Democratic Leader Proposes Legislation Aimed at Protecting Maine's Senior Citizens

Senate Democratic Leader Barry Hobbins of Saco testified today during the Joint Standing Committee on Insurance and Financial Services regarding a bill he sponsored, An Act to Permit Senior Citizens to Designate a 3rd Party to Receive Notice of Cancellation of Insurance Policies (LD 313), which permits insured persons 65 years of age or older to designate a third party to also receive insurance policy cancellation notices. The intent of LD 313 is to protect those suffering from cognitive impairment, including early forms of dementia, by making sure health, life, Medicare supplement or long-term care insurance policies or benefits are not lost due to a lapsed policy or accidental termination.

“It is important that we do all that we can to protect Maine’s senior citizens,” said Hobbins. “By asking insurance companies to take an extra step, our seniors will be protected against the devastating consequences of a lapsed or cancelled insurance policy.”

In Maine there are more than 200,000 people age 65 and older. By 2020, the numbers of senior citizens is expected to increase to more than 184,000. About 30,400 people in Maine are affected by Alzheimer’s and thousands more have other forms of dementia.

During his testimony, Hobbins pointed out the financial implications for an unintended policy cancellation. “If a senior citizen were to lose their personal policy coverage, chances are they would qualify for MaineCare and the cost would shift over to the state.”

The Insurance and Financial Services Committee wrapped up public testimony today and will go in to work session within the week.

Senator Hobbins represents State Senate District 5 which includes Buxton, Dayton, Old Orchard Beach, Saco, and part of Biddeford.