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Please see http://docs.legis.wisconsin.gov for the production version.
Unfair marketing practices
The bill prohibits the marketing of blanket travel insurance as free and the
offering or selling of a travel insurance policy that could never result in payment of
any claims for any insured. The bill specifies that it is not an unfair marketing
practice to include a summary of policy coverage on an Internet site marketing travel
insurance so long as the summary is accurate and prospective purchasers have
access to the policy's full provisions through electronic means. The bill also specifies

that it is not an unfair marketing practice for a travel retailer or limited lines travel
insurance producer to require that a person purchasing a trip to a location that
requires insurance coverage choose, as a condition of purchasing the trip, between
purchasing the coverage through the travel retailer or producer or agreeing to obtain
and provide proof of coverage prior to departure.
Other provisions
The bill specifies that travel insurance may be offered as a blanket policy. The
bill also specifies that an intermediary licensed in a major line of authority is
authorized to sell, solicit, and negotiate travel insurance and that a property and
casualty insurance intermediary does not have to be appointed by an insurer to sell,
solicit, or negotiate travel insurance. Under the bill, travel insurance is generally
treated in a manner similar as marine insurance for purposes of rates and forms,
underwriting standards, and the state premium tax on foreign insurers. The bill
authorizes an insurer to establish and use eligibility and underwriting standards for
travel insurance based on travel protection plans designed for individual or
identified marketing or distribution channels so long as the standards meet any
requirements related to standards for inland marine insurance.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB491,1 1Section 1. 76.60 of the statutes is amended to read:
AB491,4,9 276.60 Fire, travel, and marine insurers; license fees. Every insurer doing
3a fire, travel, or marine insurance business, other than domestic insurers and
4insurers excepted under s. 76.61, shall pay to the state, in respect to travel or marine
5insurance a tax of 0.5 percent and in respect to fire insurance a tax of 2.375 percent
6on the amount of its gross premiums, as calculated under s. 76.62. In case any
7insurer discontinues business in this state and reinsures the whole or a part of its
8risks without making payment of this tax, the insurer accepting such reinsurance
9shall pay the tax. If several insurers make such reinsurance the tax shall be
10apportioned among the insurers in proportion to the original premiums upon the
11business in this state so reinsured by each such insurer. Upon the payment of the

1tax provided in this section, and the fees required by s. 601.31, such insurer may be
2licensed to transact its business until May 1 in the ensuing year, unless before then
3its license is revoked or forfeited according to law. In the case of travel insurance,
4the premiums subject to tax under this section are the premiums for travel
5insurance, as defined in s. 632.977 (1) (i), paid by an individual who is a resident of
6this state and who purchases travel insurance coverage under an individual or group
7policy or paid by a person who is a resident of or has a principal place of business in
8this state and who purchases blanket travel insurance, as defined in s. 632.977 (1)
9(a).
AB491,2 10Section 2. 628.02 (1) (b) 8. of the statutes is amended to read:
AB491,4,1311 628.02 (1) (b) 8. A travel retailer, as defined in s. 632.977 (1) (d) (k), or an
12employee or authorized representative of a travel retailer, that offers and
13disseminates, as defined in s. 632.977 (1) (am) (f), travel insurance under s. 632.977.
AB491,3 14Section 3. 628.34 (15) of the statutes is created to read:
AB491,4,1515 628.34 (15) Travel insurance. (a) In this subsection:
AB491,4,1616 1. “Blanket travel insurance” has the meaning given in s. 632.977 (1) (a).
AB491,4,1817 2. “Limited lines travel insurance producer” has the meaning given in s.
18632.977 (1) (e).
AB491,4,1919 3. “Travel insurance” has the meaning given in s. 632.977 (1) (i).
AB491,4,2020 4. “Travel retailer” has the meaning given in s. 632.977 (1) (k).
AB491,4,2121 (b) No person may market blanket travel insurance as free.
AB491,4,2322 (c) No person may offer or sell a travel insurance policy that could never result
23in payment of any claims for any insured under the policy.
AB491,5,424 (d) When travel insurance is marketed to a prospective purchaser through the
25Internet site of the insurer or an aggregator Internet site that provides access to

1information on insurance products from more than one insurer, the inclusion on the
2Internet site of a summary of the travel insurance policy's coverage does not violate
3this section if the summary is accurate and the prospective purchaser has access to
4the policy's full provisions through electronic means.
