reglab/statecodes huggingface dataset:
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1606.03 - Group life insurance; policy; requirements.

44-1606.03.
Group life insurance; policy; requirements.
(1) Group life insurance offered to a resident of this state under a group life insurance policy issued to a group other than one described in sections 21-1740, 44-1602 to 44-1606.02, and 44-1615 shall be subject to the following requirements:
(a) A group life insurance policy shall not be delivered in this state unless the Director of Insurance finds that:
(i) The issuance of the group policy is not contrary to the best interests of the public;
(ii) The issuance of the group policy would result in economies of acquisition or administration; and
(iii) The benefits are reasonable in relation to the premiums charged;
(b) A group life insurance policy shall not be offered in this state by an insurer under a policy issued in another state unless this state or another state having requirements substantially similar to those contained in subdivision (1)(a) of this section has made a determination that the requirements have been met;
(c) The premium for the policy shall be paid either from the policyholder's funds or from funds contributed by the covered persons, or from both; and
(d) An insurer may exclude or limit the coverage on any person as to whom evidence of individual insurability is not satisfactory to the insurer.
(2)(a) In the case of a program of insurance which, if issued on a group basis, would not qualify under sections 21-1740, 44-1602 to 44-1606.02, and 44-1615, the insurer shall cause to be distributed to prospective insureds a written notice that compensation shall or may be paid, if compensation of any kind shall or may be paid, to:
(i) A policyholder or sponsoring or endorsing entity in the case of a group policy; or
(ii) A sponsoring or endorsing entity in the case of an individual, blanket, or franchise policy marketed by means of direct response solicitation.
(b) The notice shall be distributed:
(i) Whether compensation is direct or indirect; and
(ii) Whether the compensation is paid to or retained by the policyholder or sponsoring or endorsing entity, or paid to or retained by a third party at the direction of the policyholder or sponsoring or endorsing entity, or an entity affiliated therewith by way of ownership, contract, or employment.
(c) The notice required by this section shall be placed on or accompany an application or enrollment form provided to prospective insureds.
(d) For purposes of this section:
(i) Direct response solicitation means a solicitation by a sponsoring or endorsing entity through the mail, telephone, or other mass communications media; and
(ii) Sponsoring or endorsing entity means an organization that has arranged for the offering of a program of insurance in a manner that communicates that eligibility for participation in the program is dependent upon affiliation with the organization or that it encourages participation in the program.
Source
Laws 2008, LB855, § 15.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1607.01 - Life insurance; individual policies; issuance; restrictions.

44-1607.01.
Life insurance; individual policies; issuance; restrictions.
Individual life insurance policies, uniform as to amounts of insurance for each reasonable class eligible therefor, may be issued on a franchise or wholesale basis to five or more employees of a common employer or ten or more members of any trade or professional association, of a labor union or similar employee organization, or of any other association having had an active existence for at least two years when such association or union or organization has a constitution or bylaws and is formed in good faith for purposes other than that of obtaining insurance. Nothing in this section shall be construed to prohibit the issuance of individual life insurance policies on salary savings, bank draft, or similar type plans.
Source
Laws 1955, c. 181, § 1, p. 510;
Laws 1989, LB 92, § 178;
Laws 2008, LB855, § 17.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1607.02 - Life insurance; employees, defined.

44-1607.02.
Life insurance; employees, defined.
The term employees, as used in section 44-1607.01, may include the individual proprietors, partners, or members, if the employer is an individual proprietor, partnership, or limited liability company, and the directors of a corporate employer, if each individual proprietor, partner, member, or director devotes a substantial part of his or her time to the business of the proprietorship, partnership, limited liability company, or corporate employer.
Source
Laws 1955, c. 181, § 2, p. 511;
Laws 1993, LB 121, § 236.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1608 - Public employees; premiums; withholding from wages; written order.

44-1608.
Public employees; premiums; withholding from wages; written order.
Any employee of the State of Nebraska, of any political subdivision thereof, of any municipal corporation, or of any public body or agency created by the laws of this state, who desires to participate, voluntarily, in a plan of insurance, designed and intended for the benefit of a specific group of public employees, participation in which is restricted to the employees of a specific agency, public body, municipal corporation, political subdivision of the state, or any department of the state, may execute an order, authorizing the withholding from any wages or salary paid to such employee of a sum each month which is equivalent in amount to the sum fixed by an insurance carrier as the monthly premium to be paid by the employee for participation in such group, franchise, or wholesale plan of insurance, or a sum, each month, which is equivalent in amount to the sum fixed by an employees association which association may be the policyholder and premium payer of such group, franchise, or wholesale plan of insurance.
Source
Laws 1949, c. 132, § 1, p. 346.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1609 - Public employees; revocation of order to withhold wages.

