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Judicial

By Riley Guerin | Jan. 21, 2016

New Laws

Jan. 21, 2016

Judicial

AB 248 (Roger Hernández) Prohibits a health care service plan (plan) or health insurer (insurer) offering plans or policies in the large group market from marketing, offering, amending or renewing a large group plan contract that provides a minimum value of less than 60%.

An act to add Section 1367.010 to the Health and Safety Code, and to add Section 10112.9 to the Insurance Code, relating to health care coverage.

AB 339 (Gordon) Requires health plans and health insurers that provide coverage for outpatient prescription drugs to have formularies that do not discourage the enrollment of individuals with health conditions, and requires combination antiretrovirals drug treatment coverage of a single-tablet that is as effective as a multitablet regimen for treatment of Human immunodeficiency virus infection and acquired immune deficiency syndrome (HIV/AIDS), as specified. This bill places in state law, federal requirements related to pharmacy and therapeutics committees, access to in-network retail pharmacies, standardized formulary requirements, formulary tier requirements similar to those required of health plans and insurers participating in Covered California and copayment caps of $250 and $500 for a supply of up to 30 days for an individual prescription, as specified.

An act to amend Section 1367.205 of, to add Sections 1367.41 and 1367.42 to, and to add and repeal Section 1342.71 of, the Health and Safety Code, and to amend Section 10123.192 of, to add Section 10123.201 to, and to add and repeal Section 10123.193 of, the Insurance Code, relating to health care coverage.

AB 374 (Nazarian) Creates a process for prescribers to request an override of a health plan or health insurer's step therapy requirement.

An act to add Section 1367.244 to the Health and Safety Code, and to add Section 10123.197 to the Insurance Code, relating to health care coverage.

AB 387 (McCarty) Extends the period of time allowed for the Insurance Commissioner (commissioner) to review disability insurance policies from 30 to 120 days, requires the commissioner to take steps to facilitate the filing and approval of life and disability insurance products, and requires the commissioner to request a study of model laws for life insurance products.

An act to amend Section 10290 of, and to add Sections 10191.1 and 10191.5 to, the Insurance Code, relating to insurance.

AB 447 (Maienschein) Prohibits discrimination based on renters' receipt of "Section 8" or related public rent subsidies in the application for or issuance of insurance policies covering real property designed for human habitation.

An act to add Section 679.74 to the Insurance Code, relating to insurance.

AB 553 (Daly) This bill conforms California law to updated corporate governance models laws adopted by the National Association of Insurance Commissioners (NAIC) including establishment of a Corporate Governance Annual Disclosure requirement (CGAD), as specified; updates and clarifies existing law relating to the oversight of internationally active insurance groups (IAIGs), including explicitly authorizing the Insurance Commissioner (IC) to act as a group-wide supervisor for an IAIG, or accept another regulator as the group-wide supervisor, as specified; and declares this provision will take effect as an urgency statute in order to permit insurers and insurance groups time to prepare their first CGAD, and to allow the IC to act as a group-wide supervisor as quickly as possible.

An act to amend Sections 1215, 1215.1, 1215.2, 1215.5, 1215.6, and 1215.8 of, to add Section 1215.75 to, and to add Article 10.8 (commencing with Section 936.1) to Chapter 1 of Part 2 of Division 1 of, the Insurance Code, relating to insurance, and declaring the urgency thereof, to take effect immediately.

AB 704 (Cooley) Adopts escrow rules governing underwritten title companies (UTCs) more consistent with rules that currently govern independent escrow companies.

An act to amend, repeal, and add Section 12389 of, and to add Section 12340.13 to, the Insurance Code, relating to escrow.

AB 1072 (Daly) Requires firefighters' and police officers' benefit and relief associations (associations) to file an actuarial opinion with the Insurance Commissioner (commissioner) that meets specified standards.

An act to add and repeal Sections 11401.5 and 11401.6 of the Insurance Code, relating to insurance.

AB 1131 (Dababneh) Permits consumers to receive documents and conduct certain transactions related to life insurance, disability insurance and annuities electronically.

An act to amend, add, and repeal Section 1633.3 of the Civil Code, and to add and repeal Section 38.6 of the Insurance Code, relating to electronic records.

AB 1245 (Cooley) Requires, subject to exceptions, all employers to file their unemployment insurance (UI) related data and taxes electronically.

An act to amend Sections 1088, 1110, 1112, 1114, 13002, and 13021 of, and to add Section 1112.1 to, the Unemployment Insurance Code, relating to unemployment insurance.

AB 1305 (Bonta) Prohibits, for family coverage, any individual within a family to have a maximum-out-of-pocket limit or deductible that is more than the maximum-out-of-pocket limit or deductible limit for individual coverage under the health plan contract.

An act to amend Sections 1367.006 and 1367.007 of the Health and Safety Code, and to amend Sections 10112.28 and 10112.29 of the Insurance Code, relating to health care coverage.

AB 1512 (Committee on Insurance) Exempts certain employer-paid disability income policies from the recently enacted right to designate a third party to receive notices of termination.

An act to amend Section 396 of the Insurance Code, relating to insurance. SB 335 - Roth Specifies that insurers must prorate earthquake insurance premium reductions based on seismic retrofitting to the date the inspection report is received by the insurer, and deletes obsolete statutory provisions.

An act to amend Section 10082.5 of the Insurance Code, relating to earthquake insurance. SB 426 (Leyva) This bill requires the death benefit payable under annuities contracts issued to persons 65 years of age or older to be at least equal to the annuity value or accumulation value, excluding any surrender charges or penalties upon death.

An act to repeal and add Section 10168.4 of the Insurance Code, relating to annuities.

AB 1515 (Committee on Insurance) Makes numerous technical and clarifying changes to the Insurance Code.

An act to amend Sections 739.3, 922.41 1729.2, 1861.02, 1861.025, 10111.2, 10127.13, 10232.3, 10235.35, 12418.4, and 12921 of, to amend, repeal, and add Sections 510, 742.34, 790.034, 1725.5, 1764.1, 10169, 10192.18, and 12820 of, and to repeal Section 10233.9 of, the Insurance Code, and to amend Section 1299.04 of the Penal Code, relating to insurance.

SB 43 (Hernandez) This bill updates California?s essential health benefits (EHB) law to make it consistent with new federal requirements promulgated under the Affordable Care Act (ACA), which includes adoption of the federally required definition of habilitative services and devices.

An act to amend, repeal, and add Section 1367.005 of the Health and Safety Code, and to amend, repeal, and add Section 10112.27 of the Insurance Code, relating to health care coverage.

SB 137 (Hernandez) This bill requires a health plan or insurer to make available a provider directory or directories that provide information on contracting providers, including those that accept new patients. This bill prohibits a provider directory from including information on a provider that does not have a current contract with the plan or insurer.

An act to add Section 1367.27 to, and to repeal Section 1367.26 of, the Health and Safety Code, and to add Section 10133.15 to the Insurance Code, relating to health care coverage.

SB 282 (Hernandez) This bill permits the use of alternative methods of electronic prior authorization of prescription drugs other than the required standardized form, and exempts physician groups with delegated financial risk from the standardized prior authorization process.

An act to amend Sections 1367.24, 1367.241, 1368, and 1368.01 of the Health and Safety Code, and to amend Section 10123.191 of the Insurance Code, relating to health care coverage.

SB 335 ? (Roth) Specifies that insurers must prorate earthquake insurance premium reductions based on seismic retrofitting to the date the inspection report is received by the insurer, and deletes obsolete statutory provisions.

An act to amend Section 10082.5 of the Insurance Code, relating to earthquake insurance.

SB 388 (Mitchell) This bill makes uniform summary of benefits and coverage (SBC) information which must be provided to consumers by health plans and insurers under the federal Affordable Care Act (ACA) and California law, a vital document, subject to specified translation requirements commencing October 1, 2016. This bill requires, not later than July 1, 2016, the Department of Managed Health Care (DMHC) and the California Department of Insurance (CDI), to make available on their Internet Web sites written translations of the template of uniform SBC, and specifies the language groups which require translation.

An act to amend Section 1363 of the Health and Safety Code, and to amend Section 10603 of the Insurance Code, relating to health care coverage.

SB 426 (Leyva) This bill requires the death benefit payable under annuities contracts issued to persons 65 years of age or older to be at least equal to the annuity value or accumulation value, excluding any surrender charges or penalties upon death.

An act to repeal and add Section 10168.4 of the Insurance Code, relating to annuities.

SB 575 (Liu) This bill requires long-term care insurance carriers to annually notify policyholders with a vested contingent benefit upon lapse or a shortened benefit period nonforfeiture benefit (?nonforfeiture benefit?), and any designated third-party, that the benefit is available and how they may request more information about the benefit.

An act to add Section 10235.36 to the Insurance Code, relating to insurance.

SB 696 (Roth) This bill conforms California law to the model Standard Valuation Law, adopted by the National Association of Insurance Commissioners (NAIC), and replaces the current method of calculating reserves for most life insurance products with a new method known as Principle-Based Reserving (PBR) applicable to contracts issued on or after the effective date, as specified.

An act to amend Sections 10159.1, 10163.2, 10489.15, 10489.2, 10489.3, 10489.5, 10489.6, 10489.7, 10489.8, 10489.9, 10489.93, and 10489.94 of, to add Sections 10489.12, 10489.96, 10489.97, 10489.98, 10489.99, and 10489.992 to, and to repeal and add Sections 10489.1, 10489.4, and 10489.95 of, the Insurance Code, relating to insurance.

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