Title 38a, Title 38a: Insurance

Sec. 38a-610. (Formerly Sec. 38-222). Maintenance of institutions for benefit of members. (a) A society may create, maintain and operate charitable, benevolent or educational institutions for the benefit of its members and their families and dependents and for the benefit of chil…

Sec. 38a-611. (Formerly Sec. 38-233). Reinsurance. A domestic society may, by a reinsurance agreement, cede any individual risk or risks in whole or in part to an insurer, other than another fraternal benefit society, having the power to make such reinsurance and authorized to do…

Sec. 38a-612. (Formerly Sec. 38-235). Use of assets. Proportion to be used for expenses. All assets shall be held, invested and disbursed for the use and benefit of the society and no member or beneficiary shall have or acquire individual rights therein or become entitled to any …

Sec. 38a-613. (Formerly Sec. 38-236). Investments. A society shall invest its funds only in such investments as are authorized by the laws of this state for the investment of assets of life insurance companies and subject to the limitations thereon. Any foreign or alien society p…

Sec. 38a-614. (Formerly Sec. 38-237). Annual report. Synopsis mailed to members. Valuation of certificates. Reserves. (a) A society shall file reports and publish synopses of annual statements in accordance with the provisions of this subsection. (1) Each domestic society transac…

Sec. 38a-615. (Formerly Sec. 38-237a). Additional filings. Capital and surplus requirements for certain associations. (a) In addition to the annual report required under section 38a-614, the commissioner, when the commissioner deems it necessary, may require any fraternal benefit…

Sec. 38a-616. (Formerly Sec. 38-238). Examination of domestic society by commissioner. (a) The commissioner, or any person he may appoint, shall have the power of visitation and examination into the affairs of any domestic society and he shall make such examination at least once …

Sec. 38a-617. (Formerly Sec. 38-239). Examination of foreign or alien society. The commissioner, or any person whom he may appoint, may examine any foreign or alien society transacting or applying for admission to transact business in this state. He may employ assistants and he, …

Sec. 38a-618. (Formerly Sec. 38-240). Statement affecting status of society prohibited pending answer of society. Pending, during or after an examination or investigation of a society, domestic, foreign or alien, the commissioner shall not make public any financial statement, rep…

Sec. 38a-619. (Formerly Sec. 38-241). Decisions of commissioner subject to Superior Court review. All decisions and findings of the commissioner made under the provisions of sections 38a-595 to 38a-626, inclusive, 38a-631 to 38a-640, inclusive, and 38a-800 shall be subject to rev…

Sec. 38a-620. (Formerly Sec. 38-242). Injunction or quo warranto action against domestic society. When the commissioner upon investigation finds that a domestic society: (a) Has exceeded its powers; (b) has failed to comply with any provision of sections 38a-595 to 38a-626, inclu…

Sec. 38a-621. (Formerly Sec. 38-243). Petition for injunction to be made only by Attorney General. No application or petition for injunction against any domestic, foreign or alien society, or branch thereof, shall be recognized in any court of this state unless made by the Attorn…

Sec. 38a-622. (Formerly Sec. 38-244). Misrepresentations, false statements prohibited. Penalties. No person shall cause or permit to be made, issued or circulated in any form: (a) Any misrepresentation or false or misleading statement concerning the terms, benefits or advantages …

Sec. 38a-623. (Formerly Sec. 38-245). Discrimination, rebates prohibited. Permissible benefits for value-added products or services. (a) For the purposes of this section, “customer” means an applicant, certificate holder, insured, potential insured or potential certificate holder…

Sec. 38a-624. (Formerly Sec. 38-246). Exemption from insurance laws. Except as herein provided, societies shall be governed by sections 38a-595 to 38a-626, inclusive, 38a-631 to 38a-640, inclusive, and 38a-800 and shall be exempt from all other provisions of the insurance laws of…

Sec. 38a-624a. Effect of marriage laws on determination of members or beneficiaries or provision of insurance. The marriage laws of this state shall not be construed to affect the ability of a fraternal benefit society to determine the admission of members as provided in section …

Sec. 38a-625. (Formerly Sec. 38-247). Exempt societies, orders and associations. (a) Nothing contained in sections 38a-595 to 38a-626, inclusive, 38a-631 to 38a-640, inclusive, and 38a-800 shall be so construed as to affect or apply to: (1) Grand or subordinate lodges of societie…

Sec. 38a-626. (Formerly Sec. 38-248). Penalties. Any person who wilfully makes a false or fraudulent statement in or relating to an application for membership or for the purpose of obtaining money from or a benefit in any society shall be fined not less than two thousand dollars …

Secs. 38a-627 to 38a-630. Reserved for future use. PART II BENEFITS

Sec. 38a-631. (Formerly Sec. 38-224). Types of benefits authorized. (1) A society authorized to do business in this state may provide for the payment of: (a) Death benefits in any form; (b) endowment benefits; (c) annuity benefits; (d) temporary or permanent disability benefits a…

Sec. 38a-632. (Formerly Sec. 38-224a). Additional benefits from special account. A society may pay benefits, other than insurance benefits, to its members from any special account or fund maintained for such purpose; provided, if such benefits are of such a nature that they could…

Sec. 38a-633. (Formerly Sec. 38-225). Insurance and branches for children. A society may provide for benefits on the lives of children under the minimum age for adult membership but not greater than eighteen years of age at time of application therefor, upon the application of so…

Sec. 38a-634. (Formerly Sec. 38-226). Nonforfeiture benefits, cash surrender values and certificate loans. A society may grant paid-up nonforfeiture benefits, cash surrender values, certificate loans and such other options as its laws may permit. As to certificates issued on and …

