reglab/statecodes huggingface dataset:
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-5 - Insurable interest, life insurance; exception when certain institutions designated beneficiary.

A. Life insurance contracts may be entered into in which the person paying the consideration for the insurance has no insurable interest in the life of the individual insured, where charitable, benevolent, educational or religious institutions or their agencies are designated irrevocably as the beneficiaries thereof.
B. In making such contracts the person paying the premium shall make and sign the application therefor as owner, and shall designate irrevocably a charitable, benevolent, educational or religious institution or an agency thereof as the beneficiary or beneficiaries of such contract. The application shall be signed also by the individual whose life is to be insured.
C. Nothing in this section shall prohibit any combination of the applicant, premium payer, owner and beneficiary from being the same person.
D. Such a contract shall be valid and binding among the parties thereto, notwithstanding the absence otherwise of an insurable interest in the life of the individual insured.
History:
Laws 1984, ch. 127, § 335.
ANNOTATIONS
Am. Jur. 2d, A.L.R. and C.J.S. references. —
Estoppel of, or waiver by, issuer of life insurance policy to assert defense of lack of insurable interest, 86 A.L.R.4th 828.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-6 - Insurable interest, property.

A. No contract of insurance of property or of any interest in property or arising from property shall be enforceable as to the insurance except for the benefit of persons having an insurable interest in the things insured as at the time of the loss.
B. "Insurable interest" as used in this section means any actual, lawful and substantial economic interest in the safety and preservation of the subject of the insurance free from loss, destruction, pecuniary damage or impairment.
History:
Laws 1984, ch. 127, § 336.
ANNOTATIONS
Test of insurable interest.
— Any person has an insurable interest in property, by the existence of which he will gain an advantage, or by the destruction of which he will suffer a loss, whether he has or has not any title in, or lien upon, or possession of the property itself.
Teague-Strebeck Motors, Inc. v. Chrysler Ins. Co.
, 1999-NMCA-109, 127 N.M. 603, 985 P.2d 1183, cert. denied, 127 N.M. 391, 981 P.2d 1209,
overruled in part by
Sloan v. State Farm Mut. Auto. Ins. Co.
, 2004-NMSC-004, 135 N.M. 106, 85 P.3d 230.
Contingent interests.
— Even though a purchase agreement for an automobile dealership that was destroyed by fire was subject to approval by the bankruptcy court, the purchaser had an insurable interest in the property if the agreement would in fact have been approved by the court had there been no fire.
Teague-Strebeck Motors, Inc. v. Chrysler Ins. Co.
, 1999-NMCA-109, 127 N.M. 603, 985 P.2d 1183, cert. denied, 127 N.M. 391, 981 P.2d 1209,
overruled in part by
Sloan v. State Farm Mut. Auto. Ins. Co.
, 2004-NMSC-004, 135 N.M. 106, 85 P.3d 230 .
Mobile home.
— Insureds, who had an oral contract to purchase a mobile home and were co-obligors on a note secured by the mobile home in which they were residing when it was destroyed by fire, had an insurable interest in the mobile home.
Suggs v. State Farm Fire & Cas. Co.
, 833 F.2d 883 (10th Cir. 1987), cert. denied, 486 U.S. 1007, 108 S. Ct. 1732, 100 L. Ed. 2d 196 (1988).
Law reviews.
— For annual survey of New Mexico insurance law, 19 N.M.L. Rev. 717 (1990).
Am. Jur. 2d, A.L.R. and C.J.S. references. —
Automobile fire, theft, and collision insurance: Insurable interest in stolen motor vehicle, 38 A.L.R.4th 538.
Fire insurance: insurable interest of one expecting to inherit property or take by will, 52 A.L.R.4th 1273.
Insurable interest in property of lessee with option to purchase property, 74 A.L.R.4th 883.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-7 - Power to contract for insurance; purchase of insurance or annuity by minor.

A. Any person of competent legal capacity may contract for insurance.
B. Any minor not less than fifteen (15) years of age may, notwithstanding his minority, contract for annuities or for insurance upon his own life or health, or on the person of another individual in whom the minor has an insurable interest. Such a minor shall, notwithstanding such minority, be deemed competent to exercise all rights and powers with respect to or under any such contract as might be exercised by an individual of full legal age, and may at any time surrender his interest in any such contract and give valid discharge for any benefit accruing or money payable thereunder. Such a minor shall not, by reason of his minority, be entitled to rescind, avoid or repudiate the contract, nor to rescind, avoid or repudiate any exercise of a right or privilege thereunder, except that such a minor not otherwise emancipated, shall not be bound by any unperformed agreement to pay by promissory note or otherwise, any premium on any such annuity or insurance contract. Any annuity or insurance contract procured by or for a minor under this subsection shall be made payable either to the minor or his estate or to a person having an insurable interest in the minor's life.
History:
Laws 1984, ch. 127, § 337.
ANNOTATIONS
Am. Jur. 2d, A.L.R. and C.J.S. references. —
44 C.J.S. Insurance § 348.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-8 - Consent of insured; life, health insurance.

