HOUSE AMENDMENT
                                                  Bill No. HB 1253   Barcode 875235
    Amendment No. 1 (for drafter's use only)
                            CHAMBER ACTION
              Senate                               House
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11  The Committee on Health Promotion offered the following:
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13         Amendment (with title amendment) 
14         On page 1, line 31,
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16  insert:  
17         Section 1.  Health flex plans.--
18         (1)  INTENT.--The Legislature finds that a significant
19  portion of the residents of this state are not able to obtain
20  affordable health insurance coverage.  Therefore it is the
21  intent of the Legislature to expand the availability of health
22  care options for lower income uninsured state residents by
23  encouraging health insurers, health maintenance organizations,
24  health care provider-sponsored organizations, local
25  governments, health care districts, or other public or private
26  community-based organizations to develop alternative
27  approaches to traditional health insurance which emphasize
28  coverage for basic and preventive health care services.  To
29  the maximum extent possible, such options should be
30  coordinated with existing governmental or community-based
31  health services programs in a manner which is consistent with
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    File original & 9 copies    03/29/01                          
    hci0001                     04:57 pm         01253-hp  -875235

HOUSE AMENDMENT Bill No. HB 1253 Barcode 875235 Amendment No. 1 (for drafter's use only) 1 the objectives and requirements of such programs. 2 (2) DEFINITIONS.--As used in this section: 3 (a) "Agency" means the Agency for Health Care 4 Administration. 5 (b) "Approved plan" means a health flex plan approved 6 under subsection (3) which guarantees payment by the health 7 plan entity for specified health care services provided to the 8 enrollee. 9 (c) "Enrollee" means an individual who has been 10 determined eligible for and is receiving health benefits under 11 a health flex plan approved under this section. 12 (d) "Health care coverage" means payment for health 13 care services covered as benefits under an approved plan or 14 that otherwise provides, either directly or through 15 arrangements with other persons, covered health care services 16 on a prepaid per capita basis or on a prepaid aggregate 17 fixed-sum basis. 18 (e) "Health plan entity" means a health insurer, 19 health maintenance organization, health care 20 provider-sponsored organization, local government, health care 21 districts, or other public or private community-based 22 organization which develops and implements an approved plan, 23 and is responsible for financing and paying all claims by 24 enrollees of the plan. 25 (3) PILOT PROGRAM.--The agency and the Department of 26 Insurance shall jointly approve or disapprove health flex 27 plans which provide health care coverage for eligible 28 participants residing in the three areas of the state having 29 the highest number of uninsured residents as determined by the 30 agency. A plan may limit or exclude benefits otherwise 31 required by law for insurers offering coverage in this state, 2 File original & 9 copies 03/29/01 hci0001 04:57 pm 01253-hp -875235
HOUSE AMENDMENT Bill No. HB 1253 Barcode 875235 Amendment No. 1 (for drafter's use only) 1 cap the total amount of claims paid in 1 year per enrollee, or 2 limit the number of enrollees covered. The agency and the 3 Department of Insurance shall not approve or shall withdraw 4 approval of a plan which: 5 (a) Contains any ambiguous, inconsistent, or 6 misleading provisions, or exceptions or conditions that 7 deceptively affect or limit the benefits purported to be 8 assumed in the general coverage provided by the plan; 9 (b) Provides benefits that are unreasonable in 10 relation to the premium charged, contains provisions that are 11 unfair or inequitable or contrary to the public policy of this 12 state or that encourage misrepresentation, or result in unfair 13 discrimination in sales practices; or 14 (c) Cannot demonstrate that the plan is financially 15 sound and the applicant has the ability to underwrite or 16 finance the benefits provided. 17 (4) LICENSE NOT REQUIRED.