44-1609.
Public employees; revocation of order to withhold wages.
The order or any revocation thereof, shall be executed and acknowledged, in the same manner that conveyances of real estate are required to be signed and acknowledged by the laws of this state, and where the employee is a married person, the order shall be executed and acknowledged by both husband and wife.
Source
Laws 1949, c. 132, § 2, p. 347.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1610 - Public employees; order or revocation; filing; effective date.

44-1610.
Public employees; order or revocation; filing; effective date.
The order and any revocation thereof, shall be filed with the officer or body whose duty it is to approve and allow claims or vouchers for salaries or wages or the payroll for the agency, public body, municipal corporation, political subdivision, or department of the state and shall be effective on the first day of the month subsequent to such filing. The order shall be in full force and effect from and after its effective date for the balance of the period of employment of the employee unless revoked by the employee.
Source
Laws 1949, c. 132, § 3, p. 347.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1611 - Public employees; wages withheld; payment to insurance company; warrants.

44-1611.
Public employees; wages withheld; payment to insurance company; warrants.
The sum so withheld from an employee's salary or wages, together with the sums so withheld from the wages or salaries of all other employees participating voluntarily in such group, franchise, or wholesale plan of insurance for a specific group of employees, shall be paid to the insurance company or employees association, designated in the orders, in a lump sum each month; and the appropriate public officer who issues the warrants in payment of the wages or salary of public employees participating voluntarily in such group, franchise, or wholesale plan of insurance is authorized to issue warrants to the appropriate insurance carrier or carriers or employees association, each month, for the composite amounts of the sums so withheld, upon the filing with, and allowance by, the officer or body whose duty it is to approve and allow claims or vouchers for money due and owing from the state, any political subdivision, municipal corporation, public body or agency.
Source
Laws 1949, c. 132, § 4, p. 347.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1613 - Life insurance; individual policy; time within which to exercise rights; notice.

44-1613.
Life insurance; individual policy; time within which to exercise rights; notice.
If any individual insured under a group life insurance policy hereafter delivered in this state becomes entitled under the terms of such policy to have an individual policy of life insurance issued without evidence of insurability, subject to making of application and payment of the first premium within the period specified in such policy, and if such individual is not given notice of the existence of such right at least fifteen days prior to the expiration date of such period, then in such event the individual shall have an additional period within which to exercise such right, but nothing herein contained shall be construed to continue any insurance beyond the period provided in such policy. This additional period shall expire fifteen days after the individual is given such notice but in no event shall such additional period extend beyond sixty days after the expiration date of the period provided in such policy. Written notice presented to the individual or mailed by the policyholder to the last-known address of the individual or mailed by the insurer to the last-known address of the individual as furnished by the policyholder shall constitute notice for the purpose of this section.
Source
Laws 1957, c. 192, § 8, p. 681;
Laws 2008, LB855, § 18.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1614 - Life insurance; extension to spouse and children of employee or member; limitation.

44-1614.
Life insurance; extension to spouse and children of employee or member; limitation.
Insurance under any group life insurance policy issued pursuant to section 44-1602, 44-1604, 44-1605, 44-1606, 44-1606.01, 44-1606.02, or 44-1606.03 may be extended to insure the employees or members against loss due to the death of their spouses and dependent children, or any class or classes thereof. Premiums for the insurance shall be paid either from funds contributed by the employer, the labor union or similar employee organization, or other person to whom the policy has been issued or from funds contributed by the covered persons, or from both. A policy on which no part of the premium for the spouse's and dependent child's coverage is to be derived from funds contributed by the covered persons shall insure all eligible employees or members with respect to their spouses and dependent children, or any class or classes of employees or members or all except any as to whom evidence of individual insurability is not satisfactory to the insurer. The amount of insurance for any covered spouse or dependent child under the policy may not exceed fifty percent of the amount of insurance for which the employee or member is insured.
Source
Laws 1957, c. 192, § 9, p. 681;
Laws 1961, c. 224, § 1, p. 666;
Laws 1972, LB 1189, § 2;
Laws 1989, LB 92, § 179;
Laws 2008, LB855, § 19.
Annotations
Where policy issued was not life policy but accident policy, insurer could deny certain coverage to wife of member. Simmons v. Continental Cas. Co., 410 F.2d 881 (8th Cir. 1969).
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1615 - Public employees; coverage authorized.