No life or health insurance contract upon an individual, except a contract of group life insurance or of group or blanket health insurance, shall be made or effectuated unless at the time of the making of the contract, such individual applies therefor or has consented thereto in writing, except in the following cases:
A. A spouse may effectuate such insurance upon the other spouse;
B. Any person having an insurable interest in the life of a minor, or any person upon whom a minor is dependent for support and maintenance, may effectuate insurance upon the life of or pertaining to such minor; and
C. Family policies may be issued insuring any two (2) or more members of a family on an application signed by either parent, a stepparent, a guardian, or by a husband or wife.
History:
Laws 1984, ch. 127, § 338.
ANNOTATIONS
Where unsigned insurance policy enforceable.
— Insurance policy was not void or otherwise unenforceable because the insured did not sign the application or consent to the policy in writing. Where the insured consents to, and even directs, procurement of an insurance policy on his life and believes that he is thereby insured, permitting the insurance company to avoid liability when the insured dies would not further the purpose of this section, which is to protect the insurer against speculation on his life and foul play.
Jackson Nat'l Life Ins. Co. v. Receconi
, 1992-NMSC-019, 113 N.M. 403, 827 P.2d 118.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-9 - Alteration of application; life, health insurance.

No alteration of any written application for any life or health insurance policy or annuity contract shall be made by any person other than the applicant without his written consent, except that insertions may be made by the insurer for administrative purposes only in such manner as to indicate clearly that such insertions are not to be ascribed to the applicant.
History:
Laws 1984, ch. 127, § 339.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-10 - Application as evidence.

A. The insured shall not be bound by any statement made in the application, and no application for issuance of any life or health insurance policy or annuity contract shall be admissible in evidence in any action relative to such policy or contract, unless a true copy of the application was attached to or otherwise made a part of the policy or contract when issued. This subsection does not apply to industrial life insurance policies.
B. If any policy of life or health insurance or annuity contract delivered in this state is reinstated or renewed, and the insured, beneficiary, annuitant or assignee of the policy or contract makes written request to the insurer for a copy of the application, if any, for such reinstatement or renewal, the insurer shall, within fifteen (15) days after receipt of such request at its home office or any of its branch offices, deliver or mail a copy of the application to the person making the request. If such copy is not so delivered or mailed, the insurer shall be precluded from introducing the application as evidence in any action or proceeding based upon or involving such policy or contract or its reinstatement or renewal. If such a request is from a beneficiary or assignee, the time within which the insurer is required to furnish a copy of the application shall not begin to run until after receipt of evidence satisfactory to the insurer of the beneficiary's or assignee's vested interest in the policy or contract.
C. As to kinds of insurance other than life or health insurance or annuity contract, no application for insurance signed by or on behalf of the insured shall be admissible in evidence in any action between the insured and the insurer arising out of the policy so applied for, if the insurer has failed, at expiration of thirty (30) days after receipt by the insurer at its home office or branch office, of a written demand therefor by or on behalf of the insured, to furnish to the insured a copy of the application reproduced by any legible means.
History:
Laws 1984, ch. 127, § 340.
ANNOTATIONS
Am. Jur. 2d, A.L.R. and C.J.S. references. —
Sufficiency of insurer's compliance with statutory requisites as to attaching copy of application to, or making it part of, policy, 18 A.L.R.3d 760.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-13 - Approval or disapproval of health insurance forms.

A. With policy, endorsement, rider and application forms and classification of risks filed by the insurer with the superintendent under Section 59A-18-12 NMSA 1978 as to health insurance and health care plans, the insurer shall also file with the superintendent its rates applicable to such health insurance forms. An insurer shall not use any form that has not been approved by the superintendent or that is not in effect in accordance with Section 59A-18-14 NMSA 1978.
B. All filings submitted pursuant to this section shall be filed electronically. The superintendent may designate an entity to receive the electronic filings submitted pursuant to this section.
History:
Laws 1984, ch. 127, § 343; 1987, ch. 244, § 10; 2003, ch. 397, § 1; 2009, ch. 182, § 3; 2011, ch. 144, § 3.
ANNOTATIONS
Cross references.
— For existing forms and filings,
see
notes following 59A-5-21 NMSA 1978.
The 2011 amendment,
effective January 1, 2012, required insurers of health care plans to file their rates and eliminated the sixty day period before an increase in health insurance premiums may become effective.
The 2009 amendment,
effective June 19, 2009, added Subsection C.
The 2003 amendment,
effective June 20, 2003, inserted the Subsection A designation and added Subsection B.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-13.4 - Repealed.

History:
Laws 2011, ch. 144, § 7; repealed by Laws 2013, ch. 74, § 40.
ANNOTATIONS
Repeals.
— Laws 2013, ch. 74, § 40 repealed 59A-18-13.4 NMSA 1978, as enacted by Laws 2011, ch. 144, § 7, relating to review of health insurance or plan rates, appeals to the public regulation commission, hearings, hearing examiner and findings, effective March 29, 2013. For provisions of former section,
see
the 2012 NMSA 1978 on
NMOneSource.com
.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-13.5 - Review of health insurance or plan rates; appeal to court of appeals from superintendent.

A. In a matter arising from an order of the superintendent on appeal pursuant to Section 59A-18-13.3 NMSA 1978, an aggrieved party may appeal to the court of appeals.
B. The court of appeals shall consider the superintendent's order on appeal and reverse the order only if the court determines:
(1) after evaluation of the record of evidence as a whole, that the superintendent's decision was not based on substantial evidence as to whether the proposed rates are reasonable, actuarially sound and based on reasonable administrative expenses;
(2) that the superintendent's decision was arbitrary, capricious or an abuse of discretion; or
(3) that the superintendent's decision on appeal is otherwise not in accordance with law.
History:
Laws 2011, ch. 144, § 8; 2013, ch. 74, § 24.
ANNOTATIONS
The 2013 amendment,
effective March 29, 2013, provided for appeals from the decisions of the superintendent of insurance to the court of appeals; in the title, after "appeal to", changed "supreme court", to "court of appeals", and deleted "commission" and added "superintendent"; in Subsection A, after "order of the", deleted "commission" and added "superintendent", after "Section", deleted "7 of this 2011 act" and added "59A-18-13.3 NMSA 1978", after "appeal to", deleted "supreme", and after "court", added "of appeals"; in Subsection B, in the introductory sentence, deleted "supreme", after "court", added "of appeals", after "consider the", deleted "commission's" and added "superintendent's", after "reverse the", deleted "commission's" and after "reverse the order", deleted "on appeal", and after "only if the", deleted "supreme"; and in Paragraphs (2) and (3) of Subsection B, deleted "commission's" and added "superintendent's".
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-13.6 - Pooling of closed blocks of business.

For the purpose of determining the rate of any policy within a closed block of business, the superintendent may require an insurer to pool the experience of a closed block of business with all appropriate blocks of business that are not closed in accordance with Section 59A-18-13.1 NMSA 1978. An insurer shall not apply a rate penalty or surcharge beyond that which reflects the experience of a pool combined in accordance with this section.
History:
Laws 2011, ch. 144, § 9.
ANNOTATIONS
Effective dates.
— Laws 2011, ch. 144, § 14 made Laws 2011, ch. 144, § 9 effective January 1, 2012.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-15 - Repealed.

ANNOTATIONS
Repeals.
— Laws 2003, ch. 202, § 16 repealed 59A-18-15 NMSA 1978, as enacted by Laws 1984, ch. 127, § 345, relating to use of disapproved health insurance forms and associated penalties, effective June 20, 2003. For provisions of former section,
see
the 2002 NMSA 1978 on
NMOneSource.com.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-16.1 - Group coverage discontinuance and replacement.

The superintendent may promulgate reasonable rules and regulations to establish requirements for group coverage discontinuance and replacement.
History:
1978 Comp., § 59A-18-16.1, enacted by Laws 1993, ch. 320, § 58.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-18 - Charter, bylaw provisions.

No policy shall contain any provision purporting to make any portion of the charter, bylaws or other constituent document of the insurer (other than the subscriber's agreement or power of attorney of a reciprocal insurer) a part of the contract unless such portion is set forth in full in the policy.
History:
Laws 1984, ch. 127, § 347.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-19 - Execution of policies.

A. Every policy shall be executed in the name of and on behalf of the insurer by its officer, attorney-in-fact, employee or representative duly authorized by the insurer.
B. A facsimile signature of any such executing individual may be used in lieu of an original signature.
C. No policy which is otherwise valid shall be rendered invalid by reason of the apparent execution thereof on behalf of the insurer by the imprinted facsimile signature of an individual not authorized so to execute as of the date of the policy.
History:
Laws 1984, ch. 127, § 348.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-20 - Underwriters' and combination policies.

