Effect on the State or on Industrial Insurance: Yes.
EXPLANATION - Matter in italics is new; matter in brackets [ ] is material to be omitted.
AN ACT relating to insurance fraud; requiring the commissioner of insurance and the attorney general to report certain information concerning the conviction of a person for insurance fraud to certain licensing agencies in this state; requiring a licensing agency that receives such information to submit a report to the legislature concerning the actions taken by the licensing agency against the convicted person; revising the provisions governing the actions that constitute insurance fraud; providing a penalty; and providing other matters properly relating thereto.
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
~^
Section 1 Chapter 686A of NRS is hereby amended by adding thereto a new section to read as follows:
If a person who is licensed or registered under the laws of the State of Nevada to engage in a business or profession is convicted of or pleads guilty to engaging in an act of insurance fraud prohibited by NRS 686A.291, the commissioner and the attorney general shall forward to each agency by which the convicted person is licensed or registered a copy of the conviction or plea and all supporting evidence of the act of insurance fraud. An agency that receives information from the commissioner and attorney general pursuant to this section shall, not later than 1 year after the date on which it receives the information, submit a report which sets forth the action taken by the agency against the convicted person, including, but not limited to, the revocation or suspension of the license or any other disciplinary action, to the director of the legislative counsel bureau for transmittal to the legislature.
Sec. 2 NRS 686A.281 is hereby amended to read as follows:
686A.281 As used in NRS 686A.281 to 686A.291, inclusive, and section 1 of this act, unless the context otherwise requires, the term "investigative or law enforcement agency" includes:
1. The state fire marshal;
2. The district attorney of the county where any fraudulent activity has occurred or a fraudulent claim has been made;
3. The chief or other officer of the fire department where a fire occurred; and
4. Any other agency in this state who has the authority to investigate the fraudulent claims or activities.
Sec. 3 NRS 686A.291 is hereby amended to read as follows:
686A.291 1. A person commits insurance fraud if he knowingly and [willfully:] with the intent to defraud, for pecuniary gain or to deprive another person of property:
(a) Presents or causes to be presented any statement to an insurer, a reinsurer, a producer, a broker or any agent thereof, known by him to contain false, incomplete or misleading information concerning any fact material to an application for the issuance of a policy of insurance pursuant to this Title.
(b) Presents or causes to be presented any statement as a part of, or in support of, a claim for payment or other benefits under a policy of insurance issued pursuant to this Title, known by him to contain false, incomplete or misleading information concerning any fact material to that claim.
(c) Assists, abets, solicits or conspires with another person to present or cause to be presented any statement to an insurer, reinsurer, producer, broker or any agent thereof, known by him to contain false, incomplete or misleading information concerning any fact material to an application for the issuance of a policy of insurance pursuant to this Title or a claim for payment or other benefits under such a policy.
(d) Acts or fails to act with the intent of defrauding or deceiving an insurer, a reinsurer, a producer, a broker or any agent thereof, in order to obtain a policy of insurance pursuant to this Title or any proceeds or other benefits under such a policy.
(e) As a practitioner, an insurer or any agent thereof, acts to assist, conspire with or urge another person to violate any provision of this section through deceit, misrepresentation or other fraudulent means.
(f) Accepts any proceeds or other benefits under a policy of insurance issued pursuant to this Title known by him to be derived from any act or omission which violates any provision of this section.
(g) Employs a person to procure clients, patients or other persons who obtain services or benefits under a policy of insurance issued pursuant to this Title for the purpose of engaging in any activity prohibited by this section. This paragraph does not prohibit contact or communication by an insurer or his agent or representative with a client, patient or other person if the contact or communication is made for a lawful purpose, including, without limitation, communication by an insurer with a holder of a policy of insurance issued by the insurer or with a claimant concerning the settlement of any claims against the policy.
2. A person commits insurance fraud if he knowingly and with the intent to defraud, for pecuniary gain or to deprive another person of property, participates in, aids, abets, conspires to commit, solicits another person to commit, or permits an employee or agent to commit an act of insurance fraud prohibited by subsection 1.
3. A person who commits insurance fraud is guilty of a category D felony and shall be punished as provided in NRS 193.130.
[3.] 4. For the purposes of this section, "practitioner" means:
(a) A physician, dentist, nurse, dispensing optician, optometrist, physical therapist, podiatric physician, psychologist, chiropractor, doctor of Oriental medicine in any form, director or technician of a medical laboratory, pharmacist or other provider of health services who is authorized to engage in his occupation by the laws of this state or another state; and
(b) An attorney admitted to practice law in this state or any other state.
Sec. 4 The amendatory provisions of section 3 of this act do not apply to offenses that occur before October 1, 1997.