Section Ins 1002.08 - Claims Payments(a) No insurer shall refuse to grant advance payments on a claim because the insured or claimant has retained an attorney for the purpose of facilitating recovery on his or her behalf.(b) The form of payment of a claim shall allow the claimant or insured ready access to claim funds and comply with one of the following methods: (1) Delivery of payment by paper check or draft to the insured or claimant;(2) With the prior verifiable authorization of the insured or claimant, direct deposit to a claimant's or insured's financial account; or(3) With the prior verifiable authorization of the insured or claimant, delivery of a debit card, bank card, or other similar card, procured by arrangement between the insurer and financial institution, whereby the claim payment to the consumer is transferred from the insurer to the financial institution and held in an account at the financial institution, provided: a. Prior to securing the verifiable authorization of the insured or claimant for payment by such card, the insurer shall provide a written disclosure including: 1. All options for withdrawal of funds; and2. An itemized list of any transaction or other fees or charges that may be assessed to the insured or claimant using the card, including those by third parties;b. The contract between the insurer and financial institution shall ensure that the insured or claimant will receive written advance notice of any change to the terms and conditions of the card until such time as the claimant or insured has expended all funds on the card;c. Authorization to receive claim payments by one of the methods set out in (b)(1), (b)(2) or (b)(3) shall be established for each claim at or after the time of the claim, and the selection of that method of payment shall not prohibit the insured or claimant from changing the method of payment for future claim payments arising from the same claim nor shall it bind the insured or claimant to selection of the same method of payment for future claims;d. The card: 1. Shall permit the claimant or insured at least one opportunity to withdraw the full amount provided on the card without charge; or2. If the card does not provide for at least one opportunity to withdraw the full amount without charge as described in d.1. above, the insurer shall: (i) Obtain an express written waiver from the insured or claimant of the right to a single, free opportunity to withdraw the card funds; or(ii) Upon the request of the insured or claimant, send the consumer without charge, by overnight delivery, a check for the lesser of: i. The full amount issued on the card; orii. The remaining balance;e. Upon delivery of the card the insurer shall provide the insured or claimant: 1. A written statement confirming the amount available on the card as issued, to include information provided on the card itself indicating the amount available on the card as issued; or2. A toll free number and secure internet site where the consumer can confirm the amount available on the card as issued; andf. If the insured or claimant has not fully withdrawn or expended all funds in the card account: 1. Prior to the expiration of the card, a replacement card shall be issued at no cost to the insured or claimant; or2. Upon the expiration of the card, any remaining funds shall be transferred to the consumer using the methods described in (b)(1) or (2) of this paragraph.N.H. Admin. Code § Ins 1002.08
#8900, eff 7-1-07; ss by #10210, eff 12-1-12
Amended by Volume XXXV Number 45, Filed November 12, 2015, Proposed by #10962, Effective 10/26/2015, Expires 10/26/2025.