Illinois General Assembly - Full Text of SB0667
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Full Text of SB0667  101st General Assembly

SB0667sam002 101ST GENERAL ASSEMBLY

Sen. Andy Manar

Adopted in Senate on Oct 29, 2019

 

 


 

 


 
10100SB0667sam002LRB101 04428 SMS 63560 a

1
AMENDMENT TO SENATE BILL 667

2    AMENDMENT NO. ______. Amend Senate Bill 667 by replacing
3everything after the enacting clause with the following:
 
4    "Section 1. Findings. The General Assembly finds and
5declares that:
6        (1) Diabetes affects approximately 1,300,000 adults in
7    Illinois (12.5% of the population);
8        (2) Diabetes is the seventh leading cause of death
9    nationally and in Illinois;
10        (3) The toll on the U.S. economy has increased by more
11    than 40% since 2007, costing the country $245,000,000,000
12    in 2012;
13        (4) When someone has diabetes, the body either does not
14    make enough insulin or is unable to use its own insulin,
15    causing glucose levels to rise higher than normal in the
16    blood;
17        (5) For people with Type 1 diabetes, near-constant

 

 

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1    self-management of glucose levels is essential to prevent
2    life-threatening complications;
3        (6) From 2012 to 2016, the average price of insulin
4    increased from 13 cents per unit to 25 cents per unit;
5    therefore,
6    It is necessary for the State to enact laws to reduce the
7costs for Illinoisans with diabetes and increase their access
8to life-saving and life-sustaining insulin.
 
9    Section 5. The State Employees Group Insurance Act of 1971
10is amended by changing Section 6.11 as follows:
 
11    (5 ILCS 375/6.11)
12    Sec. 6.11. Required health benefits; Illinois Insurance
13Code requirements. The program of health benefits shall provide
14the post-mastectomy care benefits required to be covered by a
15policy of accident and health insurance under Section 356t of
16the Illinois Insurance Code. The program of health benefits
17shall provide the coverage required under Sections 356g,
18356g.5, 356g.5-1, 356m, 356u, 356w, 356x, 356z.2, 356z.4,
19356z.4a, 356z.6, 356z.8, 356z.9, 356z.10, 356z.11, 356z.12,
20356z.13, 356z.14, 356z.15, 356z.17, 356z.22, 356z.25, 356z.26,
21356z.29, 356z.30a, 356z.32, and 356z.33, 356z.36, and 356z.41
22of the Illinois Insurance Code. The program of health benefits
23must comply with Sections 155.22a, 155.37, 355b, 356z.19, 370c,
24and 370c.1, and Article XXXIIB of the Illinois Insurance Code.

 

 

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1The Department of Insurance shall enforce the requirements of
2this Section with respect to Sections 370c and 370c.1 of the
3Illinois Insurance Code; all other requirements of this Section
4shall be enforced by the Department of Central Management
5Services.
6    Rulemaking authority to implement Public Act 95-1045, if
7any, is conditioned on the rules being adopted in accordance
8with all provisions of the Illinois Administrative Procedure
9Act and all rules and procedures of the Joint Committee on
10Administrative Rules; any purported rule not so adopted, for
11whatever reason, is unauthorized.
12(Source: P.A. 100-24, eff. 7-18-17; 100-138, eff. 8-18-17;
13100-863, eff. 8-14-18; 100-1024, eff. 1-1-19; 100-1057, eff.
141-1-19; 100-1102, eff. 1-1-19; 100-1170, eff. 6-1-19; 101-13,
15eff. 6-12-19; 101-281, eff. 1-1-20; 101-393, eff. 1-1-20;
16101-452, eff. 1-1-20; 101-461, eff. 1-1-20; revised 10-16-19.)
 
17    Section 10. The Attorney General Act is amended by adding
18Section 10 as follows:
 
19    (15 ILCS 205/10 new)
20    Sec. 10. Investigation of prescription insulin drug
21pricing; report.
22    (a) The Attorney General shall investigate pricing of
23prescription insulin drugs made available to Illinois
24consumers to ensure adequate consumer protections in the

 

 

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1pricing of prescription insulin drugs and to determine whether
2additional consumer protections are needed.
3    (b) As part of the investigation, the Attorney General
4shall gather, compile, and analyze information concerning the
5organization, business practices, pricing information, data,
6reports, or other information that the Attorney General finds
7necessary to fulfill the requirements of this Section from
8companies engaged in the manufacture or sale of prescription
9insulin drugs.
10    If necessary to fulfill the reporting requirements of this
11Section, the Attorney General may issue a civil investigative
12demand requiring a State Agency, insurer, pharmacy benefit
13manager, or manufacturer of prescription insulin drugs that are
14made available in Illinois to furnish material, answers, data,
15or other relevant information.
16    (c) A person or business shall not be compelled to provide
17trade secrets.
18    (d) By November 1, 2020, the Attorney General shall issue
19and make available to the public a report detailing the
20findings from the investigation conducted pursuant to this
21Section. The Attorney General shall present the report to the
22Governor, the Department of Insurance, and the Judiciary
23Committees of the Senate and House of Representatives or their
24successor Committees. The report must include the following:
25        (1) a summary of insulin pricing practices and
26    variables that contribute to pricing of health coverage

 

 

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1    plans;
2        (2) public policy recommendations to control and
3    prevent overpricing of prescription insulin drugs made
4    available to Illinois consumers;
5        (3) any recommendations for improvements to the
6    Consumer Fraud and Deceptive Business Practices Act; and
7        (4) any other information the Attorney General finds
8    necessary.
9    (e) This Section is repealed on December 1, 2020.
 
10    Section 15. The Counties Code is amended by changing
11Section 5-1069.3 as follows:
 
12    (55 ILCS 5/5-1069.3)
13    Sec. 5-1069.3. Required health benefits. If a county,
14including a home rule county, is a self-insurer for purposes of
15providing health insurance coverage for its employees, the
16coverage shall include coverage for the post-mastectomy care
17benefits required to be covered by a policy of accident and
18health insurance under Section 356t and the coverage required
19under Sections 356g, 356g.5, 356g.5-1, 356u, 356w, 356x,
20356z.6, 356z.8, 356z.9, 356z.10, 356z.11, 356z.12, 356z.13,
21356z.14, 356z.15, 356z.22, 356z.25, 356z.26, 356z.29,
22356z.30a, and 356z.32, and 356z.33, 356z.36, and 356z.41 of the
23Illinois Insurance Code. The coverage shall comply with
24Sections 155.22a, 355b, 356z.19, and 370c of the Illinois

 

 

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1Insurance Code. The Department of Insurance shall enforce the
2requirements of this Section. The requirement that health
3benefits be covered as provided in this Section is an exclusive
4power and function of the State and is a denial and limitation
5under Article VII, Section 6, subsection (h) of the Illinois
6Constitution. A home rule county to which this Section applies
7must comply with every provision of this Section.
8    Rulemaking authority to implement Public Act 95-1045, if
9any, is conditioned on the rules being adopted in accordance
10with all provisions of the Illinois Administrative Procedure
11Act and all rules and procedures of the Joint Committee on
12Administrative Rules; any purported rule not so adopted, for
13whatever reason, is unauthorized.
14(Source: P.A. 100-24, eff. 7-18-17; 100-138, eff. 8-18-17;
15100-863, eff. 8-14-18; 100-1024, eff. 1-1-19; 100-1057, eff.
161-1-19; 100-1102, eff. 1-1-19; 101-81, eff. 7-12-19; 101-281,
17eff. 1-1-20; 101-393, eff. 1-1-20; 101-461, eff. 1-1-20;
18revised 10-16-19.)
 
19    Section 20. The Illinois Municipal Code is amended by
20changing Section 10-4-2.3 as follows:
 
21    (65 ILCS 5/10-4-2.3)
22    Sec. 10-4-2.3. Required health benefits. If a
23municipality, including a home rule municipality, is a
24self-insurer for purposes of providing health insurance

 

 

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1coverage for its employees, the coverage shall include coverage
2for the post-mastectomy care benefits required to be covered by
3a policy of accident and health insurance under Section 356t
4and the coverage required under Sections 356g, 356g.5,
5356g.5-1, 356u, 356w, 356x, 356z.6, 356z.8, 356z.9, 356z.10,
6356z.11, 356z.12, 356z.13, 356z.14, 356z.15, 356z.22, 356z.25,
7356z.26, 356z.29, 356z.30a, and 356z.32, and 356z.33, 356z.36,
8and 356z.41 of the Illinois Insurance Code. The coverage shall
9comply with Sections 155.22a, 355b, 356z.19, and 370c of the
10Illinois Insurance Code. The Department of Insurance shall
11enforce the requirements of this Section. The requirement that
12health benefits be covered as provided in this is an exclusive
13power and function of the State and is a denial and limitation
14under Article VII, Section 6, subsection (h) of the Illinois
15Constitution. A home rule municipality to which this Section
16applies must comply with every provision of this Section.
17    Rulemaking authority to implement Public Act 95-1045, if
18any, is conditioned on the rules being adopted in accordance
19with all provisions of the Illinois Administrative Procedure
20Act and all rules and procedures of the Joint Committee on
21Administrative Rules; any purported rule not so adopted, for
22whatever reason, is unauthorized.
23(Source: P.A. 100-24, eff. 7-18-17; 100-138, eff. 8-18-17;
24100-863, eff. 8-14-18; 100-1024, eff. 1-1-19; 100-1057, eff.
251-1-19; 100-1102, eff. 1-1-19; 101-81, eff. 7-12-19; 101-281,
26eff. 1-1-20; 101-393, eff. 1-1-20; 101-461, eff. 1-1-20;

 

 

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1revised 10-16-19.)
 
