provided to medicare eligible persons, which policies or plans are not marketed or held to be medicare supplement policies or benefit plans.
Source
Laws 1980, LB 877, § 3;
Laws 1981, LB 329, § 3;
Laws 1986, LB 305, § 1;
Laws 1988, LB 998, § 4;
Laws 1990, LB 983, § 2;
Laws 1992, LB 1006, § 21;
Laws 1996, LB 969, § 4.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3606 - Benefits to policyholders; loss-ratio standards.

44-3606.
Benefits to policyholders; loss-ratio standards.
Medicare supplement policies shall return to policyholders benefits which are reasonable in relation to the premium charged. The director shall adopt and promulgate reasonable rules and regulations to establish minimum standards for loss ratios of medicare supplement policies on the basis of incurred claims experience, or incurred health care expenses when coverage is provided by a health maintenance organization on a service basis rather than a reimbursement basis, and earned premiums in accordance with accepted actuarial principles and practices.
Source
Laws 1980, LB 877, § 6;
Laws 1981, LB 329, § 6;
Laws 1988, LB 998, § 7;
Laws 1990, LB 983, § 5;
Laws 1992, LB 1006, § 23.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3607 - Outline of coverage; informational brochure; disclosure requirements.

44-3607.
Outline of coverage; informational brochure; disclosure requirements.
(1) In order to provide for full and fair disclosure in the sale of medicare supplement policies, no medicare supplement policy or certificate shall be delivered in this state unless an outline of coverage is delivered to the applicant at the time the application is made.
(2) The director shall prescribe the format and content of the outline of coverage required by subsection (1) of this section. As used in this section, format shall mean style, arrangement, and overall appearance, including, but not limited to, the size, color, and prominence of type and arrangement of text and captions. Such outline of coverage shall include:
(a) A description of the principal benefits and coverage provided in the policy;
(b) A statement of the renewal provisions, including any reservation by the issuer of a right to change premiums and disclosure of the existence of any automatic renewal premium increases based on the policyholder's age; and
(c) A statement that the outline of coverage is a summary of the policy issued or applied for and that the policy should be consulted to determine governing contractual provisions.
(3) The director may prescribe by rule and regulation a standard form and the contents of an informational brochure for persons eligible for medicare which is intended to improve the buyer's ability to select the most appropriate coverage and improve the buyer's understanding of medicare. Except in the case of direct-response insurance policies, the director may require by rule and regulation that the informational brochure be provided to any prospective insureds eligible for medicare concurrently with delivery of the outline of coverage. With respect to direct-response insurance policies, the director may require by rule and regulation that the prescribed brochure be provided upon request to any prospective insureds eligible for medicare but in no event later than the time of policy delivery.
(4) The director may adopt and promulgate rules and regulations for captions or notice requirements determined to be in the public interest and designed to inform prospective insureds that particular insurance coverages are not medicare supplement coverages for all sickness and accident insurance policies sold to persons eligible for medicare other than:
(a) Medicare supplement policies; or
(b) Disability income policies.
(5) The director may further adopt and promulgate rules and regulations to govern the full and fair disclosure of the information in connection with the replacement of sickness and accident policies, subscriber contracts, or certificates by persons eligible for medicare.
Source
Laws 1980, LB 877, § 7;
Laws 1981, LB 329, § 7;
Laws 1988, LB 998, § 8;
Laws 1992, LB 1006, § 24;
Laws 1996, LB 969, § 6.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3608 - Return of policy or certificate; notice; refund.

44-3608.
Return of policy or certificate; notice; refund.
Notwithstanding any other provision of law, medicare supplement policies and certificates shall have a notice prominently printed on the first page of the policy or certificate or attached thereto stating in substance that the applicant shall have the right to return the policy or certificate within thirty days of its delivery and to have the premium refunded if, after examination of the policy or certificate, the applicant is not satisfied for any reason. Any refund made pursuant to this section shall be paid directly to the applicant by the issuer in a timely manner.
Source
Laws 1980, LB 877, § 8;
Laws 1988, LB 998, § 9;
Laws 1992, LB 1006, § 25.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3608.01 - Advertisement; director; powers.

