Florida Senate - 2012 SB 1630 By Senator Alexander 17-01184A-12 20121630__ 1 A bill to be entitled 2 An act relating to interstate health insurance; 3 creating s. 624.122, F.S.; authorizing solicitation 4 and sale of interstate health insurance policies in 5 this state by certain persons; providing a definition; 6 requiring interstate health insurance policies and 7 policy applications to contain a certain notice; 8 providing for application of certain provisions to 9 certain insurers; excluding interstate health 10 insurance policies from certain requirements; 11 requiring such interstate health insurers to make 12 certain filings relating to policy forms and rates; 13 requiring the Office of Insurance Regulation to make 14 available on its website certain interstate health 15 policy forms and rates; authorizing certain authorized 16 domestic health insurers to engage in specified 17 activities relating to the sale of interstate health 18 insurance; requiring such authorized domestic insurers 19 to file a notice with the office of the intent to 20 engage in such activities and a copy of certain forms 21 and rates; authorizing subsidiaries and related 22 corporations of certain domestic health insurers, 23 which provide specified creditable health insurance 24 coverage and are governed by certain laws other than 25 the laws of this state to engage in specified 26 activities relating to the sale of interstate health 27 insurance; exempting interstate health insurance 28 policies and applications from certain Florida 29 Insurance Code provisions; providing exceptions; 30 providing an effective date. 31 32 WHEREAS, while many residents of this state have access to 33 first-rate health care, affordable health care coverage is not 34 available to all who wish to purchase it, and 35 WHEREAS, by removing barriers limiting access to affordable 36 health care coverage and expanding opportunities for residents 37 of this state to purchase more affordable coverage, this state 38 can improve access to health care and curtail rising health care 39 costs while preserving the first-rate care that so many 40 Floridians already enjoy, and 41 WHEREAS, it is important to provide residents of this state 42 with more choices when selecting a health insurance product to 43 allow individuals and families the ability to purchase 44 affordable health care coverage, thereby increasing their access 45 to quality health care, NOW, THEREFORE, 46 47 Be It Enacted by the Legislature of the State of Florida: 48 49 Section 1. Section 624.122, Florida Statutes, is created to 50 read: 51 624.122 Interstate health insurance policies; notice; 52 exemption.— 53 (1) Interstate health insurance policies and applications 54 may be solicited and sold in this state only by a licensed 55 health insurance agent and underwritten only by an insurer 56 authorized to transact insurance in this state. For purposes of 57 this subsection, the term “interstate health insurance policy” 58 means a policy of health insurance providing creditable coverage 59 as defined in s. 627.6561(5)(a)2. which is offered to an 60 individual who is a resident of this state and the policy is 61 governed by the laws of any state, district, or commonwealth of 62 the United States other than this state. 63 (2) Any interstate health insurance policy sold, and any 64 application for such insurance provided to a resident of this 65 state pursuant to this section, must contain the following 66 conspicuous, boldfaced disclosure in at least 12-point type: 67 68 THIS INDIVIDUAL HEALTH INSURANCE POLICY IS PRIMARILY 69 GOVERNED BY THE LAWS OF ...(INSERT STATE, DISTRICT, OR 70 COMMONWEALTH).... AS A RESULT, THIS POLICY DOES NOT 71 COMPLY WITH COVERAGE, UNDERWRITING, AND OTHER 72 PROVISIONS OF THE FLORIDA INSURANCE CODE. ALL OF THE 73 RATING LAWS APPLICABLE TO POLICIES FILED IN FLORIDA DO 74 NOT APPLY TO THIS COVERAGE, WHICH MAY RESULT IN 75 INCREASES IN YOUR PREMIUM AT RENEWAL THAT WOULD NOT BE 76 PERMISSIBLE UNDER A FLORIDA-APPROVED POLICY. ANY 77 PURCHASE OF INDIVIDUAL HEALTH INSURANCE SHOULD BE 78 CONSIDERED CAREFULLY, AS FUTURE MEDICAL CONDITIONS MAY 79 MAKE IT IMPOSSIBLE TO QUALIFY FOR ANOTHER INDIVIDUAL 80 HEALTH POLICY. FOR INFORMATION CONCERNING INDIVIDUAL 81 HEALTH COVERAGE UNDER A FLORIDA-APPROVED POLICY, 82 CONSULT YOUR AGENT OR THE FLORIDA DEPARTMENT OF 83 FINANCIAL SERVICES. 84 85 (3) Any insurer underwriting interstate health insurance 86 policies pursuant to this section is subject to all applicable 87 provisions of the Florida Insurance Code, except as otherwise 88 provided in this section. Interstate health insurance policies 89 are not subject to any form approval, rate approval, 90 underwriting restrictions, guaranteed availability, or coverage 91 mandates provided in the Florida Insurance Code. The insurer 92 must file the interstate health insurance policy forms and rates 93 and all subsequent changes to such forms and rates with the 94 office for informational purposes only, and the office must make 95 all such forms and rates available to the public on the office’s 96 website. Health insurance agents who are licensed and appointed 97 pursuant to chapter 626 may solicit, sell, effect, collect 98 premium on, and deliver interstate health insurance policies in 99 accordance with this section. 100 (4) Any domestic health insurer authorized to transact 101 health insurance in this state that is not authorized to 102 transact health insurance in any other state may: 103 (a) Adopt, solicit, and sell any interstate health 104 insurance policy available in this state, using any of the forms 105 and rates filed with the office, by filing a notice with the 106 office of the insurer’s intent to adopt, solicit, and sell such 107 policies in this state. The domestic insurer must file, for 108 informational purposes only, a copy of the forms and rates the 109 insurer will be using. 110 (b) Adopt, solicit, and sell as an interstate health 111 insurance policy any health insurance policy issued by a 112 subsidiary or related corporation, as defined in s. 113 625.325(3)(a) and (b), of a domestic insurer under this 114 subsection which provides creditable coverage, as defined in s. 115 627.6561(5)(a)2., and is governed by laws of any state, 116 district, or commonwealth of the United States other than this 117 state by complying with the requirements of this section. 118 (5) Any interstate health insurance policy or application 119 solicited, provided, entered into, issued, or delivered pursuant 120 to this section is exempt from all provisions of the Florida 121 Insurance Code, except that such policy, contract, or agreement 122 is subject to the provisions of ss. 624.155, 624.316, 624.3161, 123 624.401, 624.404, 624.407, 624.408, 624.4085, 624.40851, 124 624.4095, 624.411, 624.413, 624.414, 624.415, 624.416, 624.418, 125 624.420, 624.421, 624.4211, 624.4213, 624.422, 624.423, 624.424, 126 624.4241, 624.4245, 624.428, 624.430, 624.509, 624.5091, 127 626.951, 626.9511, 626.9521, 626.9541, 626.9551, 626.9561, 128 626.9571, 626.9581, 626.9591, 626.9601, 627.428, and 627.6043. 129 Section 2. This act shall take effect July 1, 2012.