44-1615.
Public employees; coverage authorized.
Any political subdivision, community college, municipal corporation, or public body of the State of Nebraska, except a state agency defined in section 81-8,239.01, may establish, participate in, and administer plans for the benefit of its employees or its employees and their dependents, which will provide hospitalization, medical, surgical, sickness and accident, and term life insurance coverage or any one or more of such coverages. The plans shall be purchased from an insurer holding a certificate of authority to transact the business of insurance in this state except as provided in the Political Subdivisions Self-Funding Benefits Act.
Source
Laws 1959, c. 213, § 1, p. 735;
Laws 1963, c. 269, § 1, p. 804;
Laws 1971, LB 177, § 1;
Laws 1976, LB 37, § 1;
Laws 1981, LB 273, § 5;
Laws 1991, LB 167, § 27.
Cross References
Political Subdivisions Self-Funding Benefits Act, see section 13-1601.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1615.01 - Public employees; abortion coverage; limitations.

44-1615.01.
Public employees; abortion coverage; limitations.
No group insurance contract or health maintenance agreement providing hospitalization, medical, surgical, accident, sickness, or other health coverage paid for in whole or in part with public funds shall include coverage for abortion, as defined in section 28-326. This section shall not apply to coverage for an abortion which is verified in writing by the attending physician as necessary to prevent the death of the woman or to coverage for medical complications arising from an abortion. This section shall not prohibit the insurer from offering individual employees special coverage for abortion if the costs for such coverage are borne solely by the employee.
Source
Laws 1981, LB 125, § 1.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1616 - Public employees; premiums or dues; payment; withhold from wages.

44-1616.
Public employees; premiums or dues; payment; withhold from wages.
Such political subdivision, municipal corporation, or public body, as set forth in section 44-1615, except a state agency defined in section 81-8,239.01, may approve and expend funds to pay premiums or dues to cover the cost of such plans in whole or in part, and may authorize deductions from salaries or wages of such employees and take such other steps as may be necessary to effectuate and continue such plans.
Source
Laws 1959, c. 213, § 2, p. 735;
Laws 1981, LB 273, § 6.
Cross References
For other provisions permitting payroll deductions for payment of insurance premiums, see section 36-213.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1617 - Public employees; contributions; voluntary; commission to officer or employee prohibited.

44-1617.
Public employees; contributions; voluntary; commission to officer or employee prohibited.
Participation by employees in any plans requiring contributions from such employees shall be voluntary and no portion of any commission or other compensation paid by the corporation writing such coverage shall be received, directly or indirectly, by any officer or other person in the employment of the political subdivision, municipal corporation, public body, or agency, even though such person may be licensed by the Department of Insurance.
Source
Laws 1959, c. 213, § 3, p. 735.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1619 - Insured; assignment of rights, privileges, and incidents of ownership.

44-1619.
Insured; assignment of rights, privileges, and incidents of ownership.
No provisions in sections 44-1601 to 44-1617 shall prohibit a person whose life is insured under any such policy of group life insurance from making an assignment or transfer of all or any part of his rights, privileges, and incidents of ownership under such policy, including specifically, but not by way of limitation, any right to designate a beneficiary thereunder and any right to have an individual policy issued in accordance with subdivisions (8) and (9) of section 44-1607, to any person other than the group policyholder. Subject to the terms of the policy relating to assignment of rights, privileges, and incidents of ownership thereunder, such an assignment by an insured, made either before or after December 25, 1969, is valid for the purpose of vesting in the assignee, in accordance with any provision included therein as to the time at which it is to be effective, all of such rights, privileges, and incidents of ownership so assigned, but without prejudice to the insurer on account of any payment it may make or individual policy it may issue in accordance with subdivisions (8) and (9) of section 44-1607 prior to receipt of notice of the assignment.
Source
Laws 1969, c. 353, § 1, p. 1233.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1640 - Employee; involuntary termination of employment; coverage continued; conditions; premium rate.

