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| | 103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024 HB2814 Introduced 2/16/2023, by Rep. Camille Y. Lilly SYNOPSIS AS INTRODUCED: |
| 5 ILCS 375/6.11 | | 55 ILCS 5/5-1069.3 | | 65 ILCS 5/10-4-2.3 | | 105 ILCS 5/10-22.3f | | 215 ILCS 5/356z.26a new | | 215 ILCS 125/5-3 | from Ch. 111 1/2, par. 1411.2 | 215 ILCS 165/10 | from Ch. 32, par. 604 |
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Amends the Illinois Insurance Code. Provides that a health benefit plan amended, delivered, issued, or renewed on or after January 1, 2023 that provides prescription drug coverage or its contracted pharmacy benefit manager shall not engage in or require an enrollee to engage in specified prohibited acts. Provides that a clinician-administered drug supplied shall meet the supply chain security controls and chain of distribution set by the federal Drug Supply Chain Security Act. Provides that the Department of Insurance may adopt rules as necessary to implement the provisions. Defines terms. Makes conforming changes in the State Employees Group Insurance Act of 1971, the Counties Code, the Illinois Municipal Code, the School Code, the Health Maintenance Organization, and the Voluntary Health Services Plans Act.
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| | | STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT MAY APPLY
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| | A BILL FOR |
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| | HB2814 | | LRB103 29394 BMS 55785 b |
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1 | | AN ACT concerning regulation.
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2 | | Be it enacted by the People of the State of Illinois,
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3 | | represented in the General Assembly:
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4 | | Section 5. The State Employees Group Insurance Act of 1971 |
5 | | is amended by changing Section 6.11 as follows:
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6 | | (5 ILCS 375/6.11)
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7 | | (Text of Section before amendment by P.A. 102-768 ) |
8 | | Sec. 6.11. Required health benefits; Illinois Insurance |
9 | | Code
requirements. The program of health
benefits shall |
10 | | provide the post-mastectomy care benefits required to be |
11 | | covered
by a policy of accident and health insurance under |
12 | | Section 356t of the Illinois
Insurance Code. The program of |
13 | | health benefits shall provide the coverage
required under |
14 | | Sections 356g, 356g.5, 356g.5-1, 356m, 356q,
356u, 356w, 356x, |
15 | | 356z.2, 356z.4, 356z.4a, 356z.6, 356z.8, 356z.9, 356z.10, |
16 | | 356z.11, 356z.12, 356z.13, 356z.14, 356z.15, 356z.17, 356z.22, |
17 | | 356z.25, 356z.26, 356z.29, 356z.30a, 356z.32, 356z.33, |
18 | | 356z.36, 356z.40, 356z.41, 356z.45, 356z.46, 356z.47, 356z.51, |
19 | | 356z.53, 356z.54, 356z.56, 356z.57, 356z.59, and 356z.60 of |
20 | | the
Illinois Insurance Code.
The program of health benefits |
21 | | must comply with Sections 155.22a, 155.37, 355b, 356z.19, |
22 | | 370c, and 370c.1 and Article XXXIIB of the
Illinois Insurance |
23 | | Code. The Department of Insurance shall enforce the |
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1 | | requirements of this Section with respect to Sections 370c and |
2 | | 370c.1 of the Illinois Insurance Code; all other requirements |
3 | | of this Section shall be enforced by the Department of Central |
4 | | Management Services.