AB491,5,115 (e) When a person purchases a trip or travel package to a destination
6jurisdiction that requires insurance coverage, a travel retailer or limited lines travel
7insurance producer supplying the trip or travel package does not violate this section
8by requiring that the person, as a condition of purchasing the trip or travel package,
9choose between purchasing the required coverage through the travel retailer or
10limited lines travel insurance producer or agreeing to obtain and provide proof of the
11required coverage prior to departure.
AB491,4 12Section 4. 629.01 (5) (g) of the statutes is created to read:
AB491,5,1313 629.01 (5) (g) A travel administrator, as defined in s. 632.977 (1) (g).
AB491,5 14Section 5. 632.977 of the statutes is repealed and recreated to read:
AB491,5,15 15632.977 Travel insurance. (1) Definitions. In this section:
AB491,5,1816 (a) “Blanket travel insurance” means a policy of travel insurance issued to an
17eligible group that provides coverage for specific classes of persons defined in the
18policy, without a separate charge to any individual group member.
AB491,5,2219 (b) “Cancellation fee waiver” means a contractual agreement between a
20supplier of travel services and a purchaser of the services to waive a nonrefundable
21cancellation fee provision of the underlying travel contract with or without regard
22to the reason for the cancellation or form of reimbursement.
AB491,5,2523 (c) “Eligible group” means two or more persons who are engaged in a common
24enterprise or have an economic, educational, or social affinity or relationship,
25including any of the following:
AB491,6,9
11. An entity engaged in the business of providing travel or travel services if,
2with regard to a particular travel or type of travel or travelers, all members or
3customers of the entity have a common exposure to the risk attendant to such travel.
4For purposes of this subdivision, “entity engaged in the business of providing travel
5or travel services” includes a tour operator, lodging provider, vacation property
6owner, hotel, resort, travel club, travel agency, property manager, cultural exchange
7program, and common carrier or operator, owner, or lessor of a means of
8transportation of passengers, including an airline, cruise line, railroad, steamship
9company, and public bus carrier.
AB491,6,1110 2. A college, school, or other institution of learning, covering any group of
11students, teachers, employees, or volunteers.
AB491,6,1312 3. An employer covering any group of employees, volunteers, contractors, board
13of directors, dependents, or guests.
AB491,6,1514 4. A sports team, camp, or sponsor of a sports team or camp, covering any group
15of participants, members, campers, employees, officials, supervisors, or volunteers.
AB491,6,1816 5. A religious, charitable, recreational, educational, or civic organization,
17including a branch of any such organization, covering any group of members,
18participants, or volunteers.
AB491,6,2219 6. A financial institution or financial institution vendor, or a parent holding
20company, trustee, or agent of or designated by one or more financial institutions or
21financial institution vendors, including accountholders, credit card holders, debtors,
22guarantors, or purchasers.
AB491,7,223 7. An incorporated or unincorporated association, including a labor union, that
24has a common interest, constitution, and bylaws and is organized and maintained

1in good faith for purposes other than obtaining insurance for its members or
2participants, covering any group of its members or participants.
AB491,7,63 8. Subject to the commissioner's permitting the use of a trust, a trust or its
4trustees if the trust is established, created, or maintained for the benefit of the
5members, employees, or customers of one or more associations described in subd. 7.,
6covering any group of the members, employees, or customers.
AB491,7,87 9. An entertainment production company covering any group of participants,
8volunteers, audience members, contestants, or workers.
AB491,7,109 10. A volunteer fire department, ambulance, rescue, police, or court or a first
10aid, civil defense, or similar volunteer group.
AB491,7,1111 11. A preschool, daycare institution for children or adults, or senior citizen club.
AB491,7,1612 12. An automobile or truck rental or leasing company covering any group of
13individuals who may become renters, lessees, or passengers defined by their travel
14status on the rented or leased vehicles. The common carrier, the operator, owner or
15lessor of a means of transportation, or the automobile or truck rental or leasing
16company, is the policyholder under a policy to which this section applies.
AB491,7,2017 13. Any other group for which the commissioner has determined that the
18group's members are engaged in a common enterprise or have an economic,
19educational, or social affinity or relationship, and that issuance of a travel insurance
20policy to the group is not contrary to the public interest.
AB491,7,2321 (d) “Fulfillment materials” means documentation sent to a purchaser of a
22travel protection plan that confirms the purchase of the plan and provides
23information about the plan's coverage and travel assistance services.
AB491,7,2524 (e) “Limited lines travel insurance producer" means a person licensed under
25sub. (4) (a) to sell, solicit, or negotiate travel insurance.
