HB 25-1205

HB 25-1205, also known as "Implement Fair Access to Insurance Requirements Plans," clarifies that the association providing insurance coverage under fair access plans is not a state agency or an insurance company. It protects members of this association and its employees from legal action except for specific cases involving contract breaches. The bill has been signed into law, meaning it is now official legislation in Colorado and will be enforced as part of the state's regulations regarding insurance requirements.

Official Summary

The act specifies that the fair access to insurance requirements plan association (association) is not: A department, unit, agency, political subdivision, or instrumentality of the state; or An insurance company or a person engaged in the business of insurance. The act also grants a member insurer, the association and its agents or employees, the board of directors of the association, and the commissioner of insurance or the commissioner's representatives immunity for any action taken by them in the performance of their powers and duties for the association. The act specifies that the only causes of action and remedies available to a policyholder of a fair access to insurance requirements plan policy against the association is for breach of contract or breach of the common law covenant of good faith and fair dealing. (Note: This summary applies to this bill as enacted.)

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