Permitted Trade Practices/Insurance Rebates.-AB

SB 271 clarifies permitted insurance rebate practices in North Carolina by defining specific exceptions to existing rebate prohibitions. It allows insurers and producers to offer value-added services (like risk assessments, financial wellness tools, or post-loss support) at no or reduced cost, provided they meet criteria such as being reasonably priced relative to premiums and not being discriminatory. The bill also permits non-cash gifts under $250 per policy term and small raffles with prizes under $250, as long as they don’t require insurance purchases. These provisions directly affect insurers, producers, and their employees who market or sell insurance policies. The bill explicitly maintains bans on direct premium rebates or "free" insurance promotions not specified in the policy.