OLR Bill Analysis

sSB 291

AN ACT CONCERNING HOMEOWNERS INSURANCE POLICIES FOR PEOPLE WHO OWN DOGS THAT HAVE BITTEN A PERSON.

SUMMARY:

This bill prohibits an insurer from cancelling or not issuing, delivering, renewing, amending, or continuing a homeowner's insurance policy solely because the homeowner's dog has bitten a person or animal.

The bill requires an insurer to offer a homeowner whose dog has bitten a person or animal the option of (1) excluding the dog from the policy or (2) covering the dog under a policy rider, for which the insurer could set a separate rate. The bill prohibits the rate from being excessive, inadequate, or unfairly discriminatory.

Under the bill, if a homeowner elects to exclude the dog from the policy, the insurer will not be strictly liable for damage or injuries the dog causes.

The bill also makes technical changes.

EFFECTIVE DATE: October 1, 2009

BACKGROUND

Rating Plans

By law, insurers must file policy rates with the insurance commissioner in accordance with law in a form and manner he prescribes. Each insurer that issues homeowners' insurance policies in Connecticut must file with the commissioner the rules and regulations it uses to determine whether or not to underwrite such policies. The law authorizes the commissioner to adopt regulations concerning rating plans.

Strict Liability

Strict liability is liability that does not depend on a showing of negligence or intent to harm but is an absolute duty. By law, an insurer that insures against loss or damage due to accidental bodily injury or death or property damage is strictly liable for any loss that the policy covers.

COMMITTEE ACTION

Insurance and Real Estate Committee

Joint Favorable