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5 | | Rulemaking authority to implement Public Act 95-1045, if |
6 | | any, is conditioned on the rules being adopted in accordance |
7 | | with all provisions of the Illinois Administrative Procedure |
8 | | Act and all rules and procedures of the Joint Committee on |
9 | | Administrative Rules; any purported rule not so adopted, for |
10 | | whatever reason, is unauthorized. |
11 | | (Source: P.A. 101-13, eff. 6-12-19; 101-281, eff. 1-1-20; |
12 | | 101-393, eff. 1-1-20; 101-452, eff. 1-1-20; 101-461, eff. |
13 | | 1-1-20; 101-625, eff. 1-1-21; 102-30, eff. 1-1-22; 102-103, |
14 | | eff. 1-1-22; 102-203, eff. 1-1-22; 102-306, eff. 1-1-22; |
15 | | 102-642, eff. 1-1-22; 102-665, eff. 10-8-21; 102-731, eff. |
16 | | 1-1-23; 102-804, eff. 1-1-23; 102-813, eff. 5-13-22; 102-816, |
17 | | eff. 1-1-23; 102-860, eff. 1-1-23; 102-1093, eff. 1-1-23; |
18 | | revised 12-13-22.) |
19 | | (Text of Section after amendment by P.A. 102-768 ) |
20 | | Sec. 6.11. Required health benefits; Illinois Insurance |
21 | | Code
requirements. The program of health
benefits shall |
22 | | provide the post-mastectomy care benefits required to be |
23 | | covered
by a policy of accident and health insurance under |
24 | | Section 356t of the Illinois
Insurance Code. The program of |
25 | | health benefits shall provide the coverage
required under |
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1 | | Sections 356g, 356g.5, 356g.5-1, 356m, 356q,
356u, 356w, 356x, |
2 | | 356z.2, 356z.4, 356z.4a, 356z.6, 356z.8, 356z.9, 356z.10, |
3 | | 356z.11, 356z.12, 356z.13, 356z.14, 356z.15, 356z.17, 356z.22, |
4 | | 356z.25, 356z.26, 356z.26a, 356z.29, 356z.30a, 356z.32, |
5 | | 356z.33, 356z.36, 356z.40, 356z.41, 356z.45, 356z.46, 356z.47, |
6 | | 356z.51, 356z.53, 356z.54, 356z.55, 356z.56, 356z.57, 356z.59, |
7 | | and 356z.60 of the
Illinois Insurance Code.
The program of |
8 | | health benefits must comply with Sections 155.22a, 155.37, |
9 | | 355b, 356z.19, 370c, and 370c.1 and Article XXXIIB of the
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10 | | Illinois Insurance Code. The Department of Insurance shall |
11 | | enforce the requirements of this Section with respect to |
12 | | Sections 370c and 370c.1 of the Illinois Insurance Code; all |
13 | | other requirements of this Section shall be enforced by the |
14 | | Department of Central Management Services.
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15 | | Rulemaking authority to implement Public Act 95-1045, if |
16 | | any, is conditioned on the rules being adopted in accordance |
17 | | with all provisions of the Illinois Administrative Procedure |
18 | | Act and all rules and procedures of the Joint Committee on |
19 | | Administrative Rules; any purported rule not so adopted, for |
20 | | whatever reason, is unauthorized. |
21 | | (Source: P.A. 101-13, eff. 6-12-19; 101-281, eff. 1-1-20; |
22 | | 101-393, eff. 1-1-20; 101-452, eff. 1-1-20; 101-461, eff. |
23 | | 1-1-20; 101-625, eff. 1-1-21; 102-30, eff. 1-1-22; 102-103, |
24 | | eff. 1-1-22; 102-203, eff. 1-1-22; 102-306, eff. 1-1-22; |
25 | | 102-642, eff. 1-1-22; 102-665, eff. 10-8-21; 102-731, eff. |
26 | | 1-1-23; 102-768, eff. 1-1-24; 102-804, eff. 1-1-23; 102-813, |
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1 | | eff. 5-13-22; 102-816, eff. 1-1-23; 102-860, eff. 1-1-23; |
2 | | 102-1093, eff. 1-1-23; 102-1117, eff. 1-13-23.) |
3 | | Section 10. The Counties Code is amended by changing |
4 | | Section 5-1069.3 as follows: |
5 | | (55 ILCS 5/5-1069.3)
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6 | | Sec. 5-1069.3. Required health benefits. If a county, |
7 | | including a home
rule
county, is a self-insurer for purposes |
8 | | of providing health insurance coverage
for its employees, the |
9 | | coverage shall include coverage for the post-mastectomy
care |
10 | | benefits required to be covered by a policy of accident and |
11 | | health
insurance under Section 356t and the coverage required |
12 | | under Sections 356g, 356g.5, 356g.5-1, 356q, 356u,
356w, 356x, |
13 | | 356z.4, 356z.4a, 356z.6, 356z.8, 356z.9, 356z.10, 356z.11, |
14 | | 356z.12, 356z.13, 356z.14, 356z.15, 356z.22, 356z.25, 356z.26, |
15 | | 356z.26a, 356z.29, 356z.30a, 356z.32, 356z.33, 356z.36, |
16 | | 356z.40, 356z.41, 356z.45, 356z.46, 356z.47, 356z.48, 356z.51, |
17 | | 356z.53, 356z.54, 356z.56, 356z.57, 356z.59, and 356z.60 of
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18 | | the Illinois Insurance Code. The coverage shall comply with |
19 | | Sections 155.22a, 355b, 356z.19, and 370c of
the Illinois |
20 | | Insurance Code. The Department of Insurance shall enforce the |
21 | | requirements of this Section. The requirement that health |
22 | | benefits be covered
as provided in this Section is an
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23 | | exclusive power and function of the State and is a denial and |
24 | | limitation under
Article VII, Section 6, subsection (h) of the |
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1 | | Illinois Constitution. A home
rule county to which this |
2 | | Section applies must comply with every provision of
this |
3 | | Section.
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4 | | Rulemaking authority to implement Public Act 95-1045, if |
5 | | any, is conditioned on the rules being adopted in accordance |
6 | | with all provisions of the Illinois Administrative Procedure |
7 | | Act and all rules and procedures of the Joint Committee on |
8 | | Administrative Rules; any purported rule not so adopted, for |
9 | | whatever reason, is unauthorized. |
10 | | (Source: P.A. 101-81, eff. 7-12-19; 101-281, eff. 1-1-20; |
11 | | 101-393, eff. 1-1-20; 101-461, eff. 1-1-20; 101-625, eff. |
12 | | 1-1-21; 102-30, eff. 1-1-22; 102-103, eff. 1-1-22; 102-203, |
13 | | eff. 1-1-22; 102-306, eff. 1-1-22; 102-443, eff. 1-1-22; |
14 | | 102-642, eff. 1-1-22; 102-665, eff. 10-8-21; 102-731, eff. |
15 | | 1-1-23; 102-804, eff. 1-1-23; 102-813, eff. 5-13-22; 102-816, |
16 | | eff. 1-1-23; 102-860, eff. 1-1-23; 102-1093, eff. 1-1-23; |
17 | | 102-1117, eff. 1-13-23.) |
18 | | Section 15. The Illinois Municipal Code is amended by |
19 | | changing Section 10-4-2.3 as follows: |
20 | | (65 ILCS 5/10-4-2.3)
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21 | | Sec. 10-4-2.3. Required health benefits. If a |
22 | | municipality, including a
home rule municipality, is a |
23 | | self-insurer for purposes of providing health
insurance |
24 | | coverage for its employees, the coverage shall include |
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1 | | coverage for
the post-mastectomy care benefits required to be |
2 | | covered by a policy of
accident and health insurance under |
3 | | Section 356t and the coverage required
under Sections 356g, |
4 | | 356g.5, 356g.5-1, 356q, 356u, 356w, 356x, 356z.4, 356z.4a, |
5 | | 356z.6, 356z.8, 356z.9, 356z.10, 356z.11, 356z.12, 356z.13, |
6 | | 356z.14, 356z.15, 356z.22, 356z.25, 356z.26, 356z.26a, |
7 | | 356z.29, 356z.30a, 356z.32, 356z.33, 356z.36, 356z.40, |
8 | | 356z.41, 356z.45, 356z.46, 356z.47, 356z.48, 356z.51, 356z.53, |
9 | | 356z.54, 356z.56, 356z.57, 356z.59, and 356z.60 of the |
10 | | Illinois
Insurance
Code. The coverage shall comply with |
11 | | Sections 155.22a, 355b, 356z.19, and 370c of
the Illinois |
12 | | Insurance Code. The Department of Insurance shall enforce the |
13 | | requirements of this Section. The requirement that health
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14 | | benefits be covered as provided in this is an exclusive power |
15 | | and function of
the State and is a denial and limitation under |
16 | | Article VII, Section 6,
subsection (h) of the Illinois |
17 | | Constitution. A home rule municipality to which
this Section |
18 | | applies must comply with every provision of this Section.
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19 | | Rulemaking authority to implement Public Act 95-1045, if |
20 | | any, is conditioned on the rules being adopted in accordance |
21 | | with all provisions of the Illinois Administrative Procedure |
22 | | Act and all rules and procedures of the Joint Committee on |
23 | | Administrative Rules; any purported rule not so adopted, for |
24 | | whatever reason, is unauthorized. |
25 | | (Source: P.A. 101-81, eff. 7-12-19; 101-281, eff. 1-1-20; |
26 | | 101-393, eff. 1-1-20; 101-461, eff. 1-1-20; 101-625, eff. |
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1 | | 1-1-21; 102-30, eff. 1-1-22; 102-103, eff. 1-1-22; 102-203, |
2 | | eff. 1-1-22; 102-306, eff. 1-1-22; 102-443, eff. 1-1-22; |
3 | | 102-642, eff. 1-1-22; 102-665, eff. 10-8-21; 102-731, eff. |
4 | | 1-1-23; 102-804, eff. 1-1-23; 102-813, eff. 5-13-22; 102-816, |
5 | | eff. 1-1-23; 102-860, eff. 1-1-23; 102-1093, eff. 1-1-23; |
6 | | 102-1117, eff. 1-13-23.) |
7 | | Section 20. The School Code is amended by changing Section |
8 | | 10-22.3f as follows: |
9 | | (105 ILCS 5/10-22.3f)
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10 | | Sec. 10-22.3f. Required health benefits. Insurance |
11 | | protection and
benefits
for employees shall provide the |
12 | | post-mastectomy care benefits required to be
covered by a |
13 | | policy of accident and health insurance under Section 356t and |
14 | | the
coverage required under Sections 356g, 356g.5, 356g.5-1, |
15 | | 356q, 356u, 356w, 356x, 356z.4, 356z.4a,
356z.6, 356z.8, |
16 | | 356z.9, 356z.11, 356z.12, 356z.13, 356z.14, 356z.15, 356z.22, |
17 | | 356z.25, 356z.26, 356z.26a, 356z.29, 356z.30a, 356z.32, |
18 | | 356z.33, 356z.36, 356z.40, 356z.41, 356z.45, 356z.46, 356z.47, |
19 | | 356z.51, 356z.53, 356z.54, 356z.56, 356z.57, 356z.59, and |
20 | | 356z.60 of
the
Illinois Insurance Code.
Insurance policies |
21 | | shall comply with Section 356z.19 of the Illinois Insurance |
22 | | Code. The coverage shall comply with Sections 155.22a, 355b, |
23 | | and 370c of
the Illinois Insurance Code. The Department of |
24 | | Insurance shall enforce the requirements of this Section.
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1 | | Rulemaking authority to implement Public Act 95-1045, if |
2 | | any, is conditioned on the rules being adopted in accordance |
3 | | with all provisions of the Illinois Administrative Procedure |
4 | | Act and all rules and procedures of the Joint Committee on |
5 | | Administrative Rules; any purported rule not so adopted, for |
6 | | whatever reason, is unauthorized. |
7 | | (Source: P.A. 101-81, eff. 7-12-19; 101-281, eff. 1-1-20; |
8 | | 101-393, eff. 1-1-20; 101-461, eff. 1-1-20; 101-625, eff. |
9 | | 1-1-21; 102-30, eff. 1-1-22; 102-103, eff. 1-1-22; 102-203, |
10 | | eff. 1-1-22; 102-306, eff. 1-1-22; 102-642, eff. 1-1-22; |
11 | | 102-665, eff. 10-8-21; 102-731, eff. 1-1-23; 102-804, eff. |
12 | | 1-1-23; 102-813, eff. 5-13-22; 102-816, eff. 1-1-23; 102-860, |
13 | | eff. 1-1-23; 102-1093, eff. 1-1-23; 102-1117, eff. 1-13-23.) |
14 | | Section 25. The Illinois Insurance Code is amended by |
15 | | adding Section 356z.26a as follows: |
16 | | (215 ILCS 5/356z.26a new) |
17 | | Sec. 356z.26a. Clinician-administered drugs. |
18 | | (a) As used in this Section: |
19 | | "Clinician-administered drug" means a drug administered |
20 | | pursuant to a valid prescription, other than a vaccine, that |
21 | | cannot be reasonably self-administered by the patient or an |
22 | | individual assisting the patient with self-administration and |
23 | | is typically administered by a provider in an outpatient |
24 | | hospital, physician's office, ambulatory infusion site, or |
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1 | | other clinical setting. |
2 | | "Health benefit plan" means an individual or group policy |
3 | | of accident or health insurance, health care plan, or other |
4 | | hospital or medical policy, certificate, or contract. |
5 | | "Health care plan" has the meaning given to that term in |
6 | | Section 1-2 of the Health Maintenance Organization Act. |
7 | | "Health care plan" does not include a managed care |
8 | | organization that provides, arranges, or reimburses for the |
9 | | delivery of health care services to individuals who are |
10 | | enrolled in medical assistance under the Illinois Public Aid |
11 | | Code or under the Children's Health Insurance Program Act. |
12 | | "Pharmacy" has the meaning given to that term in Section 3 |
13 | | of the Pharmacy Practice Act. |
14 | | "Provider" has the meaning given to that term in Section |
15 | | 370g. |
16 | | "Site of service" means the physical location where a |
17 | | clinician-administered drug is administered, including, but |
18 | | not limited to, an outpatient hospital, physician's office, |
19 | | ambulatory infusion site, home-based site, or other setting. |
20 | | (b) To ensure access to safe and effective drug therapies, |
21 | | a health benefit plan amended, delivered, issued, or renewed |
22 | | on or after January 1, 2024 that provides prescription drug |
23 | | coverage or its contracted pharmacy benefit manager shall not: |
24 | | (1) require an enrollee to obtain a covered |
25 | | clinician-administered drug from a pharmacy selected by |
26 | | the health benefit plan or pharmacy benefit manager with |
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1 | | the intent to transport the drug to another site of |
2 | | service for administration; |
3 | | (2) require an enrollee to obtain a covered |
4 | | clinician-administered drug from a pharmacy selected by |
5 | | the health benefit plan or pharmacy benefit manager; |
6 | | (3) notwithstanding any other provision of law, steer |
7 | | or offer financial or other incentives to induce an |
8 | | enrollee to obtain a clinician-administered drug from a |
9 | | pharmacy identified by the health benefit plan or pharmacy |
10 | | benefit manager; |
11 | | (4) condition, deny, restrict, refuse to authorize, or |
12 | | otherwise limit benefits and coverage to an enrollee for |
13 | | medically necessary clinician-administered drugs and |
14 | | related services obtained from the provider that |
15 | | administers the drug or from a pharmacy that is not |
16 | | selected by the health benefit plan or pharmacy benefit |
17 | | manager; |
18 | | (5) condition, deny, restrict, refuse to authorize, or |
19 | | otherwise limit reimbursement to a provider for covered |
20 | | medically necessary clinician-administered drugs and |
21 | | related services obtained from the provider that |
22 | | administers the drug or from a pharmacy that is not |
23 | | selected by the health benefit plan or pharmacy benefit |
24 | | manager; |
25 | | (6) assess higher deductibles, copayments, |
26 | | coinsurance, or other cost-sharing amounts for |
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1 | | clinician-administered drugs obtained from the provider |
2 | | that administers the drug or from a pharmacy that is not |
3 | | selected by the health benefit plan or pharmacy benefit |
4 | | manager; |
5 | | (7) require an enrollee to use a home infusion |
6 | | pharmacy to receive clinician-administered drugs in their |
7 | | home or to use a site of service identified by the health |
8 | | benefit plan or pharmacy benefit manager; or |
9 | | (8) include the site of service in prior approval or |
10 | | medical necessity criteria for clinician-administered |
11 | | drugs. |
12 | | (c) A clinician-administered drug shall meet the supply |
13 | | chain security controls and chain of distribution set by the |
14 | | federal Drug Supply Chain Security Act. |
15 | | (d) The Department may adopt rules as necessary to |
16 | | implement the provisions of this Section. |
17 | | Section 30. The Health Maintenance Organization Act is |
18 | | amended by changing Section 5-3 as follows:
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19 | | (215 ILCS 125/5-3) (from Ch. 111 1/2, par. 1411.2)
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20 | | Sec. 5-3. Insurance Code provisions.
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21 | | (a) Health Maintenance Organizations
shall be subject to |
22 | | the provisions of Sections 133, 134, 136, 137, 139, 140, |
23 | | 141.1,
141.2, 141.3, 143, 143c, 147, 148, 149, 151,
152, 153, |
24 | | 154, 154.5, 154.6,
154.7, 154.8, 155.04, 155.22a, 355.2, |
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1 | | 355.3, 355b, 355c, 356g.5-1, 356m, 356q, 356v, 356w, 356x, |
2 | | 356y,
356z.2, 356z.3a, 356z.4, 356z.4a, 356z.5, 356z.6, |
3 | | 356z.8, 356z.9, 356z.10, 356z.11, 356z.12, 356z.13, 356z.14, |
4 | | 356z.15, 356z.17, 356z.18, 356z.19, 356z.21, 356z.22, 356z.25, |
5 | | 356z.26, 356z.26a, 356z.29, 356z.30, 356z.30a, 356z.32, |
6 | | 356z.33, 356z.35, 356z.36, 356z.40, 356z.41, 356z.46, 356z.47, |
7 | | 356z.48, 356z.50, 356z.51, 356z.53 256z.53 , 356z.54, 356z.56, |
8 | | 356z.57, 356z.59, 356z.60, 364, 364.01, 364.3, 367.2, 367.2-5, |
9 | | 367i, 368a, 368b, 368c, 368d, 368e, 370c,
370c.1, 401, 401.1, |
10 | | 402, 403, 403A,
408, 408.2, 409, 412, 444,
and
444.1,
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11 | | paragraph (c) of subsection (2) of Section 367, and Articles |
12 | | IIA, VIII 1/2,
XII,
XII 1/2, XIII, XIII 1/2, XXV, XXVI, and |
13 | | XXXIIB of the Illinois Insurance Code.
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14 | | (b) For purposes of the Illinois Insurance Code, except |
15 | | for Sections 444
and 444.1 and Articles XIII and XIII 1/2, |
16 | | Health Maintenance Organizations in
the following categories |
17 | | are deemed to be "domestic companies":
|
18 | | (1) a corporation authorized under the
Dental Service |
19 | | Plan Act or the Voluntary Health Services Plans Act;
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20 | | (2) a corporation organized under the laws of this |
21 | | State; or
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22 | | (3) a corporation organized under the laws of another |
23 | | state, 30% or more
of the enrollees of which are residents |
24 | | of this State, except a
corporation subject to |
25 | | substantially the same requirements in its state of
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26 | | organization as is a "domestic company" under Article VIII |
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1 | | 1/2 of the
Illinois Insurance Code.
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2 | | (c) In considering the merger, consolidation, or other |
3 | | acquisition of
control of a Health Maintenance Organization |
4 | | pursuant to Article VIII 1/2
of the Illinois Insurance Code,
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5 | | (1) the Director shall give primary consideration to |
6 | | the continuation of
benefits to enrollees and the |
7 | | financial conditions of the acquired Health
Maintenance |
8 | | Organization after the merger, consolidation, or other
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9 | | acquisition of control takes effect;
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10 | | (2)(i) the criteria specified in subsection (1)(b) of |
11 | | Section 131.8 of
the Illinois Insurance Code shall not |
12 | | apply and (ii) the Director, in making
his determination |
13 | | with respect to the merger, consolidation, or other
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14 | | acquisition of control, need not take into account the |
15 | | effect on
competition of the merger, consolidation, or |
16 | | other acquisition of control;
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17 | | (3) the Director shall have the power to require the |
18 | | following
information:
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19 | | (A) certification by an independent actuary of the |
20 | | adequacy
of the reserves of the Health Maintenance |
21 | | Organization sought to be acquired;
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22 | | (B) pro forma financial statements reflecting the |
23 | | combined balance
sheets of the acquiring company and |
24 | | the Health Maintenance Organization sought
to be |
25 | | acquired as of the end of the preceding year and as of |
26 | | a date 90 days
prior to the acquisition, as well as pro |
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1 | | forma financial statements
reflecting projected |
2 | | combined operation for a period of 2 years;
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3 | | (C) a pro forma business plan detailing an |
4 | | acquiring party's plans with
respect to the operation |
5 | | of the Health Maintenance Organization sought to
be |
6 | | acquired for a period of not less than 3 years; and
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7 | | (D) such other information as the Director shall |
8 | | require.
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9 | | (d) The provisions of Article VIII 1/2 of the Illinois |
10 | | Insurance Code
and this Section 5-3 shall apply to the sale by |
11 | | any health maintenance
organization of greater than 10% of its
|
12 | | enrollee population (including without limitation the health |
13 | | maintenance
organization's right, title, and interest in and |
14 | | to its health care
certificates).
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15 | | (e) In considering any management contract or service |
16 | | agreement subject
to Section 141.1 of the Illinois Insurance |
17 | | Code, the Director (i) shall, in
addition to the criteria |
18 | | specified in Section 141.2 of the Illinois
Insurance Code, |
19 | | take into account the effect of the management contract or
|
20 | | service agreement on the continuation of benefits to enrollees |
21 | | and the
financial condition of the health maintenance |
22 | | organization to be managed or
serviced, and (ii) need not take |
23 | | into account the effect of the management
contract or service |
24 | | agreement on competition.
|
25 | | (f) Except for small employer groups as defined in the |
26 | | Small Employer
Rating, Renewability and Portability Health |
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1 | | Insurance Act and except for
medicare supplement policies as |
2 | | defined in Section 363 of the Illinois
Insurance Code, a |
3 | | Health Maintenance Organization may by contract agree with a
|
4 | | group or other enrollment unit to effect refunds or charge |
5 | | additional premiums
under the following terms and conditions:
|
6 | | (i) the amount of, and other terms and conditions with |
7 | | respect to, the
refund or additional premium are set forth |
8 | | in the group or enrollment unit
contract agreed in advance |
9 | | of the period for which a refund is to be paid or
|
10 | | additional premium is to be charged (which period shall |
11 | | not be less than one
year); and
|
12 | | (ii) the amount of the refund or additional premium |
13 | | shall not exceed 20%
of the Health Maintenance |
14 | | Organization's profitable or unprofitable experience
with |
15 | | respect to the group or other enrollment unit for the |
16 | | period (and, for
purposes of a refund or additional |
17 | | premium, the profitable or unprofitable
experience shall |
18 | | be calculated taking into account a pro rata share of the
|
19 | | Health Maintenance Organization's administrative and |
20 | | marketing expenses, but
shall not include any refund to be |
21 | | made or additional premium to be paid
pursuant to this |
22 | | subsection (f)). The Health Maintenance Organization and |
23 | | the
group or enrollment unit may agree that the profitable |
24 | | or unprofitable
experience may be calculated taking into |
25 | | account the refund period and the
immediately preceding 2 |
26 | | plan years.
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1 | | The Health Maintenance Organization shall include a |
2 | | statement in the
evidence of coverage issued to each enrollee |
3 | | describing the possibility of a
refund or additional premium, |
4 | | and upon request of any group or enrollment unit,
provide to |
5 | | the group or enrollment unit a description of the method used |
6 | | to
calculate (1) the Health Maintenance Organization's |
7 | | profitable experience with
respect to the group or enrollment |
8 | | unit and the resulting refund to the group
or enrollment unit |
9 | | or (2) the Health Maintenance Organization's unprofitable
|
10 | | experience with respect to the group or enrollment unit and |
11 | | the resulting
additional premium to be paid by the group or |
12 | | enrollment unit.
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13 | | In no event shall the Illinois Health Maintenance |
14 | | Organization
Guaranty Association be liable to pay any |
15 | | contractual obligation of an
insolvent organization to pay any |
16 | | refund authorized under this Section.
