In This Issue:

- New Third Party Administrator Licensing Requirement in Connecticut

- Idaho Requires Licensed Third Party Administrators to Requalify

- Texas Enforcement Actions Against TPAs in 2011

- Third Party Administrator - Client Spotlight

- Michigan Bulletin on Alien Third Party Administrators

- Third Party Administrator Compliance and Regulatory Services

Excerpt from New Third Party Administrator Licensing Requirement in Connecticut

Connecticut has a new third party administrator (TPA) licensing requirement that became effective October 1, 2011. The new Connecticut TPA licensing requirement was not enacted as a stand-alone TPA statute or regulation, but rather was contained in a Connecticut omnibus bill that enacts health care reforms under the Affordable Care Act. The new Connecticut law requires third party administrators that administer life, annuity and health business on behalf of Connecticut residents to become licensed with the Connecticut Insurance Department. The Connecticut law does not grandfather in TPAs that were doing business in Connecticut prior to October 1, 2011, and according to the Connecticut Insurance Department, any unlicensed TPA operating in Connecticut after October 1, 2011, will be subject to administrative action for conducting business without a license.