Sec. 1. 24-A MRSA §2188 is enacted to read:

§2188.__Rebate payments

If an insurer resolves a dispute with a client over the terms of an insurance contract and that resolution results in an agreement that the insurer will reimburse funds to the client, the insurer shall issue the funds within 10 working days of the date of the agreement.__The superintendent may levy a penalty of up to $100 a day for each day over the 10- day limit an insurer fails to pay a reimbursement agreed to under this section.

SUMMARY

This bill requires an insurer who agrees to reimburse funds to a client concerning a dispute over the terms of an insurance contract to issue the funds within 10 business days of the agreement or be subject to a fine of $100 a day from the Superintendent of Insurance.