Layman's Terms
Advocacy Update: Back to Work - TN Legislature Reconvenes for an Unconventional Session Insurors Director of Government Relations, Jim Layman, J.D., breaks down the legal and legislative issues facing our industry. The Tennessee Legislature convened the 112th General Assembly on Tuesday, January 12 under unusual and uncertain circumstances in the midst of an ongoing pandemic. One of the most important parts of the legislative process, and important functions of an Association like ours, is providing public input on pending legislation. However, the pandemic has greatly impacted the way in which lobbyists do their jobs and the access we have to impact the legislative process. Appointments to meet with legislators are strictly enforced while attendance at committees are limited and days on the hill and legislative receptions are largely prohibited. Despite these hurdles, the Legislature will continue its business of passing a budget and considering bills and we’ll be making an impact.
Subcommittee, where workers’ comp bills will likely be heard, is chaired by State Farm agent Rep. Clark Boyd (R-Lebanon). Other Insurors members received the following appointments: Rep. Michael Curcio (R-Dickson) – Chair of Criminal Justice Committee, Rep. Ron Gant (R-Rossville) – Assistant Majority Leader and Finance Committee, Rep. Kelly Keisling (R-Byrdstown) – Chair of State Government Committee, Sen. Mark Pody (R-Lebanon) – Vice-Chair of Transportation, Rep. Bo Mitchell (D-Nashville) – Insurance Committee, and our CEO, Rep. Ron Travis, was appointed to the Agriculture and Naming & Designating Committees. The partisan makeup of the chambers remains largely unchanged from the last general assembly as the Democrats pick up one seat in the Senate and there was no change in the House. The Republicans hold a 27-6 advantage in the Senate and 73-26 advantage in the House.
Leaders and Committee Structure
Issues to Watch
Sen. Randy McNally (R-Oak Ridge) was elected to his third term as Lieutenant Governor and Speaker of the Senate, while Rep. Cameron Sexton (R-Crossville) was elected to his first full term as Speaker of the House following his election as Speaker in August 2019 after the resignation of Rep. Glen Casada (R-Franklin). The Legislature also chose a new Comptroller as former state representative Jason Mumpower was selected to succeed Justin Wilson. In the Senate, Sen. Paul Bailey (RSparta) was reappointed as Chairman of the Commerce and Labor Committee, where insurance bills are considered, while Sen. Shane Reeves (R-Murfreesboro) and Sen. Ken Yager (RKingston) are new members on the Committee. Additionally, Sen. Brian Kelsey (R-Germantown) was appointed Chairman of the Education Committee, while Sen. Richard Briggs (RKnoxville) was appointed Chairman of the State & Local Government Committee.
Here are just a few of the issues we expect to work on this year:
In the House, Speaker Sexton restructured committees from the format Casada had installed. The main committees of consequence for insurance bills will be the Insurance Committee, chaired by Rep. Sabi “Doc” Kumar (R-Springfield), and the Commerce Committee, chaired by Rep. Kevin Vaughan (R-Collierville). The Insurance Subcommittee is chaired by Rep. David Hawk (R-Greeneville) while the Banking and Consumer Affairs Subcommittee is chaired by Insurors member Rep. Dennis Powers (R-Jacksboro) and the Business & Utilities
The Tennessee Insuror
Cybersecurity A couple of years ago, the National Association of Insurance Commissioners (NAIC) adopted a model data security law that imposes certain data security program requirements and notification requirements on both insurance companies and agencies, and 11 states have already passed a version of this model. The Tennessee Department of Commerce and Insurance (TDCI) is advocating for a similar proposal here. Members of the Big "I" government affairs staff worked on this model law heavily when it was being considered by the NAIC. Thanks in part to those efforts, the program requirements are pretty general and flexible in nature, and the notification requirements are to TDCI only; however, we will be working with the Department and legislators on continuing to improve the proposal. Best Interest Standard for Annuities Another NAIC model policy, this regulation which several states have adopted and several others are currently considering, would require agents to meet certain criteria and requirements before selling annuities as well as act in the best
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