| Chapter 021 |
| 2023 -- H 6043 Enacted 05/18/2023 |
| A N A C T |
| RELATING TO INSURANCE -- CHILD SUPPORT INTERCEPT ACT |
Introduced By: Representatives Potter, Giraldo, Stewart, and McNamara |
| Date Introduced: March 03, 2023 |
| It is enacted by the General Assembly as follows: |
| SECTION 1. Section 27-57-1 of the General Laws in Chapter 27-57 entitled "Child |
| Support Intercept Act" is hereby amended to read as follows: |
| 27-57-1. Interception of insurance payments. |
| (a) Every domestic insurer or insurance company authorized to issue policies of life |
| insurance or liability insurance pursuant to this title, and also any workers’ compensation insurer, |
| shall, within thirty (30) days prior to the making of any payment equal to or in excess of five |
| hundred dollars ($500) to any claimant or beneficiary who is a resident of the state of Rhode Island |
| or to any claimant who has an accident or loss that occurred in the state of Rhode Island, for third |
| party for personal injury or workers’ compensation benefits under a contract of insurance, or who |
| is to receive any economic benefit from a life insurance policy, including, but not limited to, as a |
| co-payee, or whether by means of cash surrender under any type policy, or as a loan against the |
| cash value or surrender value of any insurance policy, review information provided by the |
| department of human service services, office of child support services, child support enforcement |
| pursuant to § 27-57-4 indicating whether the claimant owes past-due child support. |
| (b) If the insurer determines from the information provided by the department pursuant to |
| § 27-57-4 that the claimant or payee does not owe past-due support, the insurer may make the |
| payment to the claimant in accordance with the contract of the insurance. |
| (c) If the insurer determines from the information provided by the department pursuant to |
| § 27-57-4 that the claimant or payee owes past-due child support, the insurer shall, except to the |
| extent payments are subject to liens, written notices, or interests described in § 27-57-3, withhold |
| from payment the amount of past-due support and pay that amount to the family court which shall |
| credit the person’s child support obligation account for the amount so paid, and the insurer shall |
| pay the balance to the claimant or other person entitled to it. The insurer or insurance company |
| shall provide written notice to the claimant and his or her attorney, if any, and notice by e-mail or |
| other electronic means, to the department of the payment to the family court. The payment shall be |
| deposited in the registry of the family court for a period of forty-five (45) days, or if an application |
| for review has been filed pursuant to subsection (d), until further order of the court. The notice shall |
| reflect the date, name, social security number, case number, and amount of the payment. Any |
| insurer or insurance company, its directors, agents, and employees and central reporting |
| organizations and their respective employees, authorized by an insurer to act on its behalf, who |
| release information in accordance with the provisions of this chapter, or who withhold amounts |
| from payment based upon the latest information supplied by the department pursuant to § 27-57- |
| 4 and makes disbursements in accordance with § 27-57-3, shall be in compliance and shall be |
| immune from any liability to the claimant, payee lienholder, payee who provided written notice, or |
| security interest holder for taking that action. |
| (d) Any claimant aggrieved by any action taken under this section may within thirty (30) |
| days of the making of the notice to the claimant in subsection (c) of this section, seek judicial review |
| in the family court, which may in its discretion, issue a temporary order prohibiting the |
| disbursement of funds under this section, pending final adjudication. |
| SECTION 2. This act shall take effect upon passage. |
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| LC001314 |
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