Committee approves cleanup bill to align licensing language for insurance and PBM administrators

Bismarck — The Senate Human Services Committee voted unanimously to recommend House Bill 1087, a housekeeping measure from the Insurance Department that replaces references to a “certificate of authority” with “license” in the producer-licensing statutes and clarifies registration language for administrators of life, health and pharmacy benefit managers.

Janelle Mittelstedt, division director for producer licensing with the North Dakota Insurance Department, told the committee, “This is an agency bill addressing verbiage related to licensing for administrators of life, health and pharmacy benefit managers.” She said the change replaces company-side language (certificate of authority) with license language appropriate for producer licensing in chapter 26, improving clarity and consistency in statute.

Mittelstedt noted the bill is strictly verbiage cleanup and not the substantive pharmacy benefit manager policy measure that had been discussed in a separate bill (House Bill 1584). Committee members thanked staff for the clarification and moved the bill forward.

Senator Rohrs moved that the committee recommend do pass on House Bill 1087; the motion was seconded by Senator Hogan. The roll call recorded aye votes from Senators Lee, Weston, Rohrs, Hogan, Van Osteen and Clemens and the motion passed 6-0. The committee recorded that no fiscal note was attached to the bill during the hearing and a senator volunteered to carry the bill to the floor.

The measure is intended to align statutory language with current licensing practice and ease administration for the department and regulated producers.