A. Two (2) or more authorized insurers may jointly issue, and shall be jointly and severally liable on, an underwriters' policy bearing their names. Any one insurer may issue policies in the name of an underwriter's department and such policy shall plainly show the true name of the insurer.
B. Two (2) or more insurers may, with the superintendent's approval, issue a combination policy containing additional provisions substantially as follows:
(1) that the insurers executing the policy shall be severally liable for the full amount of any loss or damage, according to the terms of the policy, or for specified percentages or amounts thereof, aggregating the full amount of insurance under the policy; and
(2) that service of process, or of any notice or proof of loss required by such policy, upon any of the insurers executing the policy shall constitute service upon all such insurers.
C. This section does not apply to cosurety obligations.
History:
Laws 1984, ch. 127, § 349.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-21 - Validity, construction of noncomplying forms.

A. A policy delivered or issued for delivery after the effective date of the Insurance Code [Chapter 59A NMSA 1978] to any person in this state in violation of the Insurance Code but otherwise binding on the insurer, shall be held valid, but shall be construed as provided in the Insurance Code.
B. Any condition, omission or provision not in compliance with the requirements of the Insurance Code and contained in any policy, rider or endorsement issued after the effective date of the Insurance Code and otherwise valid shall not thereby be rendered invalid but shall be interpreted and applied in accordance with such condition, omission or provision as would have applied had the same been in full compliance with the Insurance Code.
History:
Laws 1984, ch. 127, § 350.
ANNOTATIONS
Effective dates.
— Laws 1984, ch. 127, § 999 made the Insurance Code effective January 1, 1985.
Cross references.
— For existing forms and filings,
see
notes following 59A-5-21 NMSA 1978.
Where unsigned insurance policy enforceable.
— Insurance policy was not void or otherwise unenforceable because the insured did not sign the application or consent to the policy in writing. If the insured consents to, and even directs, procurement of an insurance policy on his life and believes that he is thereby insured, permitting the insurance company to avoid liability when the insured dies would not further the purpose of 59A-18-8 NMSA 1978, which is to protect the insurer against speculation on his life and foul play.
Jackson Nat'l Life Ins. Co. v. Receconi
, 1992-NMSC-019, 113 N.M. 403, 827 P.2d 118.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-22 - Binders.

A. While acting within the scope of authority granted by the insurer, binders or other contracts for temporary insurance may be made by a producer orally or in writing, and shall be deemed to include all the usual terms of the policy as to which the binder was given together with such applicable endorsements as are designated in the binder, except as superseded by the clear and express terms of the binder.
B. No binder shall be valid beyond the issuance of the policy as to which given, or beyond ninety days for written binders, fifteen days for oral, from its effective date, whichever period is the shorter.
C. If the policy has not been issued, a binder may be extended or renewed beyond such ninety or fifteen days with the written approval of the insurer.
D. This section shall not apply as to life or health insurances; and binders under the standard fire policy are governed by Section 492 of the Insurance Code and not by this section.
History:
Laws 1984, ch. 127, § 351; 2021, ch. 108, § 14.
ANNOTATIONS
Compiler's notes.
— Section 492 of the Insurance Code, referred to in Subsection D, was set out in Laws 1984, ch. 127, as reserved.
The 2021 amendment,
effective July 1, 2021, in Subsection A, after "made by", changed "an agent" to "a producer".
Binder is temporary contract of insurance
which is intended to give temporary protection pending investigation of the risk and issuance of a formal written policy.
Nance v. L.J. Dolloff Assocs., Inc.
, 2006-NMCA-012, 138 N.M. 851, 126 P.3d 1215.
But not written contract as basis for breach.
— Because a binder is a contract of insurance and not a contract for insurance, even if there is a binder, and thus a written contract, it is not a written contract upon which can be based a claim for breach of contract.
Nance v. L.J. Dolloff Assocs., Inc.
, 2006-NMCA-012, 138 N.M. 851, 126 P.3d 1215.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-23 - Delivery of policy, motor vehicle vendors, mortgagees, pledgees.

A. If the original policy is delivered or is so required to be delivered to or for deposit with any vendor, mortgagee or pledgee of any motor vehicle, in which policy any interest of the vendee, mortgagor or pledgor in or with respect to such vehicle is insured, a duplicate of the policy setting forth the name and address of the insurer, insurance classification of vehicle, type of coverage, limits of liability, premiums for the respective coverages, and duration of the policy, or memorandum thereof containing the same information, shall be delivered by the vendor, mortgagee or pledgee to each such vendee, mortgagor or pledgor named in the policy or coming within the group of persons designated in the policy to be so included. If the policy does not provide coverage of legal liability of the vendee, mortgagor or pledgor for injury to persons or damage to property of third parties, a statement of such fact shall be printed, written or stamped conspicuously on the face of the duplicate policy or memorandum.
B. This section does not apply to inland marine floater policies.
History:
Laws 1984, ch. 127, § 352.
ANNOTATIONS
Am. Jur. 2d, A.L.R. and C.J.S. references. —
Insurer's duty, and effect of its failure, to provide insured or payee with copy of policy or other adequate documentation of its terms, 78 A.L.R.4th 9.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-24 - Insurance producers; whom they represent.

