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                                                      PRINTER'S NO. 3963

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 2766 Session of 2000


        INTRODUCED BY MUNDY, DeLUCA, WANSACZ, GRUCELA, ROONEY, MANN,
           CAWLEY, BELARDI, TIGUE, SANTONI, STABACK, BLAUM, YUDICHAK,
           BELFANTI, FREEMAN, CAPPABIANCA, GEORGE, SAYLOR, NAILOR,
           DeWEESE, VEON, TRICH, M. COHEN, BARRAR, LaGROTTA, NICKOL,
           HENNESSEY, HALUSKA, COY, SURRA, CORRIGAN, SHANER, LAUGHLIN,
           SOLOBAY, PETRARCA, MANDERINO, FAIRCHILD, WOJNAROSKI, BEBKO-
           JONES, WALKO, WRIGHT, TANGRETTI, JAMES, CURRY, STURLA,
           SCRIMENTI, MAHER, PLATTS, COSTA, WASHINGTON, FRANKEL, FLICK
           AND YOUNGBLOOD, SEPTEMBER 27, 2000

        REFERRED TO COMMITTEE ON INSURANCE, SEPTEMBER 27, 2000

                                     AN ACT

     1  Amending Title 40 (Insurance) of the Pennsylvania Consolidated
     2     Statutes, providing for employer-group health insurance
     3     coverage.

     4     The General Assembly of the Commonwealth of Pennsylvania
     5  hereby enacts as follows:
     6     Section 1.  Section 6101 of Title 40 of the Pennsylvania
     7  Consolidated Statutes is amended by adding definitions to read:
     8  § 6101.  Definitions.
     9     The following words and phrases when used in this chapter
    10  shall have, unless the context clearly indicates otherwise, the
    11  meanings given to them in this section:
    12     "Eligible employer."  A person that employs no more than 50
    13  individuals.
    14     "Eligible individual."  Any of the following:
    15         (1)  An individual who is employed by an eligible

     1     employer.
     2         (2)  An individual who operates a sole proprietorship.
     3         (3)  A spouse or dependent child of an individual listed
     4     in paragraph (1) or (2).
     5     "Employer group."  A group of at least 500 eligible
     6  individuals which the Insurance Department certifies as eligible
     7  for group health insurance coverage on the basis of inability to
     8  secure favorable health insurance coverage.
     9     * * *
    10     Section 2.  Title 40 is amended by adding a section to read:
    11  § 6126.1.  Employer groups.
    12     A hospital plan corporation shall do all of the following:
    13         (1)  Accept an employer group as a subscriber.
    14         (2)  Establish a rate for each employer group accepted
    15     under paragraph (1). The rate is subject to approval by the
    16     Insurance Department.
    17     Section 3.  Section 6302(a) of Title 40 is amended by adding
    18  definitions to read:
    19  § 6302.  Definitions.
    20     (a)  General rule.--The following words and phrases when used
    21  in this chapter shall have, unless the context clearly indicates
    22  otherwise, the meanings given to them in this section:
    23     * * *
    24     "Eligible employer."  A person that employs no more than 50
    25  individuals.
    26     "Eligible individual."  Any of the following:
    27         (1)  An individual who is employed by an eligible
    28     employer.
    29         (2)  An individual who operates a sole proprietorship.
    30         (3)  A spouse or dependent child of an individual listed
    20000H2766B3963                  - 2 -

     1     in paragraph (1) or (2).
     2     "Employer group."  A group of at least 500 eligible employers
     3  which the Insurance Department certifies as eligible for group
     4  health insurance coverage on the basis of inability to secure
     5  favorable health insurance coverage.
     6     * * *
     7     Section 4.  Section 6322(b) of Title 40 is amended to read:
     8  § 6322.  Scope of service.
     9     * * *
    10     (b)  Classes and kinds of services.--The certificate of
    11  authority, bylaws, or resolutions of the board of directors of a
    12  professional health service corporation may limit the
    13  professional health services that will be provided for its
    14  subscribers, and may divide such professional health services as
    15  it elects to provide into classes or kinds, and it may enter
    16  into contracts with its subscribers or groups of subscribers to
    17  secure professional health services of any kind or class so
    18  delimited. A general medical services corporation shall make
    19  available to its subscribers or groups of subscribers, including
    20  employer groups, upon request of any individual for his
    21  individual subscriptions or any group for its group
    22  subscriptions, contracts which provide coverage for professional
    23  health services with appropriate premiums.
    24     * * *
    25     Section 5.  This act shall take effect in 60 days.




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