44-1640.
Employee; involuntary termination of employment; coverage continued; conditions; premium rate.
An employer or employer trust group policy or contract delivered or issued for delivery in this state which provides coverage to a group which, based on the number of employees, is not a group subject to section 4980B of the Internal Revenue Code and which provides hospital, surgical, or major medical coverage, or any combination of such coverages, on an expense-incurred or service basis by an insurance company or health maintenance organization for employees or their families, but not a policy or contract which provides benefits for specific diseases or for accidental injuries only, shall provide that an employee whose hospital, surgical, or major medical coverage under the group policy or contract would otherwise be terminated because of the involuntary termination of employment of such employee, for reasons other than misconduct in connection with employment, shall be entitled to continue such coverage subject to the provisions of the group policy or contract and the following conditions:
(1) Such coverage shall be continued on a monthly renewal basis until the earliest of the following dates:
(a) The date of expiration of a period of six months following the date the coverage of the terminated employee would otherwise be terminated;
(b) The date the terminated employee becomes eligible for other group hospital, surgical, or medical coverage, whether insured or self-insured, or the date the terminated employee becomes eligible for medicare;
(c) The date of expiration of the monthly period for which premiums were paid in the event of a nonpayment of premium;
(d) The date the terminated employee exercises the privilege provided under the group policy or contract for conversion to an individual or family policy or contract; or
(e) The date on which the group insurance policy or health maintenance organization agreement is terminated or the date the employer or employer trust trustee terminates participation under such policy or agreement;
(2) The monthly premium rate to be charged for such coverage shall not exceed one hundred two percent of the total premium which would have been charged for such coverage had the terminated employee still been a member of the insured group. Such total premium rate shall be paid by the terminated employee. The experience of such coverage shall be charged to the group policy or contract which is in force; and
(3) The interruption of employment due to a labor dispute shall not be considered to be an involuntary termination of employment.
Source
Laws 1989, LB 318, § 1;
Laws 1993, LB 583, § 76;
Laws 1994, LB 978, § 25;
Laws 1995, LB 574, § 46.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1641 - Employee; termination of employment; notice; contents.

44-1641.
Employee; termination of employment; notice; contents.
Not later than ten days following the date of termination of employment of the employee, the employer shall send a notice by certified mail with return receipt requested to the terminated employee at his or her home address as shown on the records of the employer. Such notice shall set forth (1) the right of the terminated employee to elect to continue coverage in accordance with section 44-1640 and the election form to be used in exercising such right, (2) the amount of each monthly premium to be paid by the terminated employee, and (3) the manner, time, and to whom the election form shall be completed and returned and each monthly premium shall be paid.
Source
Laws 1989, LB 318, § 2.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1642 - Terminated employee; election to continue coverage; procedure.

44-1642.
Terminated employee; election to continue coverage; procedure.
If the terminated employee elects to continue such coverage, the election form and the first monthly premium shall be sent by certified mail with return receipt requested to the insurance company or health maintenance organization within ten days after the date of receipt of the notice. Premiums for each subsequent month shall be paid by the terminated employee without further notice to the insurance company or health maintenance organization.
Source
Laws 1989, LB 318, § 3.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1643 - Employee; death; coverage continued; conditions; premium rate.

44-1643.
Employee; death; coverage continued; conditions; premium rate.
An employer or employer trust group policy or contract delivered, issued for delivery, or renewed in this state which provides coverage to a group which, based on the number of employees, is not a group subject to section 4980B of the Internal Revenue Code and which provides hospital, surgical, or major medical coverage, or any combination of such coverages, on an expense-incurred or service basis by an insurance company or health maintenance organization for employees and their dependents, but not including any policy or contract which provides benefits for specific diseases or for accidental injuries only, shall provide that the covered surviving spouse or covered surviving dependent children whose hospital, surgical, or major medical coverage under the group policy or contract would otherwise be terminated because of the death of such employee shall be entitled to continue such coverage subject to the provisions of the group policy or contract and the following conditions:
(1) Such coverage shall be continued on a monthly renewal basis until the earliest of the following dates:
(a) The date the covered surviving spouse or covered surviving dependent children become eligible for other group hospital, surgical, or major medical coverage, whether insured or self-insured, and with respect to the covered surviving spouse, the date such spouse remarries or the date such spouse becomes eligible for medicare or is covered by medicaid;
(b) The date of expiration of the monthly period for which premiums were paid for the covered surviving spouse or covered surviving dependent children in the event of nonpayment of premium;
(c) The date the covered surviving spouse or covered surviving dependent children exercise any privilege provided under the group policy or contract for conversion to an individual or family policy or contract;
(d) The date on which the group insurance policy or health maintenance organization agreement is terminated or the date the employer or employer trust trustee terminates participation under such policy or agreement; or
(e) The date of expiration of a period of one year following the date the coverage of the deceased employee would otherwise terminate; and
(2) The monthly premium rate to be charged for such coverage shall not exceed one hundred two percent of the total premium which would have been established for such coverage for the covered surviving spouse or covered surviving dependent children had the deceased employee still been a member of the insured group. Such total premium rate shall be paid by the covered surviving spouse or covered surviving dependent children. The experience of such coverage shall be charged to the group policy or contract which is in force.
Source
Laws 1989, LB 318, § 4;
Laws 1994, LB 978, § 26;
Laws 1995, LB 574, § 47.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1644 - Employee; death; coverage continued; notice; contents.

