Introduced Version






SENATE BILL No. 454

_____


DIGEST OF INTRODUCED BILL



Citations Affected: IC 27-8-13.5; IC 27-13.

Synopsis: Health benefit mandate moratorium. Provides for a four year period during which an accident and sickness insurer or a health maintenance organization may provide a policy or contract without complying with certain health benefit mandates.

Effective: July 1, 2005.





Hershman




    January 18, 2005, read first time and referred to Committee on Health and Provider Services.







Introduced

First Regular Session 114th General Assembly (2005)


PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type.
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SENATE BILL No. 454



    A BILL FOR AN ACT to amend the Indiana Code concerning insurance.

Be it enacted by the General Assembly of the State of Indiana:

SOURCE: IC 27-8-13.5; (05)IN0454.1.1. -->     SECTION 1. IC 27-8-13.5 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2005]:
    Chapter 13.5. Health Benefit Mandate Moratorium
    Sec. 1. (a) As used in this chapter, "health benefit mandate" means a requirement under this title, except as provided in this chapter, for:
        (1) inclusion of coverage for a particular condition or treatment in; or
        (2) an offering of coverage for a particular condition or treatment that must be made in connection with the purchase of;
a policy of accident and sickness insurance.
    (b) The term does not include a requirement under federal law for inclusion of coverage in a policy of accident and sickness insurance.
    Sec. 2. As used in this chapter, "insurer" refers to an insurer (as

defined in IC 27-1-2-3) that issues or delivers a policy of accident and sickness insurance.
    Sec. 3. As used in this chapter, "policy of accident and sickness insurance" has the meaning set forth in IC 27-8-5-1.
    Sec. 4. As used in this chapter, "prospective purchaser" means:
        (1) an individual who requests coverage under a policy of accident and sickness insurance issued on an individual basis; or
        (2) a person that requests coverage for members of a group under a policy of accident and sickness insurance issued on a group basis.
    Sec. 5. Notwithstanding any other law, an insurer is not required to comply with any health benefit mandate in connection with a policy of accident and sickness insurance that is issued, delivered, or renewed after December 31, 2005, and before January 1, 2010, unless the health benefit mandate is in effect on July 1, 2005.
    Sec. 6. This chapter does not prohibit:
        (1) a prospective purchaser from electing to purchase coverage that is the subject of; or
        (2) an insurer from electing to:
            (A) comply with; or
            (B) provide coverage that is the subject of;
any health benefit mandate in connection with the issuance, delivery, or renewal of a policy of accident and sickness insurance.
    Sec. 7. This chapter expires July 1, 2011.

SOURCE: IC 27-13-1-17.6; (05)IN0454.1.2. -->     SECTION 2. IC 27-13-1-17.6 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 17.6. (a) "Health benefit mandate" means a requirement under this title, except as provided in IC 27-13-7.5, for:
        (1) inclusion of coverage for a particular condition or treatment in; or
        (2) an offering of coverage for a particular condition or treatment that must be made in connection with the purchase of;
an individual contract or a group contract.
    (b) This section expires July 1, 2011.

SOURCE: IC 27-13-1-27.8; (05)IN0454.1.3. -->     SECTION 3. IC 27-13-1-27.8 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 27.8. (a) "Prospective purchaser" means:
        (1) an individual who requests coverage under an individual contract; or
        (2) a person that requests coverage for members of a group under a group contract.
    (b) This section expires July 1, 2011.

SOURCE: IC 27-13-7.5; (05)IN0454.1.4. -->     SECTION 4. IC 27-13-7.5 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2005]:
    Chapter 7.5. Health Benefit Mandate Moratorium
    Sec. 1. Notwithstanding any other law, a health maintenance organization is not required to comply with any health benefit mandate in connection with an individual contract or a group contract that is entered into, delivered, or renewed after December 31, 2005, and before January 1, 2010, unless the health benefit mandate is in effect on July 1, 2005.
    Sec. 2. This chapter does not prohibit:
        (1) a prospective purchaser from electing to purchase coverage that is the subject of; or
        (2) a health maintenance organization from electing to:
            (A) comply with; or
            (B) provide coverage that is the subject of;
any health benefit mandate in connection with the execution, delivery, or renewal of an individual contract or a group contract.
    Sec. 3. This chapter expires July 1, 2011.