--A health flex plan approved 18 under this section shall not be subject to the licensing 19 requirements of the Florida Insurance Code or chapter 641, 20 Florida Statutes, relating to health maintenance 21 organizations, unless expressly made applicable. However, for 22 the purposes of prohibiting unfair trade practices, health 23 flex plans shall be considered insurance subject to the 24 applicable provisions of part IX of chapter 626, Florida 25 Statutes, except as otherwise provided in this section. 26 (5) ELIGIBILITY.--Eligibility to enroll in an approved 27 health flex plan is limited to residents of this state who: 28 (a) Are 64 years of age or younger; 29 (b) Have a family income equal to or less than 200 30 percent of the federal poverty level; 31 (c) Are not covered by a private insurance policy and 3 File original & 9 copies 03/29/01 hci0001 04:57 pm 01253-hp -875235
HOUSE AMENDMENT Bill No. HB 1253 Barcode 875235 Amendment No. 1 (for drafter's use only) 1 are not eligible for coverage through a public health 2 insurance program such as Medicare or Medicaid, or other 3 public health care program, including, but not limited to, 4 Kidcare, and have not been covered at any time during the past 5 6 months; and 6 (d) Have applied for health care benefits through an 7 approved health flex plan and agree to make any payments 8 required for participation, including, but not limited to, 9 periodic payments and payments due at the time health care 10 services are provided. 11 (6) RECORDS.--Every health flex plan provider shall 12 maintain reasonable records of its loss, expense, and claims 13 experience and shall make such records reasonably available to 14 enable the agency and the Department of Insurance to monitor 15 and determine the financial viability of the plan, as 16 necessary. 17 (7) NOTICE.--The denial of coverage by the health plan 18 entity shall be accompanied by the specific reasons for 19 denial, nonrenewal, or cancellation. Notice of nonrenewal or 20 cancellation shall be provided at least 45 days in advance of 21 such nonrenewal or cancellation except that 10 days' written 22 notice shall be given for cancellation due to nonpayment of 23 premiums. If the health plan entity fails to give the 24 required notice, the plan shall remain in effect until notice 25 is appropriately given. 26 (8) NONENTITLEMENT.--Coverage under an approved health 27 flex plan is not an entitlement and no cause of action shall 28 arise against the state, local governmental entity, or other 29 political subdivision of this state or the agency for failure 30 to make coverage available to eligible persons under this 31 section. 4 File original & 9 copies 03/29/01 hci0001 04:57 pm 01253-hp -875235
HOUSE AMENDMENT Bill No. HB 1253 Barcode 875235 Amendment No. 1 (for drafter's use only) 1 (9) CIVIL ACTIONS.--In addition to an administrative 2 action initiated under subsection (4), the agency may seek any 3 remedy provided by law, including, but not limited to, the 4 remedies provided in s. 812.035, Florida Statutes, if the 5 agency finds that a health plan entity has engaged in any act 6 resulting in injury to an enrollee covered by a plan approved 7 under this section. 8 9 10 ================ T I T L E A M E N D M E N T =============== 11 And the title is amended as follows: 12 On page 1, lines 2 and 3, 13 remove from the title of the bill: all of said lines, 14 15 and insert in lieu thereof: 16 An act relating to health insurance; providing 17 legislative intent; providing definitions; 18 providing for a pilot program for health flex 19 plans for certain uninsured persons; providing 20 criteria; exempting approved health flex plans 21 from certain licensing requirements; providing 22 criteria for eligibility to enroll in a health 23 flex plan; requiring health flex plan providers 24 to maintain certain records; providing 25 requirements for denial, nonrenewal, or 26 cancellation of coverage; specifying coverage 27 under an approved health flex plan is not an 28 entitlement; providing for civil actions 29 against health plan entities by the Agency for 30 Health Care Administration under certain 31 circumstances; amending s. 627.6699, F.S.; 5 File original & 9 copies 03/29/01 hci0001 04:57 pm 01253-hp -875235
HOUSE AMENDMENT Bill No. HB 1253 Barcode 875235 Amendment No. 1 (for drafter's use only) 1 revising 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 6 File original & 9 copies 03/29/01 hci0001 04:57 pm 01253-hp -875235