44-1644.
Employee; death; coverage continued; notice; contents.
Not later than ten working days following the date of the death of the employee, the employer shall send a notice by certified mail with return receipt requested to the covered surviving spouse or, if there is no covered surviving spouse, to any covered surviving dependent children of the deceased employee at his, her, or their home address as shown on the records of the employer. Such notice shall set forth (1) the right of the covered surviving spouse or the covered surviving dependent children to elect to continue coverage in accordance with section 44-1643 and the election form to be used in exercising such right, (2) the amount of each monthly premium to be paid by the covered surviving spouse or covered surviving dependent children, and (3) the manner, time, and to whom the completed election form shall be returned and each monthly premium shall be paid.
Source
Laws 1989, LB 318, § 5.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1645 - Employee; death; election to continue coverage; procedure.

44-1645.
Employee; death; election to continue coverage; procedure.
If the covered surviving spouse or covered surviving dependent children elect to continue such coverage, the election form and the first monthly premium shall be sent by certified mail with return receipt requested to the insurance company or health maintenance organization within thirty-one days after the date of the death of the employee. Premiums for each subsequent month shall be paid by the covered surviving spouse or covered surviving dependent children without further notice.
Source
Laws 1989, LB 318, § 6.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1701 - Sections, purpose.

44-1701.
Sections, purpose.
The purpose of sections 44-1701 to 44-1713 is to promote the public welfare by regulating credit life insurance and credit accident and health insurance. Nothing in sections 44-1701 to 44-1713 is intended to prohibit or discourage reasonable competition. The provisions of sections 44-1701 to 44-1713 shall be liberally construed.
Source
Laws 1959, c. 214, § 1, p. 737.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1702 - Terms, defined.

44-1702.
Terms, defined.
As used in sections 44-1701 to 44-1713, unless the context otherwise requires:
(1) Credit life insurance shall mean insurance on the life of a debtor pursuant to or in connection with a specific loan or other credit transaction;
(2) Credit accident and health insurance means insurance on a debtor to provide indemnity for payments becoming due on a specific loan or other credit transaction while the debtor is disabled as defined in the policy;
(3) Creditor shall mean the lender of money or vendor or lessor of goods, services, property, rights or privileges, for which payment is arranged through a credit transaction or any successor to the right, title or interest of any such lender, vendor or lessor, and an affiliate, associate or subsidiary of any of them or any director, officer or employee of any of them or any other person in any way associated with any of them;
(4) Debtor shall mean a borrower of money or a purchaser or lessee of goods, services, property, rights or privileges for which payment is arranged through a credit transaction;
(5) Indebtedness shall mean the total amount payable by a debtor to a creditor in connection with a loan or other credit transaction; and
(6) Director shall mean the Director of the Department of Insurance of Nebraska.
Source
Laws 1959, c. 214, § 2, p. 737.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1703 - Insurance sold with credit transaction; applicability of law; exceptions.

44-1703.
Insurance sold with credit transaction; applicability of law; exceptions.
All life insurance and all accident and health insurance sold in connection with loans or other credit transactions shall be subject to sections 44-1701 to 44-1713 except such insurance sold in connection with a loan or other credit transaction of more than ten years duration or fifteen years duration when made by licensees under the Nebraska Installment Loan Act. No insurance shall be subject to sections 44-1701 to 44-1713 when the issuance of such insurance is an isolated transaction on the part of the insurer and not related to an agreement or a plan for insuring debtors of the creditor.
Source
Laws 1959, c. 214, § 3, p. 738;
Laws 1969, c. 377, § 1, p. 1338;
Laws 1987, LB 306, § 1;
Laws 1997, LB 555, § 2;
Laws 2001, LB 53, § 27.
Cross References
Nebraska Installment Loan Act, see section 45-1001.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1704 - Forms of policy.

44-1704.
Forms of policy.
Credit life insurance and credit accident and health insurance shall be issued only in the following forms:
(1) Individual policies of life insurance issued to debtors on the term plan;
(2) Individual policies of accident and health insurance issued to debtors on a term plan or disability benefit provisions in individual policies of credit life insurance;
(3) Group policies of life insurance issued to creditors providing insurance upon the lives of debtors on the term plan; or
(4) Group policies of accident and health insurance issued to creditors on a term plan insuring debtors or disability benefit provisions in group credit life insurance policies to provide such coverage.
Source
Laws 1959, c. 214, § 4, p. 738.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1705 - Limitation on amount of insurance issued.

44-1705.
Limitation on amount of insurance issued.
(1) The amount of credit life insurance shall not exceed the initial indebtedness. If an indebtedness repayable in substantially equal installments is secured by an individual policy of credit life insurance, the amount of insurance shall at no time exceed the scheduled amount of indebtedness and, if the said indebtedness is secured by a group policy of credit life insurance, the amount of insurance shall at no time exceed the amount of unpaid indebtedness.
(2) The total amount of indemnity payable by credit accident and health insurance in the event of disability, as defined in the policy, shall not exceed the aggregate of the periodic scheduled unpaid installments of the indebtedness and the amount of each periodic indemnity payment shall not exceed the original indebtedness divided by the number of periodic installments.
Source
Laws 1959, c. 214, § 5, p. 738.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1706 - Term of policy.

44-1706.
Term of policy.
The term of any credit life insurance or credit accident and health insurance shall, subject to acceptance by the insurer, commence on the date when the debtor becomes obligated to the creditor, except that, if a group policy provides coverage with respect to existing obligations, the insurance on a debtor with respect to such indebtedness shall commence on the effective date of the policy. The term of such insurance shall not extend more than fifteen days beyond the scheduled maturity date of the indebtedness except when extended without additional cost to the debtor. If the indebtedness is discharged due to renewal or refinancing prior to the scheduled maturity date, the insurance in force shall be terminated before any new insurance may be issued in connection with the renewed or refinanced indebtedness and if the indebtedness is discharged due to a prepayment, the insurance in force shall be terminated as of the date of the prepayment. In all cases of termination prior to scheduled maturity, a refund shall be paid or credited as provided in section 44-1709.
Source
Laws 1959, c. 214, § 6, p. 739;
Laws 1969, c. 377, § 2, p. 1338.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1707 - Policy or certificate of insurance; type issued; when delivered; application; acceptance.

44-1707.
Policy or certificate of insurance; type issued; when delivered; application; acceptance.
(1) All credit life insurance and credit accident and health insurance sold shall be evidenced by an individual policy, or in case of group insurance, by a certificate of insurance, which individual policy or group certificate of insurance shall be delivered to the debtor.
(2) Each individual policy or group certificate of credit life insurance, credit accident and health insurance, or combination thereof, shall, in addition to other requirements of law, set forth the name and home office address of the insurer, the name of the debtor, the premium or amount of payment, if any, by the debtor separately for credit life insurance and credit accident and health insurance, a description of the amount, term and coverage including any exceptions, limitations, or restrictions, and shall state that the benefits shall be paid to the creditor to reduce or extinguish the unpaid indebtedness and, wherever the amount of insurance may exceed the unpaid indebtedness, that any such excess shall be payable to the beneficiary, other than the creditor, named by the debtor or to his estate.
(3) Said individual policy or group certificate of insurance shall be delivered to the insured debtor at the time the indebtedness is incurred except as hereinafter provided.
(4) If said individual policy or group certificate of insurance is not delivered to the debtor at the time the indebtedness is incurred, a copy of the application for such policy or a notice of proposed insurance, signed by the debtor and setting forth the name and home office address of the insurer, the name of the debtor, the premium or amount of payment by the debtor, if any, separately for credit life insurance and credit accident and health insurance, a description of the amount, term and coverage provided, shall be delivered to the debtor at the time such indebtedness is incurred. The copy of the application for, or notice of proposed insurance, shall refer exclusively to insurance coverage, and shall be separate and apart from the loan, sale or other credit statement of account, instrument or agreement, unless the information required by this subsection is prominently set forth therein. Upon acceptance of the insurance by the insurer and within thirty days of the date upon which the indebtedness is incurred, the insurer shall cause the individual policy or group certificate of insurance to be delivered to the debtor. The application or notice of proposed insurance shall state that upon acceptance by the insurer, the insurance shall become effective as of the date the indebtedness is incurred.
Source
Laws 1959, c. 214, § 7, p. 739.
Annotations
Debtor was aware that total credit insurance was fifteen thousand dollars and failure to deliver policy or certificate to debtor did not preclude recovery on note for larger amount. Elm Creek State Bank v. Johnson, 195 Neb. 131, 236 N.W.2d 838 (1975).
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1708 - Policy form, certificates of insurance, notices, applications, endorsements, and riders; filing requirements; approval; exception.