44-3608.01.
Advertisement; director; powers.
Every issuer of medicare supplement policies and certificates in this state shall provide a copy of any medicare supplement advertisement intended for use in this state whether through written, radio, or television medium to the director for review or approval by him or her to the extent review or approval may be required under state law.
Source
Laws 1989, LB 92, § 236;
Laws 1992, LB 1006, § 26.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3609 - Rules and regulations.

44-3609.
Rules and regulations.
The director may adopt and promulgate rules and regulations to carry out the Medicare Supplement Insurance Minimum Standards Act.
Source
Laws 1980, LB 877, § 9;
Laws 1981, LB 329, § 8;
Laws 1988, LB 998, § 10;
Laws 1992, LB 1006, § 27.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3610 - Act; violation; provisions applicable.

44-3610.
Act; violation; provisions applicable.
A violation of any provision of the Medicare Supplement Insurance Minimum Standards Act or any rule and regulation adopted and promulgated pursuant to such act shall be an unfair trade practice in the business of insurance subject to the Unfair Insurance Trade Practices Act.
In addition to any other applicable penalties for violations of Chapter 44, the director may require an issuer violating any provision of the Medicare Supplement Insurance Minimum Standards Act or any rule or regulation issued under the act to cease marketing any medicare supplement policy or certificate in this state which is related directly or indirectly to a violation or may require such issuer to take such actions as are necessary to comply with the act, or both.
Source
Laws 1980, LB 877, § 10;
Laws 1988, LB 998, § 11;
Laws 1991, LB 234, § 33;
Laws 1992, LB 1006, § 28.
Cross References
Unfair Insurance Trade Practices Act, see section 44-1521.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3702 - Definitions, sections found.

44-3702.
Definitions, sections found.
For the purposes of sections 44-3701 to 44-3721, unless the context otherwise requires, the definitions found in sections 44-3703 to 44-3708 shall apply.
Source
Laws 1981, LB 113, § 2.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3704 - Club representative, defined.

44-3704.
Club representative, defined.
Club representative shall mean any person in this state designated by the club who acts or aids in any manner in the solicitation, negotiation, or renewal of motor club service contracts, except it shall not mean any person performing only work of a clerical nature in the office of a club or providing an application to a potential club member.
Source
Laws 1981, LB 113, § 4.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3706 - Insurance service, defined.

44-3706.
Insurance service, defined.
Insurance service shall mean any act by a club to sell or furnish to a member group insurance benefits covering accidental injury and death or any motor club service, except that such insurance shall be issued only by an insurance company duly authorized to do such business in this state. A club representative shall not be required to be a licensed insurance agent pursuant to Chapter 44 in connection with the sale of group insurance benefits covering accidental injury and death or other insurance covering a motor club service specifically enumerated in section 44-3707, which may be issued in conjunction with and as a part of a motor club service contract.
Source
Laws 1981, LB 113, § 6.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3707 - Motor club service, defined.

44-3707.
Motor club service, defined.
Motor club service shall mean the rendering, furnishing, or procuring of, or reimbursement for any of the services enumerated in this section, which shall include but not be limited to:
(1) Towing service;
(2) Bail and arrest bond service;
(3) Emergency road service;
(4) Claim adjustment service;
(5) Legal service;
(6) Theft service;
(7) Map service;
(8) Emergency travel expense service;
(9) Community traffic safety service;
(10) Merchandise and discount service;
(11) Travel, touring, and travel information service;
(12) Guaranteed hotel or motel rate service;
(13) New car pricing service;
(14) Financial service;
(15) Check cashing service;
(16) Personal property registration service;
(17) Buying and selling service;
(18) License service;
(19) Credit card service; and
(20) Insurance service.
Nothing contained in this section shall prohibit a club from offering services which augment or are incidental to any service offered by the club or any other services which are of assistance and are beneficial to members and are feasible for the club to render.
Source
Laws 1981, LB 113, § 7.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3709 - Motor club; deposit securities or surety bond.

