By Mr. Sannicandro of Ashland, petition (accompanied by bill, House, No. 1072) of Tom Sannicandro and others relative to the rights of life insurance holders.  Financial Services.

The Commonwealth of Massachusetts

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PETITION OF:

Tom Sannicandro

Geraldo Alicea

Christine E. Canavan

David B. Sullivan

Karen E. Spilka

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In the Year Two Thousand and Seven.

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An Act Relative to the rights of life insurance holders.

    Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:

SECTION 1.

Chapter 175 of the General Laws, as appearing in the 2005 official edition, is hereby amended by inserting after section 186B the following section:

Section 186C  Life insurance holders,”holders”, can not be deemed to have violated section 186 in the manner of misrepresentation to increase the risk of loss of life companies, if holder is determined to be in good health at the time of policy being issued.

For insurance purposes, a person should be deemed to be in “good health” at the time a policy is issued if at that time the following three conditions are met:

(A) The person has no identified symptoms that are caused by a disease that would result in legitimate immensurability, as observed by the life company’s medical examination process.

(B) The person does not have or attempt to conceal a current diagnosis of a disease that would result in uninsurability.

(C) The insurance company has had an opportunity to medically examine the person.