New York Assembly Bill A05445 Latest Draft

   
  STATE OF NEW YORK ________________________________________________________________________ 5445 2023-2024 Regular Sessions  IN ASSEMBLY March 10, 2023 ___________ Introduced by M. of A. COOK, WEPRIN, REYES -- Multi-Sponsored by -- M. of A. GLICK, PEOPLES-STOKES -- read once and referred to the Committee on Insurance AN ACT to amend the insurance law, in relation to providing disclosure to medicare supplemental insurance policy holders regarding the rights of such holders at the time of a rate change The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The insurance law is amended by adding a new section 3218-a 2 to read as follows: 3 § 3218-a. Required disclosure to Medicare supplemental insurance poli- 4 cy holders. (a) Every insurer offering a renewal of a contract to a 5 closed block member, or notifying such closed block member of a proposed 6 or approved change in the premiums or the benefits under such contract, 7 shall notify such member in writing, in a form approved by the super- 8 intendent, of: (1) the ability of such member to purchase a different 9 policy without undergoing a pre-existing condition waiting period 10 providing there was continuous coverage the previous six months; and (2) 11 the availability of any policy or contract offered by such insurer 12 providing similar benefits at a lower premium, and a toll-free telephone 13 number and internet website where such member may find information 14 regarding policies providing similar benefits offered by another insur- 15 er, a corporation organized pursuant to article forty-three of this 16 chapter, or an organization certified pursuant to article forty-four of 17 the public health law. 18 (b) For the purposes of this section, "closed block member" shall mean 19 the holder of a contract of Medicare supplemental insurance issued by an 20 insurer pursuant to a form for which such insurer no longer solicits or 21 accepts new policyholders, but continues to offer renewal contracts to 22 existing policyholders under such form. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD08253-01-3 
 A. 5445 2 1 § 2. The insurance law is amended by adding a new section 4331 to read 2 as follows: 3 § 4331. Required disclosure to Medicare supplemental insurance policy 4 holders. (a) Every corporation offering a renewal of a contract to a 5 closed block member, or notifying such closed block member of a proposed 6 or approved change in the premiums or the benefits under such contract, 7 shall notify such member in writing, in a form approved by the super- 8 intendent, of: (1) the ability of such member to purchase a different 9 contract without undergoing a pre-existing condition waiting period 10 providing there was continuous coverage the previous six months; and (2) 11 the availability of any policy or contract offered by such corporation 12 providing similar benefits at a lower premium, and a toll-free telephone 13 number and internet website where such member may find information 14 regarding contracts providing similar benefits offered by another insur- 15 er, a corporation organized pursuant to this article, or an organization 16 certified pursuant to article forty-four of the public health law. 17 (b) For the purposes of this section, "closed block member" shall mean 18 the holder of a contract of Medicare supplemental insurance issued by a 19 corporation pursuant to a form for which such corporation no longer 20 solicits or accepts new subscribers, but continues to offer renewal 21 contracts to existing subscribers under such form. 22 § 3. This act shall take effect on January first next succeeding the 23 date on which it shall have become a law and shall apply to all policies 24 issued, renewed, modified or altered on or after such date.