2021 -- H 5903

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LC001766

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2021

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A N   A C T

RELATING TO INSURANCE -- PET INSURANCE

     Introduced By: Representatives Carson, Serpa, and C Lima

     Date Introduced: February 24, 2021

     Referred To: House Corporations

     It is enacted by the General Assembly as follows:

     SECTION 1. Title 27 of the General Laws entitled "INSURANCE" is hereby amended by

adding thereto the following chapter:

CHAPTER 82

PET INSURANCE

     27-82-1. Definitions.

     As used in this chapter:

     (1) "Chronic condition" means a condition that can be treated or managed, but not cured.

     (2) "Congenital anomaly or disorder" means a condition that is present from birth, whether

inherited or caused by the environment, which may cause or otherwise contribute to illness or

disease.

     (3) "Hereditary disorder" means an abnormality that is genetically transmitted from parent

to offspring and may cause illness or disease.

     (4) "Pet insurance" means an individual or group insurance policy that provides coverage

for veterinary expenses.

     (5) "Preexisting condition" means any condition for which a veterinarian provided medical

advice, the pet received treatment for, or the pet displayed signs or symptoms consistent with the

stated condition prior to the effective date of a pet insurance policy or during any waiting period.

     (6) "Veterinarian" means an individual who holds a valid license to practice veterinary

medicine in the state of Rhode Island.

     (7) "Veterinary expenses" means the costs associated with medical advice, diagnosis, care

or treatment provided by a veterinarian, including, but not limited to, the cost of drugs prescribed

by a veterinarian.

     (8) "Waiting or affiliation period" means the period of time specified in a pet insurance

policy that is required to transpire before some or all of the coverage in the policy takes effect.

     27-82-2. Required notice.

     A policy of pet insurance that is marketed, issued, amended, renewed, or delivered, whether

or not in Rhode Island, to a Rhode Island resident, on or after July 1, 2021, regardless of the situs

of the contract or master group policyholder, or the jurisdiction in which the contract was issued or

delivered, shall disclose in bold print of the policy:

     (1) Any coverage exclusion due to any of the following:

     (i) A preexisting condition;

     (ii) A hereditary disorder;

     (iii) A congenital anomaly or disorder;

     (iv) A chronic condition.

     (2) If the policy contains any other exclusion, then the following statement shall be

included: "Other exclusions may apply. Please refer to the exclusions section of the policy for more

information."

     (3) If the coverage is reduced through a waiting or affiliation period, a deductible,

coinsurance, or an annual or lifetime policy limit.

     (4) Reduces coverage or premiums are increased based on the insured's claim history.

     27-82-3. Wellness coverage.

     (a) Any pet insurance policy marketed, issued, amended, renewed, or delivered pursuant

to the provisions of this chapter may offer options for the reimbursement of routine and preventive

pet care expenses related to and/or associated with, at a minimum, the following services and care,

collectively to be known as "wellness care":

     (1) Urinalysis testing, heartworm prevention, flea and tick prevention, and blood, fecal and

parasite exams;

     (2) Vaccinations and tilters;

     (3) Spay/neuter surgery and associated follow-up care;

     (4) Cremation or burial;

     (5) Hip dysplasia examinations. Radiographs, or other Orthopedic Foundation for Animals

("OFA") testing; and

     (6) Annual examinations.

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     (b) Any pet insurance policy marketed, issued, amended, renewed, or delivered pursuant

to the provisions of this chapter may offer options for reimbursement of wellness care in the form

of:

     (1) Additional coverage under the pet insurance policy, subject the policy's terms,

conditions and exclusions as well as additional premium(s), copayment(s), and/or insurance

deductible(s); or

     (2) Reimbursement-based plans as a product separate from the insurance coverage

provided under the policy whereby policyholders elect to set aside additional funds for wellness

care anticipated during the policy term with said funds to be repaid and reimbursed in full by the

carrier, and not subject premium(s), copayment(s) or insurance deductible(s), when said services

are provided during the policy term.

     27-82-5. Rules and regulations.

     The superintendent of insurance, department of business regulation shall promulgate rules

and regulations to implement the provisions of this chapter.

     SECTION 2. This act shall take effect on July 1, 2021.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO INSURANCE -- PET INSURANCE

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     This act would provide that pet insurance policies provide notice in bold print of coverage

exclusions and provide coverage for routine and preventative care and be allowed to provide

coverage for wellness visits.

     This act would take effect on July 1, 2021.

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