Life Insurance; a policy of group life insurance from excluding or restricting liability for certain deaths occurring while an individual is an active duty service member; prohibit
Summary
SB 109 amends Georgia’s insurance code to limit the ability of group life insurance policies to deny or reduce coverage based on an insured person’s status as a service member. Under the bill, a group life policy delivered or issued for delivery in Georgia may not contain a provision that excludes or restricts liability for death occurring while the insured is a member of the regular or reserve component of the U.S. armed forces, so long as the death is not directly or indirectly caused by war or a war-related hazard.
The bill leaves intact existing law that allows certain exclusions in life insurance policies generally, including exclusions for war, aviation, hazardous occupations, residence outside the continental U.S. and Canada, and suicide within two years. It specifically carves out group life insurance from the broader rule and adds a new protection for service members, while preserving the Commissioner’s authority to approve policy language that is more favorable to policyholders. The act takes effect on the first day of the month after gubernatorial approval or becoming law without approval.
Impact
SB 109 changes Chapter 25 of Title 33 of the Official Code of Georgia Annotated by adding a new restriction on group life insurance exclusions tied to military service. Insurers issuing group life policies in Georgia would be prohibited from denying or limiting death benefits solely because the insured was serving in the armed forces, except where the death is connected to war or a war-related hazard. The bill does not alter the existing statutory exclusions for individual life insurance policies beyond this targeted group-life provision, but it does affect insurers, employers offering group coverage, service members, and beneficiaries.
Sentiment
The bill appears to have been broadly supported and noncontroversial. It passed the Senate 53-0 and the House 172-0, indicating unanimous approval in both chambers. The available record contains no committee transcript debate, suggesting little or no public opposition during the legislative process.
Contention
There is little evidence of substantive contention in the available materials. The main policy issue is the scope of the protection: the bill specifically targets group life insurance and service members, while preserving the traditional war-related exclusion. Any potential concern would likely center on insurer underwriting and the interaction with existing military-related exclusions, but no recorded objections or divided votes appear in the provided history.