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17 | | (g) Rulemaking authority to implement Public Act 95-1045, |
18 | | if any, is conditioned on the rules being adopted in |
19 | | accordance with all provisions of the Illinois Administrative |
20 | | Procedure Act and all rules and procedures of the Joint |
21 | | Committee on Administrative Rules; any purported rule not so |
22 | | adopted, for whatever reason, is unauthorized. |
23 | | (Source: P.A. 101-13, eff. 6-12-19; 101-81, eff. 7-12-19; |
24 | | 101-281, eff. 1-1-20; 101-371, eff. 1-1-20; 101-393, eff. |
25 | | 1-1-20; 101-452, eff. 1-1-20; 101-461, eff. 1-1-20; 101-625, |
26 | | eff. 1-1-21; 102-30, eff. 1-1-22; 102-34, eff. 6-25-21; |
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1 | | 102-203, eff. 1-1-22; 102-306, eff. 1-1-22; 102-443, eff. |
2 | | 1-1-22; 102-589, eff. 1-1-22; 102-642, eff. 1-1-22; 102-665, |
3 | | eff. 10-8-21; 102-731, eff. 1-1-23; 102-775, eff. 5-13-22; |
4 | | 102-804, eff. 1-1-23; 102-813, eff. 5-13-22; 102-816, eff. |
5 | | 1-1-23; 102-860, eff. 1-1-23; 102-901, eff. 7-1-22; 102-1093, |
6 | | eff. 1-1-23; 102-1117, eff. 1-13-23; revised 1-22-23.) |
7 | | Section 35. The Voluntary Health Services Plans Act is |
8 | | amended by changing Section 10 as follows:
|
9 | | (215 ILCS 165/10) (from Ch. 32, par. 604)
|
10 | | Sec. 10. Application of Insurance Code provisions. Health |
11 | | services
plan corporations and all persons interested therein |
12 | | or dealing therewith
shall be subject to the provisions of |
13 | | Articles IIA and XII 1/2 and Sections
3.1, 133, 136, 139, 140, |
14 | | 143, 143c, 149, 155.22a, 155.37, 354, 355.2, 355.3, 355b, |
15 | | 356g, 356g.5, 356g.5-1, 356q, 356r, 356t, 356u, 356v,
356w, |
16 | | 356x, 356y, 356z.1, 356z.2, 356z.3a, 356z.4, 356z.4a, 356z.5, |
17 | | 356z.6, 356z.8, 356z.9,
356z.10, 356z.11, 356z.12, 356z.13, |
18 | | 356z.14, 356z.15, 356z.18, 356z.19, 356z.21, 356z.22, 356z.25, |
19 | | 356z.26, 356z.26a, 356z.29, 356z.30, 356z.30a, 356z.32, |
20 | | 356z.33, 356z.40, 356z.41, 356z.46, 356z.47, 356z.51, 356z.53, |
21 | | 356z.54, 356z.56, 356z.57, 356z.59, 356z.60, 364.01, 364.3, |
22 | | 367.2, 368a, 401, 401.1,
402,
403, 403A, 408,
408.2, and 412, |
23 | | and paragraphs (7) and (15) of Section 367 of the Illinois
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24 | | Insurance Code.
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1 | | Rulemaking authority to implement Public Act 95-1045, if |
2 | | any, is conditioned on the rules being adopted in accordance |
3 | | with all provisions of the Illinois Administrative Procedure |
4 | | Act and all rules and procedures of the Joint Committee on |
5 | | Administrative Rules; any purported rule not so adopted, for |
6 | | whatever reason, is unauthorized. |
7 | | (Source: P.A. 101-13, eff. 6-12-19; 101-81, eff. 7-12-19; |
8 | | 101-281, eff. 1-1-20; 101-393, eff. 1-1-20; 101-625, eff. |
9 | | 1-1-21; 102-30, eff. 1-1-22; 102-203, eff. 1-1-22; 102-306, |
10 | | eff. 1-1-22; 102-642, eff. 1-1-22; 102-665, eff. 10-8-21; |
11 | | 102-731, eff. 1-1-23; 102-775, eff. 5-13-22; 102-804, eff. |
12 | | 1-1-23; 102-813, eff. 5-13-22; 102-816, eff. 1-1-23; 102-860, |
13 | | eff. 1-1-23; 102-901, eff. 7-1-22; 102-1093, eff. 1-1-23; |
14 | | 102-1117, eff. 1-13-23.)
|
15 | | Section 95. No acceleration or delay. Where this Act makes |
16 | | changes in a statute that is represented in this Act by text |
17 | | that is not yet or no longer in effect (for example, a Section |
18 | | represented by multiple versions), the use of that text does |
19 | | not accelerate or delay the taking effect of (i) the changes |
20 | | made by this Act or (ii) provisions derived from any other |
21 | | Public Act.
|