AB491,8,3
1(f) “Offer and disseminate" means to provide general information, including a
2description of coverage and price, as well as to process applications, collect
3premiums, and perform other activities permitted by statute or rule.
AB491,8,74 (g) “Travel administrator” means a person who directly or indirectly
5underwrites, collects charges or premiums from, or adjusts or settles claims of
6residents of this state in connection with travel insurance, but does not include any
7of the following:
AB491,8,108 1. An individual working for a travel administrator to the extent that the
9individual's activities are subject to the supervision and control of the travel
10administrator.
AB491,8,1211 2. An intermediary selling insurance or engaged in administrative and claims
12related activities within the scope of the intermediary's license.
AB491,8,1313 3. A travel retailer.
AB491,8,1514 4. An individual adjusting or settling claims while acting in his or her
15professional capacity as an attorney.
AB491,8,1816 5. A business entity that is affiliated with a licensed insurer while acting as a
17travel administrator for the direct and assumed insurance business of the affiliated
18insurer.
AB491,8,2219 (h) 1. “Travel assistance services” means services that are furnished in
20connection with planned travel, the provision of which does not result in the transfer
21or shifting of risk that would constitute the business of insurance, and for which the
22purchaser is not indemnified based on a fortuitous event.
AB491,9,623 2. “Travel assistance services” includes security advisories, destination
24information, vaccination and immunization information services, travel reservation
25services, entertainment, activity and event planning, translation assistance,

1emergency messaging, international legal and medical referrals, medical case
2monitoring, coordination of transportation arrangements, emergency cash transfer
3assistance, medical prescription replacement assistance, passport and travel
4document replacement assistance, lost luggage assistance, concierge services, and
5any other service furnished in connection with planned travel that meets the
6conditions of subd. 1.
AB491,9,87 (i) 1. “Travel insurance" means limited lines insurance coverage for personal
8risks incident to planned travel, including any of the following:
AB491,9,99 a. Interruption or cancellation of a trip or event.
AB491,9,1010 b. Loss of baggage or personal effects.
AB491,9,1111 c. Damages to accommodations or rental vehicles.
AB491,9,1212 d. Sickness, accident, disability, or death occurring during travel.
AB491,9,1313 e. Emergency evacuation.
AB491,9,1414 f. Repatriation of remains.
AB491,9,1715 g. As determined by the commissioner, any other contractual obligation to
16indemnify or pay a specified amount upon a determinable contingency related to
17travel.
AB491,9,1818 2. “Travel insurance" does not include any of the following:
AB491,9,2019 a. Major medical plans that provide comprehensive medical protection for trips
20lasting longer than 6 months.
AB491,9,2221 b. An insurance product that requires a specific insurance intermediary license
22other than the license required under sub. (4).
AB491,9,2323 c. Travel assistance services.
AB491,9,2424 d. Cancellation fee waivers.
AB491,10,2
1(j) “Travel protection plan” means a plan that provides travel insurance, travel
2assistance services, or cancellation fee waivers, or any combination of the 3 items.
AB491,10,43 (k) “Travel retailer" means a business entity that makes, arranges, or offers
4travel services.
AB491,10,8 5(2) Applicability. This section shall apply to travel insurance that covers a
6resident of this state and is sold, solicited, negotiated, or offered in this state and any
7travel insurance policy or certificate that is delivered or issued for delivery in this
8state.
AB491,10,10 9(3) General provisions. (a) Travel insurance may be provided in this state
10under an individual or group policy or as blanket travel insurance.
AB491,10,1711 (b) Travel insurance shall be classified and filed for purposes of rates and forms
12under an inland marine line of insurance, except that travel insurance may be filed
13under either an accident and health line of insurance or an inland marine line of
14insurance if the travel insurance provides coverage, either exclusively or in
15conjunction with coverage for emergency evacuation or repatriation of remains, for
16sickness, accident, disability, or death, or incidental limited property and casualty
17benefits such as baggage or trip cancellation, occurring during travel.
AB491,10,2218 (c) An insurer may establish and use eligibility and underwriting standards for
19travel insurance based on travel protection plans designed for individual or
20identified marketing or distribution channels so long as the standards meet any
21requirement imposed by statute or rule related to eligibility and underwriting
22standards for inland marine insurance.
AB491,11,223 (d) An intermediary licensed in a major line of authority is authorized to sell,
24solicit, and negotiate travel insurance. An intermediary with a property and

1casualty line of authority is not required to become appointed by an insurer in order
2to sell, solicit, or negotiate travel insurance.