A licensed insurance producer appointed as insurance producer by an insurer shall, in any controversy between the insured or the insured's beneficiary and the insurer, be held to be the agent of the insurer that issued the insurance solicited or applied for, anything in the application or policy to the contrary notwithstanding; and a broker licensed to transact insurance business in this state, in any controversy between the insured or the insured's beneficiary and the insurer issuing the insurance through its licensed insurance producer at request of the broker, shall be held to be the agent of the insured, anything in the application or policy to the contrary notwithstanding, unless under particular circumstances it is found that the broker is representing the insurer. This section shall not apply as to surplus line brokers, nor as to acts of the insurance producer in fraud or attempted fraud of the insurer or acts of the broker in fraud or attempted fraud of the insured.
History:
Laws 1984, ch. 127, § 353; 2016, ch. 89, § 60.
ANNOTATIONS
The 2016 amendment,
effective July 1, 2017, replaced "agent" and "broker" with "insurance producer" throughout the section; in the catchline, added "they"; in the first sentence, deleted "Any" and added "A", after "between the insured or", deleted "his" and added "the insured's", after "agent of the insurer", deleted "which" and added "that", after "notwithstanding; and", deleted "any" and added "a", after "controversy between", deleted "any" and added "the", and after "insured or", deleted "his" and added "the insured's".
Severability.
— Laws 2016, ch. 89, § 71 provided that if any part or application of Laws 2016, ch. 89 is held invalid, the remainder or its application to other situations or persons shall not be affected.
Clause prohibiting waiver by agent ineffective.
— A clause in an insurance application prohibiting a waiver of conditions in the application except by an endorsement of an officer of the insurer could not operate to prevent the waiver by the insurer's agent of the conditions in the application requiring the insured to notify the insurer of his changed health and conditioning delivery of the policy on the insured's health remaining the same prior to delivery of the policy where the insurer's agent requested payment of the insurance premium after the insured had notified the agent of his changed health.
Jackson Nat'l Life Ins. Co. v. Receconi
, 1992-NMSC-019, 113 N.M. 403, 827 P.2d 118.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-25 - Allowance for inflation.

Where amounts of insurance under group, blanket or other forms of life, annuity or health insurance coverage are now or hereafter limited to specified dollar amounts by any provision of the Insurance Code, the insurer may, with the superintendent's approval and notwithstanding the statutory limit otherwise applicable, increase the dollar amount of coverage in particular policies or contracts as reasonably necessary to offset devaluation of dollar purchasing power because of inflation, and to provide current coverage in amount reasonably related to dollar purchasing power at the time such statutory limit was enacted. The superintendent may promulgate reasonable rules and regulations for effectuation of this section under which the increased amounts of coverage may be applied generally and without approval by the superintendent of increases in each instance.
History:
Laws 1984, ch. 127, § 354.
ANNOTATIONS
Cross references.
— For the Insurance Code,
see
59A-1-1 NMSA 1978 and notes thereto.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-26 - Payment discharges insurer.

Whenever the proceeds of or payments under a life or health insurance policy or annuity contract heretofore or hereafter issued become payable in accordance with the terms of the policy or contract, or exercise of any right or privilege thereunder, and the insurer makes payment thereof in accordance with the terms of the policy or contract or in accordance with any written assignment thereof, the person then designated in the policy, contract or assignment as being entitled thereto shall be entitled to receive such proceeds or payments and to give full acquittance therefor; and such payments shall fully discharge the insurer from all claims under the policy or contract unless, before payment is made, the insurer has received at its home office written notice by or on behalf of some other person that such other person claims to be entitled to such payment or some interest in the policy or contract.
History:
Laws 1984, ch. 127, § 355.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-27 - Forms of proof of loss to be furnished.

Upon receiving due notice of a claim of loss under an insurance contract issued or assumed by it, an insurer shall promptly furnish to the insured claimant such forms of proof of loss as it may require for completion by such person, but the insurer shall not have any responsibility for or with respect to completion of such proof or the manner of any such completion or attempted completion.
History:
Laws 1984, ch. 127, § 356.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-27.1 - Universal claim forms.

A. The superintendent shall devise or designate universal forms to be utilized by every health insurer, including health maintenance organizations, nonprofit health plans and fraternal organizations offering any type of health coverage for individuals residing in this state, for the purpose of receiving claims under their policies. In preparing the forms, the superintendent may consult with insurers, trade associations and other interested parties. Upon adoption of the final forms by the superintendent, he shall notify the insurers affected by sending them a specimen copy of the adopted forms and an explanation of the requirements of this section. Every covered insurer shall begin using the adopted forms not later than six months following the date of the superintendent's notification.
B. A health insurer may not refuse to accept a claim submitted on uniform claim forms adopted pursuant to Subsection A of this section, but may accept claims submitted on any other form.
C. A health insurer does not violate this section by using a claim form that the insurer has been required to use by the state or federal government.
History:
1978 Comp., § 59A-18-27.1, enacted by Laws 1993, ch. 126, § 2.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-28 - Notice; waiver.

