New Notice Requirements in PA & SC

February 3, 2021

The states of Pennsylvania and South Carolina announced new rules starting in 2021. At the time of policy delivery, we must give IDI policyowners the state’s notice of guaranty association protection.

The Notice of Protection Provided by Pennsylvania Life and Health Insurance Guaranty Association and the Summary of South Carolina Life and Accident and Health Insurance Guaranty Association Act explain protections for policyowners if their carrier can’t meet its financial obligations.

We began issuing Pennsylvania’s notice with all Pennsylvania policies on Jan. 4, 2021. We’ll add the South Carolina notice next week.

Please be sure your producers in those states are aware of the new rule. In addition, state laws prohibit insurers and producers from using the notice or the state’s guaranty association to solicit or induce a person to purchase insurance.

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