AB491,11,10 3(4) Limited lines travel insurance producers. (a) The commissioner may
4issue a limited lines travel insurance producer license to a person who is licensed as
5an intermediary or managing general agent, a person who is is licensed as a 3rd party
6administrator, or a person who is a travel administrator. A person seeking a license
7under this paragraph shall apply on a form and in the manner prescribed by the
8commissioner. The license shall authorize the person to sell, solicit, or negotiate
9travel insurance through an insurer. No person may act as a limited lines travel
10insurance producer in this state unless licensed under this paragraph.
AB491,11,1411 (b) A limited lines travel insurance producer and any travel retailer offering
12and disseminating travel insurance on behalf of and under the control of the limited
13lines travel insurance producer are subject to ss. 601.41 (4), 601.43, 601.44, 601.61
14to 601.64, and 628.34.
AB491,11,1915 (c) As the insurer designee, a limited lines travel insurance producer is
16responsible for the acts of each travel retailer offering and disseminating travel
17insurance on behalf of and under the control of the limited lines travel insurance
18producer. The limited lines travel insurance producer shall use reasonable means
19to ensure compliance by the travel retailer with sub. (5).
AB491,11,2320 (d) A limited lines travel insurance producer and a travel retailer offering and
21disseminating travel insurance on behalf of and under the control of the limited lines
22travel insurance producer are exempt from the examination and education
23requirements under s. 628.04 (3).
AB491,12,3
1(5) Travel retailers. (a) A travel retailer may offer and disseminate travel
2insurance in this state under the license of a limited lines travel insurance producer
3only if all of the following conditions are satisfied:
AB491,12,94 1. The limited lines travel insurance producer or travel retailer provides to a
5purchaser of travel insurance the material terms, or a description of the material
6terms, of the travel insurance coverage; a description of the process for filing a claim;
7a description of the review or cancellation process for the travel insurance policy; and
8the identity and contact information of the insurer and limited lines travel insurance
9producer.
AB491,12,1710 2. The limited lines travel insurance producer keeps a register of each travel
11retailer that offers and disseminates travel insurance on the producer's behalf. The
12register shall include the name, contact information, and federal tax identification
13number of each travel retailer, the name and contact information of an officer or other
14person who directs or controls the travel retailer's operations, and a certification by
15the limited lines travel insurance producer that the travel retailer complies with 18
16USC 1033
. The limited lines travel insurance producer shall keep the register
17updated and shall submit the register to the commissioner upon request.
AB491,12,2118 3. The limited lines travel insurance producer designates an employee who is
19a licensed producer as the person responsible for compliance with the statutes and
20rules of this state that are applicable to the limited lines travel insurance producer
21and travel retailer.
AB491,12,2522 4. The employee designated under subd. 3., the officers of the limited lines
23travel insurance producer, and any other person who directs or controls the limited
24lines travel insurance producer's insurance operations comply with any
25fingerprinting requirements applicable to insurance producers.
AB491,13,2
15. The limited lines travel insurance producer pays all applicable licensing fees
2under s. 601.31 (1) (L) 2.
AB491,13,93 6. The limited lines travel insurance producer requires each employee and
4authorized representative of the travel retailer whose duties include offering and
5disseminating travel insurance to receive a program of instruction or training. The
6program of instruction or training shall be subject to review by the commissioner and
7shall contain, at a minimum, instruction on the types of insurance offered, ethical
8sales practices, and the disclosures required under this section to prospective and
9actual purchasers of travel insurance.
AB491,13,1210 (b) A travel retailer who offers and disseminates travel insurance shall make
11available to prospective purchasers brochures and other written materials that, at
12a minimum, meet all of the following conditions:
AB491,13,1313 1. Have been approved by the insurer.
AB491,13,1514 2. Provide the identity and contact information of the insurer and the limited
15lines travel insurance producer.
AB491,13,1716 3. Explain that the purchase of travel insurance is not required for the
17purchase of any other product or service from the travel retailer.
AB491,13,2318 4. Explain that a travel retailer, or an employee or authorized representative
19of a travel retailer, who is not licensed as a limited lines travel insurance producer
20may provide general information about the insurance offered by the travel retailer,
21including a description of the coverage and price, but is not qualified or authorized
22to answer technical questions about the terms and conditions of the insurance or to
23evaluate the adequacy of the prospective purchaser's existing insurance coverage.
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