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Governor Leavitt vetoes disability insurance amendments in Senate Bill 2
Summary
Governor Michael O. Leavitt on Feb. 26, 1993, vetoed Senate Bill 2 (disability insurance amendments), saying rulemaking by the insurance commissioner could achieve the bill's goals, while the bill raised constitutional and financial concerns for carriers; the vetoed bill was transmitted to the lieutenant governor for filing.
Governor Michael O. Leavitt transmitted a veto letter for Senate Bill 2 to the House on Feb. 26, 1993, and the communication was read into the House record.
In the letter, the governor said he had vetoed Senate Bill 2 (disability insurance amendments) and transmitted it to the lieutenant governor for filing. He wrote that the bill—s stated goal — better notification for disability insurance policyholders about reductions in benefits — "can be accomplished by another means, which is preferable to passing a new statute," and that he had directed the insurance commissioner to make rules to provide the same consumer protection the bill attempted to achieve.
The governor also cited constitutional concerns, saying the bill raised questions about the impairment of existing contracts, and expressed concern that compliance would impose an "undue financial hardship on the many disability insurance carriers that serve the citizens of Utah." The House noted the communication and the veto on the record; the transcript records no further legislative action on the veto in this session note.
