Bill Monning
- Democratic
Author
Existing federal law provides for the Medicare Program, which is a public health insurance program for persons 65 years of age and older and specified persons with disabilities who are under 65 years of age. Under the Medicare Program, eligible persons receive various health care services, including medically necessary services and supplies and preventive services. Existing law, the Knox-Keene Health Care Service Plan Act of 1975, provides for the licensure and regulation of health care service plans by the Department of Managed Health Care and makes a violation of the act a crime. Existing law provides for the licensure and regulation of health insurers by the Insurance Commissioner. Under existing law, a health plan or health insurer that issues a Medicare supplement contract or policy, as defined, is required to comply with requirements, in addition to those generally imposed on health care service plan contracts and health insurance policies. Existing law authorizes a health plan or health insurer with the prior approval of the department or commissioner, respectively, to offer a Medicare supplement contract or policy with new or innovative benefits, in addition to the standardized benefits provided in a contract or policy that otherwise complies with the applicable standards. Existing law imposes an annual open enrollment period of a minimum of 30 days to purchase a Medicare supplement contract or policy, and requires a health plan or health insurer to notify an enrollee or policyholder of specified rights prior to the open enrollment period. This bill would exclude outpatient prescription drug benefits as a new or innovative benefit. The bill, commencing July 1, 2020, would require the portion of the premium attributed to the new or innovative benefits to be identified as a separate line item on the payment invoice or bill. The bill would require the Department of Managed Health Care and the Department of Insurance to collaborate with specified individuals and entities, including consumer group representatives, to develop and implement various policies and procedures related to the new requirements, such as standardizing the new or innovative benefits approved for sale. The bill would authorize the Director of the Department of Managed Health Care and the Insurance Commissioner to issue, on or before July 1, 2020, guidance on these requirements, and would require the guidance to be effective only through December 31, 2022, or until the director and the commissioner promulgate regulations. The bill would extend the annual open enrollment period to a minimum of 60 days to purchase a Medicare supplement contract or policy, would require a health plan or health insurer to notify an enrollee or policyholder of specified rights on any notice related to a benefit modification or premium adjustment, and would exclude new or innovative benefits from the determination of whether benefits are equal to or lesser than those provided by the previous coverage. Because a willful violation of these provisions by a health care service plan would be a crime, the bill would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.
Chaptered by Secretary of State. Chapter 549, Statutes of 2019.
Approved by the Governor.
Enrolled and presented to the Governor at 3 p.m.
Assembly amendments concurred in. (Ayes 30. Noes 10. Page 2835.) Ordered to engrossing and enrolling.
Read third time. Passed. (Ayes 66. Noes 8. Page 3193.) Ordered to the Senate.
In Senate. Concurrence in Assembly amendments pending.
Read third time and amended.
Ordered to third reading.
Read second time. Ordered to third reading.
From committee: Do pass. (Ayes 14. Noes 3.) (August 30).
August 21 set for first hearing. Placed on APPR. suspense file.
From committee with author's amendments. Read second time and amended. Re-referred to Com. on APPR.
Read second time and amended. Re-referred to Com. on APPR.
From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 12. Noes 0.) (July 9).
From committee with author's amendments. Read second time and amended. Re-referred to Com. on HEALTH.
July 2 set for first hearing canceled at the request of author.
In Assembly. Read first time. Held at Desk.
Read third time. Passed. (Ayes 29. Noes 9. Page 1185.) Ordered to the Assembly.
Read second time. Ordered to third reading.
From committee: Do pass. (Ayes 4. Noes 2. Page 1098.) (May 16).
Set for hearing May 16.
May 13 hearing: Placed on APPR. suspense file.
Set for hearing May 13.
From committee: Do pass and re-refer to Com. on APPR. (Ayes 7. Noes 2. Page 848.) (April 24). Re-referred to Com. on APPR.
Set for hearing April 24.
From committee with author's amendments. Read second time and amended. Re-referred to Com. on RLS.
From printer. May be acted upon on or after March 23.
Introduced. Read first time. To Com. on RLS. for assignment. To print.
| Bill Text Versions | Format |
|---|---|
| SB407 | HTML |
| 02/20/19 - Introduced | |
| 03/28/19 - Amended Senate | |
| 07/05/19 - Amended Assembly | |
| 08/12/19 - Amended Assembly | |
| 08/14/19 - Amended Assembly | |
| 09/05/19 - Amended Assembly | |
| 09/13/19 - Enrolled | |
| 10/07/19 - Chaptered |
| Document | Format |
|---|---|
| No related documents. |
Data on Open States is updated periodically throughout the day from the official website of the California State Legislature.
If you notice any inconsistencies with these official sources, feel free to file an issue.