1999 Legislation
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HOUSE BILL NO. 210, As Amended – Health benefit plan, indiv, renew

HOUSE BILL NO. 210, As Amended

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Daily Data Tracking History

H0210aa.........................................................by BUSINESS
HEALTH BENEFIT PLANS - Amends existing law relating to requirements for
renewal of individual health benefit plans to redefine exceptions for
renewability of coverage.

02/10    House intro - 1st rdg - to printing
02/11    Rpt prt - hld at desk
02/16    Ref'd to Health/Wel
03/03    Rpt out - to Gen Ord
03/10    Rpt out amen - to engros
03/11    Rpt engros - 1st rdg - to 2nd rdg as amen
03/12    2nd rdg - to 3rd rdg as amen
    Rules susp - PASSED - 62-0-8
      AYES--Alltus, Barraclough(Barraclouth, Bell, Bieter, Black, Boe,
      Bruneel, Callister, Chase, Clark, Crow, Cuddy, Deal, Denney,
      Ellsworth, Field(13), Field(20), Gagner, Geddes, Hadley, Hammond,
      Hansen(23), Henbest, Hornbeck, Jaquet, Jones, Judd, Kellogg, Kempton,
      Kendell, Kunz, Lake, Limbaugh, Linford, Mader, Marley, McKague,
      Montgomery, Mortensen, Moyle, Pischner, Pomeroy, Reynolds, Ridinger,
      Ringo, Robison, Sali, Schaefer, Sellman, Smith, Smylie, Stevenson,
      Stoicheff, Stone, Taylor, Tippets, Trail, Watson, Wheeler, Williams,
      Zimmermann, Mr Speaker
      NAYS -- None
      Absent and excused -- Callister, Campbell, Gould, Hansen(29),
      Loertscher, Meyer, Tilman, Wood
    Floor Sponsor - Bieter, Deal
    Title apvd - to Senate
03/15    Senate intro - 1st rdg as amen - to Com/HuRes
03/17    Rpt out - rec d/p - to 2nd rdg as amen
03/18    2nd rdg - to 3rd rdg
    Rules susp - PASSED - 33-0-2
      AYES--Andreason, Boatright, Branch, Bunderson, Burtenshaw, Cameron,
      Crow, Danielson, Darrington, Davis, Deide, Dunklin, Frasure, Geddes,
      Hawkins, Ingram, Ipsen, Keough, King, Lee, McLaughlin, Richardson,
      Riggs, Risch, Sandy, Schroeder, Sorensen, Stegner, Stennett, Thorne,
      Twiggs, Wheeler, Whitworth
      Absent and excused--Noh, Parry
    Floor Sponsor - Crow
    Title apvd - to House
03/19    To enrol - rpt enrol - Sp signed - Pres signed
03/23    To Governor
03/29    Governor signed
         Session Law Chapter 392
         Effective: 07/01/99

Bill Text


 ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
Fifty-fifth Legislature                 First Regular Session - 1999

                             IN THE HOUSE OF REPRESENTATIVES

                              HOUSE BILL NO. 210, As Amended

                                  BY BUSINESS COMMITTEE

 1                                        AN ACT

 5    Be It Enacted by the Legislature of the State of Idaho:

 6        SECTION 1.  That Section 41-5207, Idaho Code, be, and the same  is  hereby
 7    amended to read as follows:

 8        41-5207.  RENEWABILITY  OF  COVERAGE. (1) A health benefit plan subject to
 9    the provisions of this chapter shall be renewable with respect to the individ-
10    ual or dependents, at the option of the individual, except in any of the  fol-
11    lowing cases:
12        (a)  Nonpayment of the required premiums;
13        (b)  Fraud  or intentional misrepresentation of material fact by the indi-
14        vidual insured or his representatives. An  individual  whose  coverage  is
15        terminated  for  fraud  or  misrepresentation shall not be deemed to be an
16        "eligible individual" for a period of twelve (12) months from  the  effec-
17        tive date of the termination of the individual's coverage and shall not be
18        deemed  to have "qualifying previous coverage" under chapter 22, 47 or 52,
19        title 41, Idaho Code;
20        (c)  The individual 's residence or workplace changes to one which is
21        outside the established geographic service area,  but  only  for  coverage
22        under  a  restricted  provider  network  within a managed care plan 
23          ceases  to  be  an  eligible  individual  as  defined  in   section
24        41-5203(14), Idaho Code ;
25        (d)  In  the  case  of health benefit plans that are made available in the
26        individual market only through one (1) or more associations, as defined in
27        section 41-2202, Idaho Code, the membership of an individual in the  asso-
28        ciation,  on  the basis of which the coverage is provided ceases, but only
29        if the coverage is  terminated  under  this  paragraph  uniformly  without
30        regard  to  any health status-related factor relating to any covered indi-
31        vidual;
32        (e)  The individual carrier elects to nonrenew all of its  health  benefit
33        plans  delivered  or  issued for delivery to individuals in this state. In
34        such a case the carrier shall:
35             (i)   Provide advance notice of its decision under this paragraph  to
36             the director; and
37             (ii)  Provide  notice  of  the  decision not to renew coverage to all
38             affected individuals and to the director at least one hundred  eighty
39             (180) days prior to the nonrenewal of any health benefit plans by the
40             carrier.  Notice  to  the director under the provisions of this para-
41             graph shall be provided at least three (3) working days prior to  the
42             notice to the affected individuals; or
43        (f)  The director finds that the continuation of the coverage would:


 1             (i)   Not  be  in the best interests of the policyholders or certifi-
 2             cate holders; or
 3             (ii)  Impair the carrier's ability to meet  its  contractual  obliga-
 4             tions.
 5        In  such instance, the director shall assist affected individuals in find-
 6        ing replacement coverage.
 7        (2)  An individual carrier that elects not to renew a health benefit  plan
 8    under  the provisions of subsection (1)(e) of this section shall be prohibited
 9    from writing new business in the individual market in this state for a  period
10    of five (5) years from the date of notice to the director.
11        (3)  In the case of an individual carrier doing business in one (1) estab-
12    lished  geographic service area of the state, the rules set forth in this sub-
13    section shall apply only to the carrier's operations in that service area.



 ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
Fifty-fifth Legislature                 First Regular Session - 1999

                                       Moved by     Bieter               

                                       Seconded by  Denney               

                             IN THE HOUSE OF REPRESENTATIVES
                             HOUSE AMENDMENT TO H.B. NO. 210

 1                                AMENDMENT TO SECTION 1
 2        On page 1 of the printed bill, in lines 20 and 21, delete "'s residence or
 3    workplace changes to one which is outside the"  and insert:  "  's  resi-
 4    dence  or  workplace  changes to one which is outside the "; and in line
 5    22, delete " state of Idaho " and insert: " ceases  to  be  an
 6    eligible individual as defined in section 41-5203(14), Idaho Code ".

Statement of Purpose / Fiscal Impact

                           STATEMENT OF PURPOSE

Health insurance companies which sell individual insurance policies in
Idaho are currently required to retain coverage on their individual
policyholders who move out of the State of Idaho. The purpose of this bill
is to delete that section of the Individual Health Insurance Availability
Act so that when insured individuals change their residence to one outside
Idaho, insurance carriers will not be required to maintain their coverage.

                        FISCAL NOTE

CONTACT NAME:  Julie Taylor
          Lyn Darrington

STATEMENT OF PURPOSE/ FISCAL NOTE           Bill No.      H 210