The acknowledgment by any insurance company of the receipt of notice given under any policy covered by this code [Chapter 59A NMSA 1978], or the furnishing of forms for filing proofs of loss, or the acceptance of such proofs, or the investigation of any claim thereunder shall not operate as a waiver of any of the rights of the insurance company in defense of any claim arising under such policy.
History:
Laws 1984, ch. 127, § 357.
ANNOTATIONS
Am. Jur. 2d, A.L.R. and C.J.S. references. —
Liability insurer's postloss conduct as waiver of, or estoppel to assert, "no-action" clause, 68 A.L.R.4th 389.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-30 - Disclosure of premium and claim data.

A. An insurer shall for a policy of insurance coverage provide the named insured of the policy with premium and claim data within sixty days of receipt of a written request from the named insured.
B. As used in this section "premium and claim data" shall include:
(1) the sum of all premiums charged or billed by the insurer for the insurance policy;
(2) the sum of all amounts paid out pursuant to claims covered under the policy;
(3) a list of all pending claims against the policy which are open; and
(4) cumulative loss or claim reserves chargeable to the policy.
C. None of the provisions of this section shall be applicable to life insurance policies or group insurance policies.
History:
1978 Comp., § 59A-18-31, enacted by Laws 1987, ch. 281, § 1.
ANNOTATIONS
Compiler's notes.
— This section was enacted as 59A-18-31 NMSA 1978 by Laws 1987, ch. 281, § 1. However, since no Section 59A-18-30 NMSA 1978 existed, the section was redesignated.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 18 - The Insurance Contract › Section 59A-18-33 - Notice.

A. An organization that publishes information regarding the effectiveness of community fire protection or building code information, including public protection classifications, community grading, building code effectiveness classifications or fire suppression rating schedules for use by residential property insurers in this state, shall provide notice of any unfavorable change in a community's classification to the office of superintendent of insurance.
B. Upon receiving notice of an unfavorable change in a community's public protection classification, community grading, building code effectiveness classification or fire suppression rating schedule, the office of superintendent of insurance shall issue a bulletin notifying insurers of the change and the communities affected and instructing insurers to notify customers who may be adversely affected by the unfavorable change within ninety days of the publication of the bulletin.
History:
Laws 2019, ch. 84, § 1.
ANNOTATIONS
Effective dates.
— Laws 2019, ch. 84, § 2 made Laws 2019, ch. 84 effective January 1, 2020.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 19 - Policy Language Simplification › Section 59A-19-1 - Short title; exclusive control.

A. This article [59A-19-1 to 59A-19-7 NMSA 1978] may be referred to as the "Policy Language Simplification Law".
B. No other statute of this state setting language simplification standards shall apply as to any policy forms.
History:
Laws 1984, ch. 127, § 360.
ANNOTATIONS
Law reviews.
— For annual survey of New Mexico law relating to commercial law, see 12 N.M.L. Rev. 173 (1982).
Am. Jur. 2d, A.L.R. and C.J.S. references. —
Policy provision limiting time within which action may be brought on the policy as applicable to tort action by insured against insurer, 66 A.L.R.4th 859.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 19 - Policy Language Simplification › Section 59A-19-2 - Scope of article.

A. This article applies as to all policies, group certificates, benefit or service certificates, contracts, plans or agreements providing coverage as to life or health of human beings, and delivered or issued for delivery in this state by any insurer, fraternal benefit society, nonprofit health service corporation, prepaid health care plan, dental care plan, vision care plan, pharmaceutical plan, health maintenance organization and all similar organizations now or hereafter authorized to transact business in this state under any law of this state. The superintendent shall, by regulation, make this article applicable to any other policy, certificate, contract, plan or agreement of insurance when he determines that person delivering or issuing can reasonably comply with the provisions of this article.
B. This article shall not apply as to:
(1) any policy which is a security subject to federal jurisdiction;
(2) any group policy covering a group of one thousand (1,000) or more lives at date of issue, other than a group credit life insurance policy or a group credit health insurance policy; except, that any certificate issued pursuant to a group policy and delivered or issued for delivery in this state is not exempt;
(3) any group annuity contract which is a funding vehicle for a pension, profit-sharing or deferred compensation plan;
(4) any form used in connection with, or as a conversion from, or as an additon [addition] to, or in exchange pursuant to a contractual provision for, a policy delivered or issued for delivery in this state on an initial form approved or permitted to be issued prior to the date such initial form must be approved under this article; or
(5) the renewal of a policy delivered or issued for delivery prior to the date such policy form must be approved under this article.
History:
Laws 1984, ch. 127, § 359.
ANNOTATIONS
Bracketed material.
— The bracketed material was inserted by the compiler and is not part of the law.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 19 - Policy Language Simplification › Section 59A-19-3 - Definitions.

