article: SECTION 1. REQUIREMENT TO DISCLOSE TO INSURANCE APPLICANTS CERTAIN MEDICAL TEST RESULTS. (a) In General.--Except as provided in subsections (c) and (d), a life or disability insurer who requires, as a condition for the sale of a covered insurance product, that an applicant for the purchase of the product submit to an examination or test by a physician, health professional, or medical laboratory-- (1) shall require the physician, health professional, or laboratory to provide the results to the insurer in the form of a written report containing the findings of the physician, professional, or laboratory, including the results of all tests, diagnoses, and conclusions made; and (2) shall mail, not later than 30 days after the date on which the insurer receives such report, the report to the applicant at an address provided for this purpose by the applicant. (b) Abnormal Finding.--In any case in which a life or disability insurer mails a report to an applicant under subsection (a) that contains a finding of abnormality or irregularity with respect to the health or condition of the applicant, the insurer shall include with the report a document that-- (1) highlights the abnormal or irregular finding in language that is understandable to a person of average intelligence with no medical training; and (2) advises the applicant to consult with a suitable health professional for further explanation and appropriate follow-up. (c) Election To Receive Results through Physician.--An applicant described in subsection (a) may elect to have the report described in such subsection, and the document described in subsection (b), mailed to a physician of the applicant's choice designated by the applicant for such purpose, in lieu of having the report and document mailed to the applicant. The election shall be effective in any case where the applicant, before the date of the examination or test, submits to the insurer an election form described in subsection (e)(1) that includes-- (1) a check-off box, marked by hand by the applicant, showing the applicant's election to have the report and document mailed to such physician; (2) the applicant's signature; and (3) the date on which the form was completed by the applicant. (d) Waiver by Applicant.--Subsections (a) and (b) shall not apply where the applicant, before the date of the examination or test, declines to receive the results by submitting to the insurer a waiver form described in subsection (e)(1) that includes-- (1) a check-off box, marked by hand by the applicant, showing the applicant's choice to waive the applicant's right to receive any reports under subsection (a); (2) the applicant's signature; and (3) the date on which the form was completed by the applicant. (e) Requirements Relating to Forms.-- (1) Requirement to supply forms.--A life or disability insurer described in subsection (a) shall furnish to an applicant described in such subsection an election form, sufficient for purposes of subsection (c), and a waiver form, sufficient for purposes of subsection (d), at the same time the insurer furnishes to the applicant the application for sale of the covered product. The forms shall be distinct from, and not a part of, such application. (2) Copy.--A life or disability insurer described in subsection (a) shall furnish to an applicant described in such subsection a copy of an election form or a waiver form submitted to the insurer by the applicant upon the insurer's receipt of the form. (3) Revocation.--An election under subsection (c), or a waiver under subsection (d), may be revoked by the applicant at any time, through a written or oral notification to the life or disability insurer. SEC. 2. PROHIBITION ON CERTAIN DISCLOSURES OF EXAMINATION RESULTS. A life or disability insurer who requires, as a condition for the sale of a covered insurance product, that an applicant for the purchase of the product submit to an examination or test by a physician, health professional, or medical laboratory may not disclose to any other person, in any form, the results of such examination or test, except-- (1) as provided in section 1; (2) pursuant to a valid and fully executed written authorization for such disclosure-- (A) during the period specified by the authorization, in the case of an authorization that permits the disclosure to be made only during a period that is shorter than the 2-year period beginning on the date the authorization is executed by the applicant; or (B) during 2-year period beginning on the date the authorization is executed by the applicant, in the case of any other authorization; (3) pursuant to a court order, subpoena, warrant, or search warrant, for use by a law enforcement agency in an official law enforcement investigation or proceeding inquiring into a violation of any civil or criminal law, and where such disclosure is expressly required by an applicable law other than this Act; (4) where the disclosure is made to a public health authority and is expressly required by an applicable law other than this Act. SEC. 3. CIVIL ACTION BY AGGRIEVED PERSON. (a) In General.--Any person who is aggrieved by a violation of this Act by a life or disability insurer may commence a civil action against the insurer in an appropriate State court or district court of the United States. (b) Relief.-- (1) In general.--In an action under this section, if the court finds that the defendant has failed to comply with this Act, the aggrieved person may recover-- (A) statutory damages in an amount equal to $10,000 for each such violation; (B) compensatory damages; and (C) punitive damages. (2) Attorney's fees.--In an action under this section, the court, in its discretion, may allow a prevailing plaintiff, other than the United States, a reasonable attorney's fee (including expert fee) as part of the costs, and the United States shall be liable for costs the same as a private person. SEC. 4. INAPPLICABILITY OF MCCARRAN-FERGUSON ACT. For purposes of section 2(b) of the Act of March 9, 1945 (15 U.S.C. 1012(b); commonly known as the McCarran-Ferguson Act), this Act shall be considered to specifically relate to the business of insurance. SEC. 5. REGULATIONS. The Secretary of Health and Human Services may issue regulations to carry out this Act. SEC. 6. DEFINITIONS. As used in this Act: (1) Applicant.--The term ``applicant'' means an individual whose death or disability will be, or is, the subject of a covered insurance product, upon the acceptance by the life or disability insurer selling the product of the application for the purchase of the product. (2) Covered insurance product.--The term ``covered insurance product'' means-- (A) a life insurance policy or contract, or benefits under such a policy or contract; or (B) a disability insurance policy or contract, or benefits under such a policy or contract. (3) Disclose.--The term ``disclose'', means to release, transfer, provide access to, or otherwise divulge the information to any person other than an individual who is the subject of the information. Such term includes the placement of information into a computerized data base, networked computer system, or any other electronic or magnetic data system, that more than one person may access by any means. (4) Life or disability insurer.--The term ``life or disability insurer'' means-- (A) a person doing business in interstate commerce who is licensed or certified by a State to provide a covered insurance product; or (B) a person who acts as an agent of a person described in subparagraph (A) with respect to the sale of a covered insurance product. SEC. 7. EFFECTIVE DATE. This Act shall take effect on July 1, 1998.
summary: Requires that a life or disability insurer, if the insurer requires an applicant for life or disability insurance to submit to a medical examination or test, ensure disclosure to the applicant of the test results. Prohibits the insurer from disclosing the results to any other person, except under a written authorization made by the applicant, pursuant to certain legal process, or to a public health authority when expressly required by law. Provides for civil actions for violations of this Act by any aggrieved person, allowing recovery of statutory, compensatory, and punitive damages and attorney's fees. Declares that, for provisions of Federal law commonly known as the McCarran-Ferguson Act prohibiting Federal insurance law from preempting State law unless the Federal law specifically relates to the business of insurance, this Act shall be considered to specifically relate to the business of insurance.