House Bill 401
By: Representatives Frye of the 122nd, Momtahan of the 17th, Ridley of the 22nd, Bell of the
75th, Roberts of the 52nd, and others
A BILL TO BE ENTITLED
AN ACT
To amend Chapter 9 of Title 33 of the Official Code of Georgia Annotated, relating to
regulation of rates, underwriting rules, and related organizations, so as to prohibit insurers
from considering advertising costs when making or using insurance rates; to provide for a
definition; to provide for related matters; to repeal conflicting laws; and for other purposes.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
Chapter 9 of Title 33 of the Official Code of Georgia Annotated, relating to regulation of
rates, underwriting rules, and related organizations, is amended in Code Section 33-9-2,
relating to definitions, by adding a new paragraph to read as follows:
<ins>"(0.5) 'Advertising costs' means any expenditures an insurer incurs to promote its
products, services, or brand through any media channel."
</ins> SECTION 2.
Said chapter is further amended in Code Section 33-9-4, relating to standards applicable to
making and use of rates, by striking "and" at the end of paragraph (9), replacing the period
at the end of paragraph (10) with "; and", and adding a new paragraph to read as follows:
<ins>"(11) No insurer shall base any standard or rating plan in whole or in part, directly or
indirectly, upon advertising costs."
</ins> SECTION 3.
All laws and parts of laws in conflict with this Act are repealed.