The Act permits the use of preexisting conditions exclusions in group disability income insurance policies. Specifically, the Act provides a definition of preexisting condition and prohibits the use in group disability income insurance policies of any definition that is more restrictive than the statutory standard. The Act requires policies that exclude benefits for preexisting conditions to disclose such exclusions. Finally, the Act mandates that benefits will not be denied based on a preexisting condition if the resulting disability occurs more than two years after the commencement of coverage.
John K. Rezac,
INSURANCE Insurance Generally: Authorize Use of Preexisting Conditions Exclusions or Limitations in Group Policies or Contracts of Disability Income Insurance,
Ga. St. U. L. Rev.
Available at: https://readingroom.law.gsu.edu/gsulr/vol12/iss1/14