Sec. 1. 22 MRSA §8301-A, sub-§3, as enacted by PL 1997, c. 494, §8 and affected by §15, is amended to read:

3. Home day care provider certification. A home day care provider shall pay the certification fee required under section 8303-A. A home day care provider must be certified under this chapter and shall comply with the rules adopted by the commissioner under section 8302-A and the fire safety requirements of section 8304-A. A home day care provider must carry liability insurance that covers the activity of providing home day care.

Sec. 2. 24-A MRSA §429 is enacted to read:

§429.__Home day care providers

An insurer licensed in the State that provides property or casualty insurance may not cancel or deny the insurance or charge a rate more than 50% higher than the rate to insure a home day care provider certified under Title 22, section 8301-A, subsection 3 than the insurer charges other homeowners without reasonable justification.

SUMMARY

This bill requires reasonable justification for an insurer to cancel or deny insurance or charge a rate 50% higher than that of a homeowner for property or casualty insurance to a home day care provider. This bill also requires home day care providers to carry liability insurance.