44-9307.

Unfair Insurance Trade Practices Act; applicability; unfair trade practices.

(1) All persons offering travel insurance to residents of this state are subject to the Unfair Insurance Trade Practices Act except as otherwise provided in this section. In the event of a conflict between the Travel Insurance Act and other provisions of the insurance laws of this state regarding the sale and marketing of travel insurance and travel protection plans, the provisions of the Travel Insurance Act shall control.

(2) Offering or selling a travel insurance policy that could never result in payment of any claims for any insured under the policy is an unfair trade practice.

(3)(a) All documents provided to consumers prior to the purchase of travel insurance, including, but not limited to, sales materials, advertising materials, and marketing materials, shall be consistent with the terms of the travel policy, including, but not limited to, forms, endorsements, policies, rate filings, and certificates of insurance.

(b) For travel insurance policies or certificates that contain preexisting condition exclusions, information and an opportunity to learn more about the preexisting condition exclusions shall be provided to consumers any time prior to the time of purchase of such travel insurance and in the fulfillment materials provided.

(c)(i) Fulfillment materials and the information described in subdivision (3)(a) of section 44-9304 shall be provided to a policyholder or certificate holder as soon as practicable following the purchase of a travel protection plan. Unless the insured has either started a covered trip or filed a claim under the travel insurance policy, a policyholder or certificate holder may cancel a policy or certificate for a full refund of the travel protection plan price from the date of purchase of a travel protection plan until at least:

(A) Fifteen days following the date of delivery of the travel protection plan fulfillment materials by postal mail; or

(B) Ten days following the date of delivery of the travel protection plan fulfillment materials by means other than postal mail.

(ii) For purposes of this subdivision, delivery means handing fulfillment materials to the policyholder or certificate holder or sending fulfillment materials by postal mail or electronic means to the policyholder or certificate holder.

(d) The travel insurance policy documentation and fulfillment materials shall disclose whether the travel insurance is primary or secondary to other applicable coverage.

(e) If travel insurance is marketed directly to a consumer through an insurer's website or through an aggregator site, it shall not be an unfair trade practice or other violation of law where an accurate summary or short description of the coverage is provided on the web page, so long as the consumer has access to the full provisions of the policy through electronic means.

(4) No person offering, soliciting, or negotiating travel insurance or travel protection plans on an individual or group basis may do so by using a negative option or opt out, which requires a consumer to take an affirmative action to deselect coverage, such as unchecking a box on an electronic form, when the consumer purchases a trip.

(5) It shall be an unfair trade practice to market blanket travel insurance coverage as free.

(6) When a consumer's destination jurisdiction requires insurance coverage, it shall not be an unfair trade practice to require that a consumer choose between the following options as a condition of purchasing a trip or travel package:

(a) Purchasing the insurance coverage required by the destination jurisdiction through the travel retailer or limited lines travel insurance producer supplying the trip or travel package; or

(b) Agreeing to obtain and provide proof of insurance coverage that meets the destination jurisdiction's requirements prior to departure.