44-3709.
Motor club; deposit securities or surety bond.
A club shall not render or agree to render a motor club service without first depositing and thereafter continuously maintaining the amount of fifty thousand dollars in cash or securities approved by the director or, in lieu of such cash or securities, a performance bond in the amount of fifty thousand dollars executed by a surety company authorized by the laws of this state to transact business within this state. The bond shall be executed to the State of Nebraska and shall be for the use of the state and for any members who may have a cause of action against the club.
Source
Laws 1981, LB 113, § 9.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3710 - Motor club; security; purpose.

44-3710.
Motor club; security; purpose.
The security required in section 44-3709 shall be used for the following:
(1) Protection, use, and benefit of all persons whose applications for membership in a motor club have been accepted by such club or its representative; and
(2) Covering of the following obligations, which are hereby required to be met:
(a) The faithful furnishing and rendering to members by the club of any and all of the motor club services furnished, sold, or offered for sale by it;
(b) The complying with and abiding by all the provisions of sections 44-3701 to 44-3721 by the club, and all the rules and regulations of the director, adopted and promulgated in accordance with sections 44-3701 to 44-3721; and
(c) The paying of all fines and penalties by the club that may become due to the state from the club under and by virtue of the provisions of sections 44-3701 to 44-3721.
Source
Laws 1981, LB 113, § 10.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3711 - Club member; action on security; aggregate liability.

44-3711.
Club member; action on security; aggregate liability.
If any member shall be defrauded or aggrieved by any misconduct, wrongful act, misrepresentation, or failure of the club to render its services or fulfill its contractual obligations, such member may bring suit on the security provided in section 44-3710 in his or her own name, but the aggregate liability of the surety for all such suits shall, in no event, exceed the amount of such bond required in section 44-3709.
Source
Laws 1981, LB 113, § 11.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3712 - Motor club; certificate of authority required; issuance; requirements; fee.

44-3712.
Motor club; certificate of authority required; issuance; requirements; fee.
(1) No club shall offer, issue, or renew a motor club service contract in this state without first obtaining from the director a certificate of authority to act. A certificate of authority shall be issued by the director to the club upon submission of the items in subdivisions (a) to (f) of this subsection in a form satisfactory to the director. The applicant shall submit:
(a) A formal application for the certificate in such form and detail as the director requires, executed under oath by its president and secretary or two other principal officers of the club or such other persons as the director may require;
(b) A certified copy of its charter or articles of incorporation and its bylaws, if any;
(c) If a corporation, a certified copy of the certificate of authority or good standing certificate from the Secretary of State;
(d) A copy of the club's most recent financial statement prepared in accordance with generally accepted accounting principles and certified by two principal officers of the applicant or, in the event the applicant is not a corporation, such other persons as the director may require;
(e) An explanation of its plan of doing business and copies of the following:
(i) Its application for membership;
(ii) The proposed membership certificate or identification card and any proposed addendum to such certificate or card;
(iii) Any individual insurance policy or group certificate to be offered; and
(iv) Any motor club service contract to be issued; and
(f) Any other relevant information requested by the director.
(2) No certificate of authority shall be issued by the director until the club has paid an initial certificate of authority fee of one hundred dollars.
Source
Laws 1981, LB 113, § 12.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3713 - Certificate of authority; expiration date; renewal requirements; fee.

