Senate Bill 2152c1
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2000                           CS for SB 2152
    By the Committee on Governmental Oversight and Productivity;
    and Senator Latvala
    302-2198-00
  1                      A bill to be entitled
  2         An act relating to health insurance; amending
  3         s. 216.136, F.S.; creating the Mandated Health
  4         Insurance Benefits and Providers Estimating
  5         Conference; providing for membership and duties
  6         of the conference; providing duties of
  7         legislative committees that have jurisdiction
  8         over health insurance matters; amending s.
  9         624.215, F.S.; providing that certain
10         legislative proposals must be submitted to and
11         assessed by the conference, rather than the
12         Agency for Health Care Administration; amending
13         guidelines for assessing the impact of a
14         proposal to legislatively mandate certain
15         health coverage; providing prerequisites to
16         legislative consideration of such proposals;
17         providing an effective date.
18
19  Be It Enacted by the Legislature of the State of Florida:
20
21         Section 1.  Subsection (12) is added to section
22  216.136, Florida Statutes, to read:
23         216.136  Consensus estimating conferences; duties and
24  principals.--
25         (12)  MANDATED HEALTH INSURANCE BENEFITS AND PROVIDERS
26  ESTIMATING CONFERENCE.--
27         (a)  Duties.--The Mandated Health Insurance Benefits
28  and Providers Estimating Conference shall:
29         1.  Develop and maintain, with the Department of
30  Insurance, a system and program of data collection to assess
31  the impact of mandated benefits and providers, including costs
                                  1
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2000                           CS for SB 2152
    302-2198-00
  1  to employers and insurers, impact of treatment, cost savings
  2  in the health care system, number of providers, and other
  3  appropriate data.
  4         2.  Prescribe the format, content, and timing of
  5  information that is to be submitted to the conference and used
  6  by the conference in its assessment of proposed and existing
  7  mandated benefits and providers. Such format, content, and
  8  timing requirements are binding upon all parties submitting
  9  information for the conference to use in its assessment of
10  proposed and existing mandated benefits and providers.
11         3.  Provide assessments of proposed and existing
12  mandated benefits and providers and other studies of mandated
13  benefits and provider issues as requested by the Legislature
14  or the Governor. When a legislative measure containing a
15  mandated health insurance benefit or provider is proposed, the
16  standing committee of the Legislature which has jurisdiction
17  over the proposal shall request that the conference prepare
18  and forward to the Governor and the Legislature a study that
19  provides, for each measure, a cost-benefit analysis that
20  assesses the social and financial impact and the medical
21  efficacy according to prevailing medical standards of the
22  proposed mandate. The conference has 12 months after the
23  committee makes its request in which to complete and submit
24  the conference's report. The standing committee may not
25  consider such a proposed legislative measure until 12 months
26  after it has requested the conference's report on the measure.
27         4.  The standing committees of the Legislature which
28  have jurisdiction over health insurance matters shall request
29  that the conference assess the social and financial impact and
30  the medical efficacy of existing mandated benefits and
31  providers. The committees shall submit to the conference by
                                  2
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2000                           CS for SB 2152
    302-2198-00
  1  January 1, 2001, a schedule of evaluations that sets forth the
  2  respective dates by which the conference must have completed
  3  its evaluations of particular existing mandates.
  4         (b)  Principals.--The Executive Office of the Governor,
  5  the Insurance Commissioner, the Director of the Division of
  6  Economic and Demographic Research of the Joint Legislative
  7  Management Committee, and professional staff of the Senate and
  8  the House of Representatives who have health insurance
  9  expertise, or their designees, are the principals of the
10  Mandated Health Insurance Benefits and Providers Estimating
11  Conference. The responsibility of presiding over sessions of
12  the conference shall be rotated among the principals.
13         Section 2.  Section 624.215, Florida Statutes, is
14  amended to read:
15         624.215  Proposals for legislation which mandates
16  health benefit coverage; review by Legislature.--
17         (1)  LEGISLATIVE INTENT.--The Legislature finds that
18  there is an increasing number of proposals which mandate that
19  certain health benefits be provided by insurers and health
20  maintenance organizations as components of individual and
21  group policies.  The Legislature further finds that many of
22  these benefits provide beneficial social and health
23  consequences which may be in the public interest.  However,
24  the Legislature also recognizes that most mandated benefits
25  contribute to the increasing cost of health insurance
26  premiums.  Therefore, it is the intent of the Legislature to
27  conduct a systematic review of current and proposed mandated
28  or mandatorily offered health coverages and to establish
29  guidelines for such a review.  This review will assist the
30  Legislature in determining whether mandating a particular
31  coverage is in the public interest.
                                  3
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2000                           CS for SB 2152
    302-2198-00
  1         (2)  MANDATED HEALTH COVERAGE; REPORT TO THE MANDATED
  2  HEALTH INSURANCE BENEFITS AND PROVIDERS ESTIMATING CONFERENCE
  3  AGENCY FOR HEALTH CARE ADMINISTRATION AND LEGISLATIVE
  4  COMMITTEES; GUIDELINES FOR ASSESSING IMPACT.--Every person or
  5  organization seeking consideration of a legislative proposal
  6  which would mandate a health coverage or the offering of a
  7  health coverage by an insurance carrier, health care service
  8  contractor, or health maintenance organization as a component
  9  of individual or group policies, shall submit to the Mandated
10  Health Insurance Benefits and Providers Estimating Conference
11  Agency for Health Care Administration and the legislative
12  committees having jurisdiction a report which assesses the
13  social and financial impacts of the proposed coverage.
14  Guidelines for assessing the impact of a proposed mandated or
15  mandatorily offered health coverage must, to the extent that
16  information is available, shall include:
17         (a)  To what extent is the treatment or service
18  generally used by a significant portion of the population.
19         (b)  To what extent is the insurance coverage generally
20  available.
21         (c)  If the insurance coverage is not generally
22  available, to what extent does the lack of coverage result in
23  persons avoiding necessary health care treatment.
24         (d)  If the coverage is not generally available, to
25  what extent does the lack of coverage result in unreasonable
26  financial hardship.
27         (e)  The level of public demand for the treatment or
28  service.
29         (f)  The level of public demand for insurance coverage
30  of the treatment or service.
31
                                  4
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2000                           CS for SB 2152
    302-2198-00
  1         (g)  The level of interest of collective bargaining
  2  agents in negotiating for the inclusion of this coverage in
  3  group contracts.
  4         (h)  A report of the extent to which To what extent
  5  will the coverage will increase or decrease the cost of the
  6  treatment or service.
  7         (i)  A report of the extent to which To what extent
  8  will the coverage will increase the appropriate uses of the
  9  treatment or service.
10         (j)  A report of the extent to which To what extent
11  will the mandated treatment or service will be a substitute
12  for a more expensive treatment or service.
13         (k)  A report of the extent to which To what extent
14  will the coverage will increase or decrease the administrative
15  expenses of insurance companies and the premium and
16  administrative expenses of policyholders.
17         (l)  A report as to the impact of this coverage on the
18  total cost of health care.
19
20  The reports required in paragraphs (h) through (l) shall be
21  reviewed by the Mandated Health Insurance Benefits and
22  Providers Conference using a certified actuary. The standing
23  committee of the Legislature which has jurisdiction over the
24  legislative proposal must request and receive a report from
25  the Mandated Health Insurance Benefits and Providers
26  Estimating Conference before the committee considers the
27  proposal. The committee may not consider a legislative
28  proposal that would mandate a health coverage or the offering
29  of a health coverage by an insurance carrier, health care
30  service contractor, or health maintenance organization until
31  after the committee's request to the Mandated Health Insurance
                                  5
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2000                           CS for SB 2152
    302-2198-00
  1  Benefits and Providers Estimating Conference has been
  2  answered. As used in this section, the term "health coverage
  3  mandate" includes mandating the use of a type of provider.
  4         Section 3.  This act shall take effect July 1, 2000.
  5
  6          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
  7                             SB 2152
  8
  9  Modifies the bill by restoring current statutory language
    which provides that guidelines for assessing the impact of a
10  proposed mandated or mandatorily offered health coverage, to
    the extent that the information is available, include certain
11  items.
12  Removes requirement that the reports filed by persons or
    organizations seeking a mandated health benefit be prepared by
13  a certified actuary. Instead authorizes the committee to have
    them reviewed by a certified actuary.
14
     Makes technical and grammatical changes.
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
                                  6