Bill Summary for Bill Number HB12-1071

Date: 02/02/2012

Final
BILL SUMMARY for HB12-1071

HOUSE COMMITTEE ON ECONOMIC AND BUSINESS DEVELOPMENT

Votes: View-->	Action Taken:
Moved amendment L.001 (Attachment A), as amended. Moved amendment L.003 to amendment L.001 (Attachme Moved amendment L.004 (Attachment B) to amendment Moved to refer House Bill 12-1071, as amended, to	Pass Without Objection Pass Without Objection Pass Without Objection PASS

01:08 PM -- House Bill 12-1071

Representative Liston, prime sponsor, presented House Bill 12-1071 concerning portable electronics insurance. Portable electronics insurance provides coverage for the repair or replacement of portable electronic devices due to loss, theft, mechanical failure or malfunction, or other similar causes of loss. This bill allows an employee or authorized representative of a vendor of portable electronic devices to sell insurance on those devices as long as certain conditions are met. Vendors are required to obtain a limited lines producer license, train their employees on portable electronics insurance, and provide informational materials to consumers. A vendor may compensate its employees or authorized representatives for sales of portable electronics insurance but must not compensate them based primarily on the number of customers enrolled for coverage. A supervising entity, which can be an insurance company or insurance producer authorized by an insurance company, must supervise the administration of any portable electronics insurance program. The supervising entity must maintain a registry of authorized vendor locations which must be open for inspection and examination by the Commissioner of Insurance. Representative Liston mentioned that AT&T also supports the bill and T-Mobile, Verizon, and others do not have issues with the bill.

Representative Liston moved and distributed a strike below, Amendment L.001 (Attachment A).

01:15 PM

Representative Wilson asked whether there are any insurers that would be excluded from selling this type of insurance under the bill. Representative Liston talked about the companies that offer this type of insurance. Representative Williams asked how the insurance policy works when switching phone service providers. Representative Soper asked the sponsor to explain why workmanship is excluded from portable electronics insurance.

01:26 PM -- Stephen McDaniel, representing Asurion, testified in support of the bill. He addressed Representative Williams' question stating that the insurance policy is with the carrier, so when a consumer moves carriers the policy is cancelled with the carrier and is offered by the new carrier. Mr. McDaniel explained that it is a limited line producer license. Representative Balmer asked about the number of insurers that hold this type of license. Representative Tyler questioned the accuracy of the provision in the bill that requires a vendor to hold a limited line producer license in order to provide coverage.

01:37 PM -- Andrew Newell, representing Viaero Wireless, came to the table to respond to questions regarding the amendment.


BILL:	HB12-1071
TIME:	01:40:16 PM
MOVED:	Liston
MOTION:	Moved amendment L.001 (Attachment A), as amended. The motion passed without objection.
SECONDED:	Holbert
		VOTE
	Balmer
	Holbert
	Miklosi
	Priola
	Singer
	Soper
	Swerdfeger
	Szabo
	Tyler
	Williams A.
	Wilson
	Swalm
	Liston

YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB12-1071
TIME:	01:42:56 PM
MOVED:	Liston
MOTION:	Moved amendment L.003 to amendment L.001 (Attachment C). The motion passed without objection.
SECONDED:	Wilson
		VOTE
	Balmer
	Holbert
	Miklosi
	Priola
	Singer
	Soper
	Swerdfeger
	Szabo
	Tyler
	Williams A.
	Wilson
	Swalm
	Liston

YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB12-1071
TIME:	01:42:32 PM
MOVED:	Tyler
MOTION:	Moved amendment L.004 (Attachment B) to amendment L.001. The motion passed without objection.
SECONDED:	Williams A.
		VOTE
	Balmer
	Holbert
	Miklosi
	Priola
	Singer
	Soper
	Swerdfeger
	Szabo
	Tyler
	Williams A.
	Wilson
	Swalm
	Liston

YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB12-1071
TIME:	01:45:43 PM
MOVED:	Liston
MOTION:	Moved to refer House Bill 12-1071, as amended, to the Committee of the Whole. The motion passed on a vote of 13-0.
SECONDED:	Balmer
		VOTE
	Balmer	Yes
	Holbert	Yes
	Miklosi	Yes
	Priola	Yes
	Singer	Yes
	Soper	Yes
	Swerdfeger	Yes
	Szabo	Yes
	Tyler	Yes
	Williams A.	Yes
	Wilson	Yes
	Swalm	Yes
	Liston	Yes

YES: 13 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS