AN ACT TO AMEND TITLE 13 OF THE DELAWARE CODE RELATING TO CHILD SUPPORT LIENS ON INSURANCE CLAIM PAYMENTS.

This Act will increase payments of child support arrears or retroactive support from payments for settlements and awards from negligence, personal injury, and workers compensation cases by requiring that all insurers share information with an insurance claim data collection organization. The Division of Child Support Services ("Division") uses an insurance claim data collection organization to match individuals who are in arrears on child support or who owe retroactive child support with individuals with insurance claims based upon negligence, personal injury, or workers' compensation cases. The data collection organization performs a data match of the claimants provided by insurers and child support obligors provided by the Division. The data collection organization provides reports of matches to the Division so that the Division can issue a lien against the insurance claim to collect the child support arrears or retroactive support. Currently, some insurers voluntarily submit claim information to the insurance claim data collection organization and in 2018, $424,977 in unpaid child support was collected through this process. This Act requires that all insurers submit claim information to the insurance claim data collection organization and is expected to collect an additional $150,000 - $200,000 in unpaid child support. This Act also allows written notice of a lien or action to perfect the lien to be sent by electronically or by first class mail to conform to industry practices. This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual.