INSURANCE DISCRIMINATION ELECTED OFFICIAL

Plain English Breakdown

The effective date is not provided in the source text, only that it applies to policies issued or renewed on or after that unknown date.

Alaska HB5: Insurance Rules for Elected Officials

This bill stops insurance companies in Alaska from making certain decisions about coverage just because a person is an elected official.

What This Bill Does

• Prohibits insurers from refusing to issue or renew policies based solely on someone being an elected official.
• Stops insurers from limiting the scope of coverage, canceling existing policies, or denying claims for this reason.
• Prevents insurers from raising premiums, fees, or rates just because a person holds public office.
• Allows these actions if they are based on sound underwriting principles related to actual loss experience.
• Applies only to insurance contracts issued, delivered, or renewed after the law takes effect.

Who It Names or Affects

• Insurance companies doing business in Alaska
• State legislators and members of Congress from Alaska
• The governor and lieutenant governor
• Local mayors, city council members, borough assembly members, school board members, and constitutional convention delegates

Terms To Know

Elected official

A person holding a public office such as legislator, mayor, governor, or school board member.

Underwriting principles

Rules insurers use to decide risk and set prices based on data about potential losses.

Limits and Unknowns

• The law does not stop insurance decisions if they are required by other laws or regulations.
• Insurers can still change coverage terms if the decision is tied to actual loss experience, not just job status.
• The specific date this bill becomes effective has not been set in the provided text.

Official Summary Text

INSURANCE DISCRIMINATION ELECTED OFFICIAL
An Act prohibiting certain insurance decisions based solely on a person's status as an elected official.

Current Bill Text

HB0005a -1- HB 5
New Text Underlined [DELETED TEXT BRACKETED]

34-LS0158\A

HOUSE BILL NO. 5

IN THE LEGISLATURE OF THE STATE OF ALASKA

THIRTY-FOURTH LEGISLATURE - FIRST SESSION

BY REPRESENTATIVES MCCABE, Rauscher

Introduced: 1/22/25
Referred: State Affairs, Labor and Commerce

A BILL

FOR AN ACT ENTITLED

"An Act prohibiting certain insurance decisions based solely on a person's status as an 1
elected official." 2
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 3
* Section 1. AS 21.36 is amended by adding a new section to article 5 to read: 4
Sec. 21.36.525. Decisions based on elected official status. (a) A person 5
transacting insurance in this state may not, solely because of a person's status as an 6
elected official, 7
(1) refuse to issue or renew insurance coverage; 8
(2) limit the scope of insurance coverage; 9
(3) cancel an existing policy of insurance; 10
(4) deny a covered claim; or 11
(5) increase the premium, policy fees, or rates charged on an insurance 12
policy. 13
(b) The provisions of (a) of this section do not apply if the refusal, limitation, 14
34-LS0158\A
HB 5 -2- HB0005a
New Text Underlined [DELETED TEXT BRACKETED]

cancellation, denial, or increase is 1
(1) based on sound underwriting or actuarial principles reason ably 2
related to actual or anticipated loss experience; or 3
(2) required or authorized by law or regulation. 4
(c) In this section, "elected official" means a member of the legislature, the 5
governor, the lieutenant governor, a member of the state's cong ressional delegation, a 6
constitutional convention delegate, a borough or city mayor, or a member of a borough 7
or city assembly, council, or school board. 8
* Sec. 2. The uncodified law of the State of Alaska is amended by adding a new section to 9
read: 10
APPLICABILITY. This Act applies to an insurance policy or contr act issued, 11
delivered, or renewed on or after the effective date of this Act. 12