2025 Legislative Changes

1 Insurance Bulletin Number 2025-4 2025 Legislative Changes The following legislative amendments were enacted during the 2025 session of the Rhode Island General Assembly. This information is being provided in accordance with R.I. Gen. Laws § 27-71-14(a). This bulletin is being provided for informational purposes only and may not be an all-inclusive list of enactments that impact the insurance industry. Licensees should refer to the statute itself to determine the impact. Any person wishing to be included in these annual notifications pursuant to R.I. Gen. Laws § 27-71-14(b) who is not currently on the interested parties list may sign up for email updates by completing the form on this page. INSURANCE AN ACT RELATING TO INSURANCE -- VOLUNTARY RESTRUCTURING OF SOLVENT INSURERS HB5548-A 25 P.L. Ch 452 Effective 01/01/2026 SB600-A 25 P.L. Ch 453 Effective 01/01/2026 This act amends the Rhode Island Property and Casualty Insurance Guaranty Association statute adopting several National Association of Insurance Commissioner (NAIC) model law changes concerning cybersecurity insurance. The act also increases the amount of covered first-party property claims for insolvencies occurring after January 1, 2026 to one million dollars ($1,000,000). And the act removes the insurance business transfer prohibition on workers’ compensation insurance. AN ACT RELATING TO INSURANCE -- INVESTMENTS BY DOMESTIC INSURANCE COMPANIES HB6315 25 P.L. Ch 88 Effective 06/18/2025 SB1047 25 P.L. Ch 87 Effective 06/18/2025 This act repeals § 27-11.1-3 to eliminate the ten percent (10%) limitation on Schedule BA assets held by insurers. AN ACT RELATING TO INSURANCE -- PET INSURANCE ACT HB5569-A 25 P.L. Ch 423 Effective 01/01/2026 SB649-A 25 P.L. Ch 422 Effective 01/01/2026 This act adopts the NAIC Pet Insurance Model Act, creating standardized definitions and policy provisions for pet insurance policies in Rhode Island. The act also has provisions to ensure the appropriate training of licensed insurance producers marketing pet insurance. The act makes clear that it is incumbent upon the insurer to ensure producer compliance with 27-83- 7(b&c). Since appointments can be made up until 15-days after the first insurance application is submitted, we would encourage insurers to take steps when initially contracting with an Department of Business Regulation Insurance Division 1511 Pontiac Avenue, Bldg. 69-2 Cranston, Rhode Island 02920 2 insurance producer to ensure that the appropriate trainings (both regarding pet insurance in general and specifically to the insurer's products) are occurring and have occurred prior to the solicitation of pet insurance policies. AN ACT RELATING TO INSURANCE -- CASUALTY INSURANCE RATING HB5570-B 25 P.L. Ch 299 Effective 01/01/2026 SB84-aa 25 P.L. Ch 298 Effective 01/01/2026 This act prohibits casualty insurers from assessing any premium surcharge or penalty against a Personal Lines insured for inquiring about the terms of the insured's policy. AN ACT RELATING TO INSURANCE -- LIABILITY INSURANCE HB6032 25 P.L. Ch 471 Effective 07/05/2025 This act requires at-fault insurance companies to provide to any claimant whose vehicle is damaged in an accident a vehicle that is comparable to the claimant’s vehicle. It also requires that rental charges be based on local retail prices. AN ACT RELATING TO INSURANCE -- UNFAIR CLAIMS SETTLEMENT PRACTICES ACT HB6053-A 25 P.L. Ch 473 Effective 07/05/2025 SB902-A 25 P.L. Ch 472 Effective 07/05/2025 This act amends the unfair claims practice related to an insurer designating a motor vehicle a total loss if the cost to rebuild or reconstruct the motor vehicle to its pre-accident condition is 75% of its pre-accident Fair Market Value. The law has been amended from seventy-five percent (75%) of Fair Market Value to seventy-five percent (75%) to eighty percent (80%). The consumer may elect to have the insurer designate the motor vehicle a total loss at up to an eighty percent (80%) threshold of the fair market value of the motor vehicle. This act also amends the unfair trade practice concerning an insurer’s obligation to compensate an autobody repairer for procedures, extending the requirement to repairs recommended by the OEM's program or collision repair industry programs such as Alldata, Repairlogic, CCC Repair Methods or I-Car. AN ACT RELATING TO INSURANCE -- MOTOR VEHICLE APPRAISAL HB6054-aa 25 P.L. Ch 448 Effective 07/02/2025 SB901-A 25 