For the purposes of this article:
A. "issuer" means the insurer, fraternal benefit society, nonprofit health service corporation, prepaid health plan, dental care plan, vision care plan, pharmaceutical plan, health maintenance organization or other organization referred to in Subsection A of Section 359 [59A-19-2 NMSA 1978] of this code; and
B. "policy" means any policy, group certificate, benefit or service contract, plan or agreement referred to in Subsection A of Section 359 of this code.
History:
Laws 1984, ch. 127, § 361.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 19 - Policy Language Simplification › Section 59A-19-5 - Superintendent may allow lower reading ease score.

The superintendent may, in his sole discretion, authorize use of a policy form having a lower score than the Flesch reading ease score required in Paragraph A(1) of Section 362 [59A-19-4 NMSA 1978] of this article if he finds that a lower score:
A. will provide a more accurate reflection of the readability of a policy form;
B. is warranted by the nature of a particular policy form or type or class of policy forms; or
C. is caused by certain policy language which is drafted to conform to requirements of any state law, regulation or agency interpretation.
History:
Laws 1984, ch. 127, § 363.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 19 - Policy Language Simplification › Section 59A-19-6 - Approval of forms.

A. A policy form meeting the requirements of Subsection A of Section 362 [59A-19-4 NMSA 1978] of this article shall be approved notwithstanding the provisions of any other laws which specify the contents of policies, if the policy form provides for policyholders and claimants protection not less favorable than they would be entitled to under such laws.
B. Any non-English language policy shall be deemed to be in compliance with Paragraph (1), Subsection A, of Section 362 of this article if the issuer certifies to the superintendent in writing that the policy is translated from an English-language policy which complies with such paragraph.
History:
Laws 1984, ch. 127, § 364.
ANNOTATIONS
Cross references.
— For existing forms and filings,
see
notes following 59A-5-21 NMSA 1978.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 19 - Policy Language Simplification › Section 59A-19-7 - Effective date of approval requirement.

A. This article applies to all policy forms filed with the superintendent on or after July 1, 1984. No policy form shall be delivered or issued for delivery in New Mexico on or after July 1, 1987 unless approved by the superintendent or permitted to be issued under this article. Any policy form which has been approved by the superintendent or permitted to be issued prior to July 1, 1987 and which meets the standards set by this article need not be refiled with the superintendent for approval, but may continue to be delivered or issued for delivery in this state upon the issuer filing with the superintendent a list of such forms identified by form number and accompanied by a certificate as to each such form in the manner provided in Subsection D of Section 362 [59A-19-4 NMSA 1978] of this article.
B. The superintendent, in his sole discretion, may extend the dates referred to in Subsection A of this section.
History:
Laws 1984, ch. 127, § 365.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 20 - Life Insurance and Annuity Contracts › Section 59A-20-1 - Scope of article.

This article [Chapter 59A, Article 20 NMSA 1978] applies only to contracts of life insurance, endowments and annuities, other than reinsurance, group life insurance and group annuities; except that Section 395 [59A-20-30 NMSA 1978] (variable contract law) shall also apply as to group life and group annuity contracts.
History:
Laws 1984, ch. 127, § 366.
ANNOTATIONS
Am. Jur. 2d, A.L.R. and C.J.S. references. —
43 Am. Jur. 2d Insurance §§ 530 to 546.
Failure to disclose terminal illness as basis for life insurer's avoidance of high-risk, high-premium policy requiring no health warranties or proof of insurability, 42 A.L.R.4th 158.
Accident or life insurance: death by autoerotic asphyxiation as accidental, 62 A.L.R.4th 823.
44 C.J.S. Insurance § 283 et seq.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 20 - Life Insurance and Annuity Contracts › Section 59A-20-2 - "Annuity", "industrial life insurance" defined.

