Sanborn bill to bring transparency to pet insurance, protect consumers gets unanimous support in Senate
AUGUSTA – On Tuesday, a bill from Sen. Heather Sanborn, D-Portland, received unanimous, bipartisan support in the Maine Senate. The bill, LD 482, “An Act Regarding Pet Insurance,” would regulate and bring transparency to the pet insurance market.
“Today, more and more people are using pet insurance and realizing the value that it can have,” said Sen. Sanborn. “However, consumers can often be misled or misunderstand the coverage they actually have or what their out-of-pocket costs will look like down the line. This bill will ensure that Mainers are clearly aware of the terms and conditions of a pet insurance policy up front, and even give them a 15-day window to inspect the policy further and get a refund if they so choose. These changes will provide much needed protections to consumers as they shop for these policies.”
As amended, LD 482 utilizes “model act” language developed by the National Association of Insurance Commissioners’ pet insurance working group, which has been meeting for years. The bill would protect consumers and bring clarity and transparency to pet insurance plans by defining commonly used terms in statute, requiring that insurance companies clearly disclose what policies do and do not cover, giving consumers the right to review and return a policy within 15 days of purchase, and more. The law would take effect in 2023.
The bill faces additional votes in the Senate and House.