P.L. Ch 449 Effective 07/02/2025 This act makes substantial changes the resolution process when the insurance company and the insured or claimant fail to agree on the amount of the loss. AN ACT RELATING TO INSURANCE -- LIABILITY INSURANCE -- RENTAL VEHICLE COVERAGE HB6079-A 25 P.L. Ch 470 Effective 07/05/2025 SB985-aa 25 P.L. Ch 469 Effective 07/05/2025 This act amends the rental vehicle coverage to allow that the coverage applies to the named insured and driver(s) on the policy as well as their designees, unless the designee is specifically excluded from the policy. AN ACT RELATING TO LABOR AND LABOR RELATIONS -- WORKERS’ COMPENSATION -- GENERAL PROVISIONS 3 HB6319-A 25 P.L. Ch 117 Effective 07/01/2025 SB1060-A 25 P.L. Ch 118 Effective 07/01/2025 This act clarifies the workers' compensation court's authority to determine the status of an injured-on-duty employee of the state of Rhode Island and Rhode Island airport corporation benefit and disability determination. Additionally, this act amends inconsistent language to establish conformity concerning the correct applicable deadline for filing an applicable accidental disability pension claim. HOUSE RESOLUTION RELATING TO STATUTES AND STATUTORY CONSTRUCTION HR6385-A 25 P.L. Ch 427 Article I Effective 12/31/2025 Article II Effective 07/02/2025 This act makes technical amendments to the general laws, prepared at the recommendation of the law revision office. Article I contains the reenactment of title 27 chapters 1 through 18.9 and title 42 chapters 14.2, 14.5 and 14.6. Article II contains the statutory construction provisions unrelated to title 27. OFFICE OF HEALTH INSURANCE COMMISSIONER AN ACT RELATING TO HEALTH AND SAFETY -- RARE DISEASE ADVISORY COUNCIL HB5023-A 25 P.L. Ch 267 Effective 06/27/2025 SB474-aa 25 P.L. Ch 268 Effective 06/27/2025 This act establishes a rare disease advisory council within the department of health. The council would provide guidance and recommendations to educate health care providers and the citizens of the state. AN ACT RELATING TO INSURANCE -- BENEFIT DETERMINATION AND UTILIZATION REVIEW ACT HB5120A 25 P.L. Ch 436 Effective 10/01/2025 SB168-B 25 P.L. Ch 435 Effective 10/01/2025 This act, pursuant to a three-year pilot program expiring on October 1, 2028, provides an insurer would not impose prior authorization requirements for any service ordered by an innetwork primary care provider. This prohibition does not apply to prescription drugs. AN ACT RELATING TO INSURANCE -- ACCIDENT AND SICKNESS INSURANCE POLICIES HB5218 25 P.L. Ch 390 Effective 01/01/2026 SB120 25 P.L. Ch 389 Effective 01/01/2026 This act increases insurance coverage for hearing aids from one thousand five hundred dollars ($1,500) to one thousand seven hundred fifty dollars ($1,750), per ear, for all people regardless of age effective January 1, 2026. AN ACT RELATING TO INSURANCE -- MEDICARE SUPPLEMENT INSURANCE POLICIES HB5494-A 25 P.L. Ch 434 Effective 07/02/2025 SB610-B 25 P.L. Ch 433 Effective 07/02/2025 This act adds several consumer protections to existing Medicare Supplement law. 4 AN ACT RELATING TO INSURANCE -- ACCIDENT AND SICKNESS INSURANCE POLICIES HB5625-A 25 P.L. Ch 287 Effective 06/27/2025 SB473 25 P.L. Ch 286 Effective 06/27/2025 This act removes the sunset provision of December 31, 2025 of all statutory laws requiring coverage for the treatment of pediatric autoimmune neuropsychiatric disorders associated with streptococcal infections and pediatric acute onset neuropsychiatric syndrome. AN ACT RELATING TO INSURANCE -- ACCIDENT AND SICKNESS INSURANCE POLICIES HB6118-A 25 P.L. Ch 285 Effective 01/01/2026 SB263-A 25 P.L. Ch 284 Effective 01/01/2026 This act requires coverage for acute mental health crisis mobile response and stabilization services to eligible individuals enrolled as plan beneficiaries. Copies of Rhode Island Insurance Regulations, Insurance Bulletins and applicable Rhode Island General Laws are accessible through these links or by visiting the Department’s website at https://dbr.ri.gov/ . Copies of the Senate and House bills are accessible through these links or by visiting the Rhode Island General Assembly website at https://www.rilegislature.gov/Pages/Default.aspx . Considering the above amendments, insurers are required to review current policy forms, rules, and rates to determine if new and/or revised filings are required and to timely submit such filings in SERFF for the Department’s review and approval.