For the purposes of the Insurance Code:
A. an "annuity" is a contract under which obligation is assumed by the issuer to make periodic payments for a specific term or terms where the making or continuance of all or some such payments or the amount of any such payment is dependent upon continuance of human life, except payments made pursuant to optional modes of settlement under authority of Section 108 [59A-7-2 NMSA 1978] ("life" insurance defined) of the Insurance Code. Such a contract which includes extra benefits of the kinds set forth in Section 108 ("life" insurance defined) or Section 109 [59A-7-3 NMSA 1978] ("health" insurance defined) of the Insurance Code shall nevertheless be deemed to be an annuity if such extra benefits constitute a subsidiary or incidental part of the entire contract; and
B. "industrial life insurance" is that form of life insurance written under policies in face amount of two thousand five hundred dollars ($2,500) or less, and bearing the words "industrial policy" or "weekly premium policy" or words of similar import imprinted on the face thereof as part of descriptive matter, and under which premiums are payable monthly or more often.
History:
Laws 1984, ch. 127, § 367.
ANNOTATIONS
Applicability of article.
— Guaranteed investment contracts were not annuities entitled to coverage under the Life and Health Insurance Guaranty Law because they did not provide periodic payments dependent on the continuation of human life.
Krahling v. First Trust Nat'l Ass'n
, 1997-NMCA-082, 123 N.M. 685, 944 P.2d 914, cert. denied, 123 N.M. 446, 942 P.2d 189.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 20 - Life Insurance and Annuity Contracts › Section 59A-20-4 - Grace period.

There shall be a provision that a grace period of thirty (30) days, or, at the option of the insurer, of one month of not less than thirty (30) days, or of four (4) weeks in the case of industrial life insurance policies the premiums for which are payable more frequently than monthly, shall be allowed within which the payment of any premium after the first may be made, during which period of grace the policy shall continue in full force. The insurer may impose an interest charge not in excess of six percent per annum for the number of days of grace elapsing before the payment of the premium, and whether or not such interest charge is imposed, if a claim arises under the policy during such period of grace the amount of any premium due or overdue, together with interest and any deferred installment of the annual premium, may be deducted from the policy proceeds.
History:
Laws 1984, ch. 127, § 369.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 20 - Life Insurance and Annuity Contracts › Section 59A-20-5 - Incontestability.

There shall be a provision that the policy (exclusive of provisions relating to disability benefits or to additional benefits in the event of death by accident or accidental means) shall be incontestable, except for nonpayment of premiums, after it has been in force during the lifetime of the insured for a period of two (2) years from its date of issue.
History:
Laws 1984, ch. 127, § 370.
ANNOTATIONS
Death of the insured within the two-year contestability period.
— The death of the insured within the two-year contestability period rendered the incontestibility clause unenforceable and, because of the insured's misrepresentations about her health on the application form, the insurer properly refused to pay the death benefits.
Crow v. Capitol Bankers Life Ins. Co.
, 1995-NMSC-018, 119 N.M. 452, 891 P.2d 1206.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
Incontestable clause as affected by reinstatement of policy, 23 A.L.R.3d 743.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 20 - Life Insurance and Annuity Contracts › Section 59A-20-6 - Entire contract.

There shall be a provision that the policy, or the policy and the application therefor if a copy of such application is endorsed upon or attached to the policy when issued, shall constitute the entire contract between the parties and that statements contained in such an application shall, in the absence of fraud, be deemed representations and not warranties.
History:
Laws 1984, ch. 127, § 371.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 20 - Life Insurance and Annuity Contracts › Section 59A-20-7 - Misstatement of age.

There shall be a provision that if the age of the insured, or of any other person whose age is considered in determining the premium or benefit, has been misstated, any amount payable or benefit accruing under the policy shall be such as the premium would have purchased at the correct age or ages.
History:
Laws 1984, ch. 127, § 372.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 20 - Life Insurance and Annuity Contracts › Section 59A-20-8 - Dividends, participating policies.

A. There shall be a provision in participating policies that, beginning not later than the end of the third policy year, the insurer shall annually ascertain and apportion the divisible surplus, if any, that will accrue on the policy anniversary or other dividend date specified in the policy, provided the policy is in force and all premiums to that date are paid. Except as hereinafter provided, any dividend becoming payable shall at the option of the party entitled to elect such option be either:
(1) payable in cash; or
(2) applied to any one of such other dividend options as may be stated in the policy and approved by the superintendent.
B. If any such other dividend options are provided the policy shall further state which option shall be automatically effective if such party shall not have elected some other option. If the policy specifies a period within which such other dividend option may be elected, such period shall be not less than thirty (30) days following the date on which such dividend is due and payable. The annually apportioned dividend shall be deemed to be payable in cash within the meaning of Paragraph (1) above even though the policy provides that payment of such dividend is to be deferred for a specified period, provided such period does not exceed one year from the date of apportionment; however, interest will not be added to the dividend but shall be paid out annually.
C. If a participating policy provides that the benefit under any paid-up nonforfeiture provision is to be participating, it may provide that any divisible surplus becoming payable or apportioned while the insurance is in force under such nonforfeiture provision shall be applied in the manner set forth in the policy.
D. In participating industrial life insurance policies, in lieu of the provision required otherwise in this section, there shall be a provision that, beginning not later than the end of the fifth policy year, the policy shall participate annually in the divisible surplus, if any, in the manner set forth in the policy.
History:
Laws 1984, ch. 127, § 373.