Senate Bill sb1744c1

CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2004                           CS for SB 1744

    By the Committee on Banking and Insurance; and Senator Peaden





    311-2048-04

  1                      A bill to be entitled

  2         An act relating to health flex plans; amending

  3         s. 408.909, F.S.; redefining the term "health

  4         flex plan entity" to include a public-private

  5         partnership; expanding a pilot program of the

  6         Agency for Health Care Administration and the

  7         Office of Insurance Regulation of the Financial

  8         Services Commission to establish statewide

  9         health flex plans; requiring the agency to

10         ensure that health flex plans follow grievance

11         procedures similar to those required of health

12         maintenance organizations; requiring the office

13         to provide oversight of health flex plan

14         advertising and marketing; requiring the agency

15         and the office to obtain information on

16         specified benefit packages; providing an

17         effective date.

18  

19  Be It Enacted by the Legislature of the State of Florida:

20  

21         Section 1.  Paragraph (f) of subsection (2), and

22  subsections (3) and (9) of section 408.909, Florida Statutes,

23  are amended to read:

24         408.909  Health flex plans.--

25         (2)  DEFINITIONS.--As used in this section, the term:

26         (f)  "Health flex plan entity" means a health insurer,

27  health maintenance organization,

28  health-care-provider-sponsored organization, local government,

29  health care district, or other public or private

30  community-based organization, or public-private partnership

31  that develops and implements an approved health flex plan and

                                  1

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                           CS for SB 1744
    311-2048-04




 1  is responsible for administering the health flex plan and

 2  paying all claims for health flex plan coverage by enrollees

 3  of the health flex plan.

 4         (3)  HEALTH FLEX PILOT PROGRAM.--The agency and the

 5  office shall each approve or disapprove health flex plans that

 6  provide health care coverage for eligible participants who

 7  reside in the three areas of the state that have the highest

 8  number of uninsured persons, as identified in the Florida

 9  Health Insurance Study conducted by the agency and in Indian

10  River County. A health flex plan may limit or exclude benefits

11  otherwise required by law for insurers offering coverage in

12  this state, may cap the total amount of claims paid per year

13  per enrollee, may limit the number of enrollees, or may take

14  any combination of those actions.

15         (a)  The agency shall develop guidelines for the review

16  of applications for health flex plans and shall disapprove or

17  withdraw approval of plans that do not meet or no longer meet

18  minimum standards for quality of care and access to care. The

19  agency shall ensure that the health flex plans follow

20  grievance procedures similar to those required of health

21  maintenance organizations.

22         (b)  The office shall develop guidelines for the review

23  of health flex plan applications and provide regulatory

24  oversight of advertisement and marketing procedures for health

25  flex plans. The office shall disapprove or shall withdraw

26  approval of plans that:

27         1.  Contain any ambiguous, inconsistent, or misleading

28  provisions or any exceptions or conditions that deceptively

29  affect or limit the benefits purported to be assumed in the

30  general coverage provided by the health flex plan;

31  

                                  2

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                           CS for SB 1744
    311-2048-04




 1         2.  Provide benefits that are unreasonable in relation

 2  to the premium charged or contain provisions that are unfair

 3  or inequitable or contrary to the public policy of this state,

 4  that encourage misrepresentation, or that result in unfair

 5  discrimination in sales practices; or

 6         3.  Cannot demonstrate that the health flex plan is

 7  financially sound and that the applicant is able to underwrite

 8  or finance the health care coverage provided.

 9         (c)  The agency and the Financial Services Commission

10  may adopt rules as needed to administer this section.

11         (9)  PROGRAM EVALUATION.--The agency and the office

12  shall evaluate the pilot program and its effect on the

13  entities that seek approval as health flex plans, on the

14  number of enrollees, and on the scope of the health care

15  coverage offered under a health flex plan; shall provide an

16  assessment of the health flex plans and their potential

17  applicability in other settings; shall use health flex plans

18  to gather more information to evaluate benefit packages

19  designed for low-income consumers; and shall, by January 1,

20  2005 2004, jointly submit a report to the Governor, the

21  President of the Senate, and the Speaker of the House of

22  Representatives.

23         Section 2.  This act shall take effect upon becoming a

24  law.

25  

26  

27  

28  

29  

30  

31  

                                  3

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                           CS for SB 1744
    311-2048-04




 1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
 2                         Senate Bill 1744

 3                                 

 4  
    -    Includes public-private partnerships within the
 5       definition of a "health flex plan entity."

 6  -    Requires the Agency for Health Care Administration to
         ensure health flex plans follow grievance procedures
 7       similar to health maintenance organizations. The Office
         of Insurance Regulation is required to provide regulatory
 8       oversight of health flex plan advertisement and marketing
         procedures.
 9  
    -    Mandates that the Office on Insurance Regulation and the
10       Agency for Health Care Administration use health flex
         plans to gather more information to evaluate benefit
11       packages designed for low-income consumers, such
         information to be included in a report due January 1,
12       2005.

13  

14  

15  

16  

17  

18  

19  

20  

21  

22  

23  

24  

25  

26  

27  

28  

29  

30  

31  

                                  4

CODING: Words stricken are deletions; words underlined are additions.