44-1708.
Policy form, certificates of insurance, notices, applications, endorsements, and riders; filing requirements; approval; exception.
(1) Except as otherwise provided by the director, all policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements, and riders, to be delivered in this state, shall be filed with the director who shall acknowledge receipt of the filings and shall, within thirty days after the receipt of any such policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements, and riders, disapprove any such form if the benefits provided therein are not reasonable in relation to the premium charge or if it contains provisions which are unjust, unfair, inequitable, misleading, or deceptive, encourage misrepresentation of the coverage, or are contrary to any provision of the statutes of the State of Nebraska or of any rule or regulation adopted and promulgated thereunder. The director shall have an additional thirty days to examine the proposed policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements, and riders upon notifying the issuing company within the first thirty-day period that such additional time is needed.
(2) If the director notifies the insurer that the form is disapproved, it shall be unlawful thereafter for such insurer to issue or use such form. In such notice, the director shall specify the reason for his or her disapproval and state that a hearing will be granted within twenty days after request in writing by the insurer. The request shall be received by the director not more than ten days after the date of the notice of disapproval. No such policy, certificate of insurance, notice of proposed insurance, application, endorsement, or rider shall be issued or used until the expiration of thirty days after it has been so filed or until the expiration of the additional thirty days provided in this section, unless the director shall give his or her prior written approval thereto.
(3) The director may, at any time after a hearing held not less than twenty days after written notice to the insurer, withdraw his or her approval of any such form for any reason set forth in subsection (1) of this section. The written notice of such hearing shall state the reason for the proposed withdrawal.
(4) It shall be unlawful for an insurer to issue or use such forms after the effective date of such withdrawal.
Source
Laws 1959, c. 214, § 8, p. 740;
Laws 1989, LB 92, § 180.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1709 - Schedule of premium rates; revision; filing requirements; refunds.

44-1709.
Schedule of premium rates; revision; filing requirements; refunds.
(1) Each insurer issuing credit life insurance or credit accident and health insurance shall file with the director its schedule of premium rates for use in connection with such insurance. Any insurer may revise such schedules from time to time, and shall file such revised schedules with the director. No insurer shall issue any credit life insurance policy or credit accident and health insurance policy for which the premium rates exceed that determined by the schedules of such insurer as then on file with the director.
(2) Each individual policy, group certificate or notice of proposed insurance shall provide that in the event of termination of the insurance prior to the scheduled maturity date of the indebtedness, any refund of an amount paid by the debtor for insurance shall be paid or credited promptly to the person entitled thereto;
Provided,
that the director shall permit a minimum refund and no refund which would be less than such minimum need be made. The formula to be used in computing such refund shall be filed with and approved by the director.
(3) If a creditor required a debtor to make any payment for credit life insurance or credit accident and health insurance and an individual policy or group certificate of insurance is not issued, the creditor shall immediately give written notice to such debtor and shall promptly make an appropriate credit to the account.
(4) The amount charged by the creditor to the debtor for credit life insurance or credit accident and health insurance shall not exceed the premium rate filed with the director for the coverage provided.
(5) Nothing in sections 44-1701 to 44-1713 shall be construed to authorize any payments for insurance now prohibited under any statute, or rule thereunder, governing credit transactions.
Source
Laws 1959, c. 214, § 9, p. 740.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1710 - Delivery and issuance of policy; requirements.

44-1710.
Delivery and issuance of policy; requirements.
All policies of credit life insurance and credit accident and health insurance 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 granted by the director.
Source
Laws 1959, c. 214, § 10, p. 742.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1711 - Claims; payment.

44-1711.
Claims; payment.
(1) All claims shall be promptly reported to the insurer or its designated claim representative, and the insurer shall maintain adequate claim files. All claims shall be settled as soon as possible and in accordance with the terms of the insurance contract.
(2) All claims shall be paid either by draft drawn upon the insurer or by check of the insurer to the order of the claimant to whom payment of the claim is due pursuant to the policy provisions, or upon direction of such claimant to one specified.
(3) No plan or arrangement shall be used whereby any person, firm or corporation other than the insurer or its designated claim representative shall be authorized to settle or adjust claims. The creditor shall not be designated as claim representative for the insurer in adjusting claims;
Provided,
that a group policyholder may, by arrangement with the group insurer, draw drafts or checks in payment of claims due to the group policyholder subject to audit and review by the insurer.
Source
Laws 1959, c. 214, § 11, p. 743.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1712 - Additional security; insurance; existing policies; acceptance.

44-1712.
Additional security; insurance; existing policies; acceptance.
When credit life insurance or credit accident and health insurance is required as additional security for any indebtedness, the debtor shall, upon request to the creditor, have the option of furnishing the required amount of insurance through existing policies of insurance owned or controlled by him or of procuring and furnishing the required coverage through any insurer authorized to transact an insurance business within this state.
Source
Laws 1959, c. 214, § 12, p. 743.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1713 - Violations; revocation or suspension; appeal.

