HB 1198: Insurance; limited license to offer or sell portable electronics and consumer goods insurance; provide

Georgia law already lets retailers of portable electronics, like cell phones and laptops, get a limited license to sell insurance covering repair, loss, or theft of those devices without their employees becoming licensed insurance agents. This bill expands that same limited-license system to cover 'consumer goods' broadly, meaning goods bought mainly for personal, family, or household use. The bill rewrites the definitions in O.C.G.A. § 33-23-12 to add consumer goods alongside portable electronics throughout the rules on registries, required disclosures, billing, cancellation notices, and penalties. It also updates the definition of an automated claims adjudication system used to process these claims. Employees selling this coverage still need training but not a prelicensing exam, and violations can bring fines up to $500 per violation or $5,000 total. The changes apply once the bill is enacted and signed into law.

• Extends the existing limited insurance license for portable electronics retailers to also cover sales of insurance on general consumer goods bought for personal or household use.
• Redefines 'portable electronics' more broadly as devices that are not permanently affixed, movable, and electronic or wireless in nature, replacing the old list of specific device types.
• Requires vendors to give customers brochures explaining that buying the insurance is optional, summarizing coverage terms, deductibles, and the claims process for both electronics and consumer goods.
• Keeps the rule that a vendor's staff can sell this insurance without an insurance producer license if they complete a training program overseen by a supervising insurer.
• Sets penalties of up to $500 per violation or $5,000 total, plus possible suspension of a vendor location's or employee's ability to sell this coverage.
• Requires insurers to give at least 60 days' notice before changing policy terms, with shorter notice rules for fraud, nonpayment, or when coverage limits are exhausted.

Retailers that sell portable electronics or other consumer goods and want to offer add-on insurance, their employees who sell that coverage, insurance companies that underwrite these policies, and customers who buy electronics, appliances, or other household goods and consider purchasing repair or loss coverage at checkout.

Retailers selling everyday consumer goods, not just electronics, could offer optional repair and loss insurance through trained store staff instead of licensed insurance agents. Customers would get standardized disclosures about coverage terms and cancellation rights, while the state sets specific fines for vendors that violate the rules.

• Section 1 updates the definition of 'automated claims adjudication system' in O.C.G.A. § 33-23-1 to reflect that it processes claims for both portable electronics and consumer goods.
• Section 2 adds a new definition of 'consumer goods' in O.C.G.A. § 33-23-12 as goods bought mainly for personal, family, or household use.
• Section 2 broadens 'portable electronics' from a fixed list of devices (cell phones, pagers, etc.) to any movable equipment with electrical, digital, or wireless capabilities.
• Section 2 extends registry, disclosure, billing, and notice requirements originally written for portable electronics vendors to also cover consumer goods vendors.
• Section 2 keeps the training exemption from insurance producer licensing for vendor employees, provided a supervising insurer runs a training program.
• Section 2 sets penalties for violations at up to $500 per violation or $5,000 in aggregate, plus potential suspension of selling privileges at specific locations.
• Section 3 repeals any conflicting laws.

1. 2026-02-24House Committee Favorably Reported (House)
2. 2026-02-09House Second Readers (House)
3. 2026-02-06House First Readers (House)
4. 2026-02-05House Hopper (House)

• Joseph Gullett (R, HD-19)Primary sponsor
• Eddie Lumsden (R, HD-12)

• insurance licensing
• consumer protection
• retail insurance
• electronics warranties
• Georgia insurance law