Sec. 38a-635. (Formerly Sec. 38-227). Officers and members not liable for benefits. The officers and members of the supreme, grand or any subordinate body of a society shall not be personally liable for payment of any benefits provided by a society. (1949 Rev., S. 6240; 1957, P.A…

Sec. 38a-636. (Formerly Sec. 38-228). Beneficiaries. Funeral benefits. (a) A member of a fraternal benefit society shall have the right at all times to change the beneficiary or beneficiaries in accordance with the constitution, laws or rules of the society. Every society by its …

Sec. 38a-637. (Formerly Sec. 38-229). Money or other benefits not liable to attachment. No money or other benefit, charity, relief or aid to be paid, provided or rendered by any society shall be liable to attachment, garnishment or other process, or to be seized, taken, appropria…

Sec. 38a-638. (Formerly Sec. 38-230). Benefit certificate. (a) Every society authorized to do business in this state shall issue to each benefit member a certificate specifying the amount of benefits provided thereby. The certificate, together with any riders or endorsements atta…

Sec. 38a-639. (Formerly Sec. 38-231). Certificate provisions. (a) No life benefit certificate may be delivered or issued for delivery in this state unless a copy of the form has been filed with, and approved by, the commissioner. (b) The certificate shall contain in substance the…

Sec. 38a-640. (Formerly Sec. 38-232). Forms of certificates to be filed with the commissioner. Approval. (a) No domestic, foreign or alien society authorized to do business in this state shall issue or deliver in this state any certificate or other evidence of any contract of acc…

Sec. 38a-645. (Formerly Sec. 38-249). Applicability. The provisions of sections 38a-645 to 38a-658, inclusive, shall apply to all life insurance and all accident and health insurance sold in connection with loans or other credit transactions except that sections 38a-647 to 38a-65…

Sec. 38a-646. (Formerly Sec. 38-250). Definitions. As used in sections 38a-645 to 38a-658, inclusive, except as otherwise provided herein: (1) “Credit life insurance” means insurance on the life of a debtor pursuant to or in connection with a specific loan or other credit transac…

Sec. 38a-647. (Formerly Sec. 38-251). Forms of insurance. Credit life insurance and credit accident and health insurance shall be issued only in the following forms: (a) Individual policies of life insurance issued to debtors on the term plan; (b) individual policies of accident …

Sec. 38a-648. (Formerly Sec. 38-252). Allowable amount of insurance. (a) The amount of credit life insurance shall not exceed the initial indebtedness. Where an indebtedness repayable in substantially equal installments is secured by an individual policy of credit life insurance,…

Sec. 38a-649. (Formerly Sec. 38-253). Term of insurance. The term of any credit life insurance or credit accident and health insurance shall, subject to the acceptance of the insurer, commence on the date when the debtor becomes obligated to the creditor, except that, where a gro…

Sec. 38a-650. (Formerly 38-254). Policy or certificate requirements. (a) All credit life insurance and credit accident and health insurance sold shall be evidenced by an individual policy or, in the case of group insurance, by a certificate of insurance, which individual policy o…

Sec. 38a-651. (Formerly Sec. 38-255). Filing of policies, certificates, riders with commissioner. Disapproval. (a) All policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements and riders delivered in this state shall be filed wi…

Sec. 38a-652. (Formerly Sec. 38-256). Filing of rates. (a) Each insurer issuing credit life insurance or credit accident and health insurance shall file with the commissioner its schedules of premium rates for use in connection with such insurance. Any insurer may revise such sch…

Sec. 38a-653. (Formerly Sec. 38-257). Policies to be delivered or issued only by authorized insurers. All policies of credit life insurance and credit accident and health insurance shall be delivered or issued for delivery in this state only by an insurer authorized to do insuran…

Sec. 38a-654. (Formerly Sec. 38-258). Processing of claims. (a) All claims shall be promptly reported to the insurer or its designated claim representative, and the insurer shall maintain adequate claim files. All claims shall be settled as soon as reasonably possible and in acco…

Sec. 38a-655. (Formerly Sec. 38-259). Option of debtor in furnishing insurance. When credit life insurance or credit accident and health insurance is required as additional security for any indebtedness, the debtor shall, upon request to the creditor, have the option of furnishin…

Sec. 38a-656. (Formerly Sec. 38-260). Regulations. Enforcement. The commissioner may issue such regulations as are necessary for the implementation of sections 38a-645 to 38a-658, inclusive. Whenever the commissioner finds that there has been a violation of said sections or of an…

Sec. 38a-657. (Formerly Sec. 38-261). Appeals. Any party aggrieved by an order or decision of the commissioner may appeal therefrom in accordance with the provisions of section 4-183, except venue for such appeal shall be in the judicial district of New Britain. (1959, P.A. 576, …

Sec. 38a-658. (Formerly Sec. 38-262). Penalty. Any person, firm or corporation violating any provision of sections 38a-645 to 38a-658, inclusive, shall be fined not more than three thousand five hundred dollars or imprisoned not more than two years, or both. The commissioner may …

Sec. 38a-660. Bail bond insurance and agents. Licensing. Appointment. Examinations. Fees. Automatic expiration for nonpayment. Notice. (a) As used in this section and sections 38a-660a to 38a-660m, inclusive: (1) “Build-up funds” means a percentage of the premium received by a su…

Sec. 38a-660a. Notice to courts and police departments of licensees. The Insurance Commissioner shall furnish to all courts and to all organized police departments in the state, the names, principal business addresses and telephone numbers of all persons licensed as surety bail b…

Sec. 38a-660b. Premium rates. (a) No surety bail bond agent shall execute a bail bond without charging the premium rate approved by the commissioner pursuant to chapter 701. (b) Not later than the tenth day of each month, each surety bail bond agent shall certify to the commissio…