44-3713.
Certificate of authority; expiration date; renewal requirements; fee.
Certificates of authority issued pursuant to sections 44-3701 to 44-3721 shall expire annually on April 30, unless sooner revoked or suspended. No certificate of authority shall be renewed by the director until the club has:
(1) Paid an annual certificate of authority fee of one hundred dollars; and
(2) Filed a copy of its most recent financial statement prepared in accordance with generally accepted accounting principles and certified by two principal officers of the club or, in the event the applicant is not a corporation, such other persons as the director may require.
Source
Laws 1981, LB 113, § 13.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3714 - Motor club; director; issue cease and desist order; revoke or suspend certificate; grounds; hearing.

44-3714.
Motor club; director; issue cease and desist order; revoke or suspend certificate; grounds; hearing.
The director may order the club to cease and desist or may revoke, suspend, or refuse to continue the certificate of authority of a club whenever, after a hearing and for cause shown, he or she determines that any of the following circumstances exist:
(1) The club has violated or failed to comply with any provision of the Motor Club Services Act or any rule or regulation adopted and promulgated under such act;
(2) The club has obtained a certificate of authority through willful misrepresentation or fraud;
(3) The club has engaged in fraudulent or dishonest practices;
(4) The club has willfully, orally or in writing, misrepresented the terms, benefits, privileges, and provisions of any motor club service contract issued or to be issued by it or any other club;
(5) The club is unable to meet its obligations as determined by generally accepted accounting principles; or
(6) The club has refused without just cause to submit relevant information to the director with respect to the motor club services within this state after it has received notice of an alleged occurrence of any of the actions in subdivisions (1) through (5) of this section.
Source
Laws 1981, LB 113, § 14;
Laws 1989, LB 92, § 238.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3715 - Motor club service contract; required contents.

44-3715.
Motor club service contract; required contents.
No motor club service contract shall be issued or delivered in this state unless it contains all of the following:
(1) The exact corporate or other name of the club;
(2) The exact location of its home office or any business office to which inquiries may be made;
(3) The motor club services contracted for;
(4) The territory wherein motor club services contracted for are to be rendered; and
(5) The duration of such motor club service contract.
Source
Laws 1981, LB 113, § 15.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3716 - Motor club representative; registration; qualifications; examination; termination of representative's authority; fees.

44-3716.
Motor club representative; registration; qualifications; examination; termination of representative's authority; fees.
(1) No individual shall act as a club representative in Nebraska without the club having registered such individual with the director within thirty days after the date of designation as a club representative. Application for registration as a club representative shall be made to the director upon forms prescribed and furnished by him or her. The director may require a club representative to take a written examination, for a fee, on the services customarily offered by motor clubs. A club representative licensed as an insurance agent for sickness, accident, and health insurance pursuant to Chapter 44 shall not be required to be examined.
(2) The club representative shall furnish information concerning his or her identity, business address, personal history, business experience, and such other information that the director deems pertinent and germane. A club representative shall (a) be at least eighteen years of age, (b) be a trustworthy person of good repute, and (c) have received training from the club or have otherwise qualified by experience in the business of clubs rendering motor club services.
(3) Any willful misrepresentation of any information required to be disclosed in any application for registration shall be subject to the sanctions provided for in sections 44-3701 to 44-3721.
(4) Upon termination of any club representative's authority to act on behalf of the club, the club shall notify the director in writing within thirty days of such termination.
(5) The fee to be paid to the director at the time registration is made annually on a day specified by the director for the renewal of such registration shall be five dollars.
Source
Laws 1981, LB 113, § 16.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-3717 - Motor club representative; director; issue cease and desist order; revoke or suspend authority; hearing.

44-3717.
Motor club representative; director; issue cease and desist order; revoke or suspend authority; hearing.
Upon satisfactory evidence that a club representative has violated or failed to comply with any provision of the Motor Club Services Act or any rule or regulation adopted and promulgated under such act, the director may issue an order requiring the club representative to cease and desist from engaging in such violation. After a hearing and for good cause shown, the director may revoke or suspend the club representative's authority.
Source
Laws 1981, LB 113, § 17;
Laws 1989, LB 92, § 239.