Florida Insurance Commissioner Kevin McCarty has submitted a report to legislative leaders detailing how life and health insurers are complying – or not – with a law regarding use of lawful past travel or future travel plans in insurance sales.  

The report to the president of the Florida senate and the speaker of the house of representatives details instances under which life insurance was denied, continuance was refused, or coverage was limited based on lawful future travel plans; the number of insurers taking such action; and the reason for taking each such action.

The law passed by the 2006 legislature says that an insurer may not refuse life insurance to; refuse to continue the life insurance of; or limit the amount, extent, or kind of life insurance coverage available to an individual based solely on the individual’s past lawful foreign travel experiences or future travel plans. 

The report shows that of the 516 life and health insurance companies licensed in Florida, 127 have been found to include travel-related questions in their applications and/or underwriting materials. So far, 15 instances have been identified where lawful travel-related questions have been used as a reason for refusal. 

On-site examinations are currently in progress to review approximately 8,500 relevant policies to determine if coverage was denied, refused or limited due to past lawful travel or future travel plans.  McCarty said he will be reviewing each instance where a violation of the new law has been identified to determine if fines or penalties are warranted.  

The 2007 Report on Life Insurance Limitations on Freedom to Travel can be found at http://www.floir.com/pdf/FreedomtoTravelReport.pdf and the appendices can be found at http://www.floir.com/pdf/Appendices1.pdf.