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Bill

A 4536

Authorizes a plea of guilty and the payment of fines or penalties electronically via the internet

2025 Regular Session Introduced by Dana Levenberg

Expands New Jersey reciprocal/interinsurance contracts to include more subscribers across borders; excludes life insurance and clarifies fees aren’t related-party transactions.

REFERRED TO TRANSPORTATION
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WeVote Research Nonpartisan
Bill Summary · A 4536

Summary of New Jersey Bill A 4536

Overview

  • Bill: A 4536
  • Primary topic: Amends the law governing reciprocal insurance and interinsurance contracts
  • Introduced: June 13, 2024
  • Current status: Referred to Transportation (as of February 4, 2025)
  • Sponsor: Dana Levenberg (primary)
  • Related bills: Companion S 1477; prior-session A 7455, A 5205, A 4276, A 5920, A 5655

Note: The title provided in the prompt (“Authorizes a plea of guilty and the payment of fines or penalties electronically via the internet”) appears to be unrelated to the bill’s content. The introduced version and text pertain to reciprocal insurance and interinsurance contracts.

What the bill would do

  • Amendment focus: Modifies existing law to regulate reciprocal or interinsurance contracts and the exchange thereof.
  • Scope of contracts: Allows subscribers (defined as individuals, partnerships, trustees, and all corporations in New Jersey) to exchange reciprocal or interinsurance contracts with:
    • Other subscribers within New Jersey, and
    • Individuals, partnerships, trustees, and corporations from other states, districts, provinces, and countries.
    • For any or all kinds of business that a company may transact under the relevant state insurance provisions (excluding life insurance).
  • Regulation: Such contracts, the exchanges, and any fees charged under or arising from those contracts shall be regulated by this act and by no other New Jersey statute relating to insurance, except as otherwise provided.
  • Related-party transaction status: Contracts between subscribers and the attorney in fact, and any fees associated with those contracts, shall not be deemed related party transactions.

Key provisions and changes

  • Definition and participants: Expands or codifies the ability of subscribers to engage in reciprocal/interinsurance contracts with a broader set of parties, including cross-jurisdictional parties.
  • Exclusion of life insurance: Explicitly continues to exclude life insurance from the scope of these reciprocal/interinsurance contracts.
  • Related-party transaction clarification: Provides a clear statement that such contracts and related fees are not related party transactions under related statute(s).

Affected parties

  • Subscribers: Individuals, partnerships, trustees, and corporations in New Jersey that participate in reciprocal/interinsurance contracts.
  • Attorneys in fact and representatives: Parties connected to the administration of these contracts remain governed by the act.
  • Regulators/State authorities: The act would be administered under this statute (and in lieu of other related insurance statutes), altering regulatory relationships for these contracts.

Timeline and procedural aspects

  • Introduced: June 13, 2024 (Assembly)
  • Committee progress: Referred to Assembly Financial Institutions and Insurance Committee; later moved to Transportation committee.
  • Status as of 2025-02-04: Referred to Transportation (listed twice in the legislative actions).

Potential impact

  • Clarifies and modernizes the regulatory framework for reciprocal and interinsurance contracts, including cross-border exchanges.
  • Removes ambiguity about related-party transaction treatment for contracts between subscribers and their attorney in fact and associated fees.
  • Could facilitate broader adoption or formation of reciprocal/interinsurance arrangements by clarifying permissible scope and regulatory oversight.
  • Excludes life insurance, maintaining existing boundaries around the types of insurance activities covered.

Notes

  • The bill’s text focuses on insurance contracts, not on electronic payments or fines—the mismatch in the title in the prompt appears to be an editorial discrepancy. The substantive content concerns reciprocal insurance and interinsurance contracts and related fee treatment.

Compiled from official sources — confirm details with the bill’s official record.

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