44-1713.
Violations; revocation or suspension; appeal.
Whenever the director finds, after due notice and hearing, that there has been a violation of any of the provisions of sections 44-1701 to 44-1713 or of any rules or regulations adopted and promulgated pursuant thereto, he or she may revoke or suspend the license or certificate of authority of the person or insurer guilty of such violation or make such other order or directive as he or she may deem adequate and appropriate to secure compliance with sections 44-1701 to 44-1713 or of any rules or regulations adopted and promulgated pursuant thereto. Any action taken by the director pursuant to the provisions of this section shall not preclude such criminal prosecutions as may be otherwise provided by law. An appeal from the decision of the director may be taken, and the appeal shall be in accordance with the Administrative Procedure Act.
Source
Laws 1959, c. 214, § 13, p. 743;
Laws 1969, c. 359, § 31, p. 1281;
Laws 1988, LB 352, § 62.
Cross References
Administrative Procedure Act, see section 84-920.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1801 - Purpose of sections.

44-1801.
Purpose of sections.
(1) The purpose of sections 44-1801 to 44-1806 is to subject to the jurisdiction of the Director of Insurance and to the jurisdiction of the courts of this state insurers not authorized to transact business in this state which place in or send into this state any false advertising designed to induce residents of this state to purchase insurance from insurers not authorized to transact business in this state. The Legislature declares it is in the interest of the citizens of this state who purchase insurance from insurers which solicit insurance business in this state in the manner set forth in the preceding sentence that such insurers be subject to the provisions of sections 44-1801 to 44-1806. In furtherance of such state interest, the Legislature herein exercises its power to protect its residents and also exercises powers and privileges available to the state by virtue of Public Law 15, 79th Congress of the United States, Chapter 20, 1st Session, S. 340, which declares that the business of insurance and every person engaged therein shall be subject to the laws of the several states, the authority provided herein to be in addition to any existing powers of this state.
(2) The provisions of sections 44-1801 to 44-1806 shall be liberally construed.
Source
Laws 1965, c. 247, § 1, p. 698;
Laws 1983, LB 447, § 62.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1802 - Terms, defined.

44-1802.
Terms, defined.
For purposes of the Unauthorized Insurers False Advertising Process Act:
(1) Director shall mean the Director of Insurance; and
(2) Residents shall mean and include persons, partnerships, limited liability companies, or corporations, domestic, alien, or foreign.
Source
Laws 1965, c. 247, § 2, p. 698;
Laws 1989, LB 6, § 9;
Laws 1993, LB 121, § 237.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1803 - Unlawful advertising; director; notice to insurer.

44-1803.
Unlawful advertising; director; notice to insurer.
No unauthorized foreign or alien insurer of the kind described in section 44-1801 shall make, issue, circulate, or cause to be made, issued, or circulated to residents of this state any estimate, illustration, circular, pamphlet, or letter or cause to be made in any newspaper, magazine, or other publication or over any radio or television station any announcement or statement to such residents misrepresenting its financial condition or the terms of any contracts issued or to be issued or the benefits or advantages promised thereby or the dividends or share of the surplus to be received thereon in violation of the Unfair Insurance Trade Practices Act. Whenever the director has reason to believe that any such insurer is engaging in such unlawful advertising, it shall be his or her duty to give notice of such fact by either registered or certified mail to such insurer and to the insurance supervisory official of the domiciliary state of such insurer. For the purpose of this section, the domiciliary state of an alien insurer shall be deemed to be the state of entry or the state of the principal office in the United States.
Source
Laws 1965, c. 247, § 3, p. 699;
Laws 1989, LB 6, § 10;
Laws 1991, LB 234, § 27.
Cross References
Unfair Insurance Trade Practices Act, see section 44-1521.
2023 Nebraska Revised Statutes › Chapter 44 - Insurance › 44-1804 - Failure to cease making misrepresentation; action by director.

44-1804.
Failure to cease making misrepresentation; action by director.
If after thirty days following the giving of the notice mentioned in section 44-1803 such insurer has failed to cease making, issuing, or circulating such false misrepresentations or causing the same to be made, issued, or circulated in this state and if the director has reason to believe that a proceeding by him or her in respect to such matters would be to the interest of the public and that such insurer is issuing or delivering contracts of insurance to residents of this state or collecting premiums on such contracts or doing any of the acts enumerated in section 44-1805, he or she shall take action against such insurer under the Unfair Insurance Trade Practices Act.
Source
Laws 1965, c. 247, § 4, p. 699;
Laws 1989, LB 6, § 11;
Laws 1991, LB 234, § 28.
Cross References
Unfair Insurance Trade Practices Act, see section 44-1521.