2    Section 25. The School Code is amended by changing Section
310-22.3f as follows:
 
4    (105 ILCS 5/10-22.3f)
5    Sec. 10-22.3f. Required health benefits. Insurance
6protection and benefits for employees shall provide the
7post-mastectomy care benefits required to be covered by a
8policy of accident and health insurance under Section 356t and
9the coverage required under Sections 356g, 356g.5, 356g.5-1,
10356u, 356w, 356x, 356z.6, 356z.8, 356z.9, 356z.11, 356z.12,
11356z.13, 356z.14, 356z.15, 356z.22, 356z.25, 356z.26, 356z.29,
12356z.30a, and 356z.32, and 356z.33, 356z.36, and 356z.41 of the
13Illinois Insurance Code. Insurance policies shall comply with
14Section 356z.19 of the Illinois Insurance Code. The coverage
15shall comply with Sections 155.22a, 355b, and 370c of the
16Illinois Insurance Code. The Department of Insurance shall
17enforce the requirements of this Section.
18    Rulemaking authority to implement Public Act 95-1045, if
19any, is conditioned on the rules being adopted in accordance
20with all provisions of the Illinois Administrative Procedure
21Act and all rules and procedures of the Joint Committee on
22Administrative Rules; any purported rule not so adopted, for
23whatever reason, is unauthorized.
24(Source: P.A. 100-24, eff. 7-18-17; 100-138, eff. 8-18-17;

 

 

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1100-863, eff. 8-14-18; 100-1024, eff. 1-1-19; 100-1057, eff.
21-1-19; 100-1102, eff. 1-1-19; 101-81, eff. 7-12-19; 101-281,
3eff. 1-1-20; 101-393, eff. 1-1-20; 101-461, eff. 1-1-20;
4revised 10-16-19.)
 
5    Section 30. The Illinois Insurance Code is amended changing
6Section 356w and by adding Section 356z.41 as follows:
 
7    (215 ILCS 5/356w)
8    Sec. 356w. Diabetes self-management training and
9education.
10    (a) A group policy of accident and health insurance that is
11amended, delivered, issued, or renewed after the effective date
12of this amendatory Act of 1998 shall provide coverage for
13outpatient self-management training and education, equipment,
14and supplies, as set forth in this Section, for the treatment
15of type 1 diabetes, type 2 diabetes, and gestational diabetes
16mellitus.
17    (b) As used in this Section:
18    "Diabetes self-management training" means instruction in
19an outpatient setting which enables a diabetic patient to
20understand the diabetic management process and daily
21management of diabetic therapy as a means of avoiding frequent
22hospitalization and complications. Diabetes self-management
23training shall include the content areas listed in the National
24Standards for Diabetes Self-Management Education Programs as

 

 

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1published by the American Diabetes Association, including
2medical nutrition therapy and education programs, as defined by
3the contract of insurance, that allow the patient to maintain
4an A1c level within the range identified in nationally
5recognized standards of care.
6    "Medical nutrition therapy" shall have the meaning
7ascribed to that term in the Dietitian Nutritionist Practice
8Act.
9    "Physician" means a physician licensed to practice
10medicine in all of its branches providing care to the
11individual.
12    "Qualified provider" for an individual that is enrolled in:
13        (1) a health maintenance organization that uses a
14    primary care physician to control access to specialty care
15    means (A) the individual's primary care physician licensed
16    to practice medicine in all of its branches, (B) a
17    physician licensed to practice medicine in all of its
18    branches to whom the individual has been referred by the
19    primary care physician, or (C) a certified, registered, or
20    licensed network health care professional with expertise
21    in diabetes management to whom the individual has been
22    referred by the primary care physician.
23        (2) an insurance plan means (A) a physician licensed to
24    practice medicine in all of its branches or (B) a
25    certified, registered, or licensed health care
26    professional with expertise in diabetes management to whom

 

 

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1    the individual has been referred by a physician.
2    (c) Coverage under this Section for diabetes
3self-management training, including medical nutrition
4education, shall be limited to the following:
5        (1) Up to 3 medically necessary visits to a qualified
6    provider upon initial diagnosis of diabetes by the
7    patient's physician or, if diagnosis of diabetes was made
8    within one year prior to the effective date of this
9    amendatory Act of 1998 where the insured was a covered
10    individual, up to 3 medically necessary visits to a
11    qualified provider within one year after that effective
12    date.
13        (2) Up to 2 medically necessary visits to a qualified
14    provider upon a determination by a patient's physician that
15    a significant change in the patient's symptoms or medical
16    condition has occurred. A "significant change" in
17    condition means symptomatic hyperglycemia (greater than
18    250 mg/dl on repeated occasions), severe hypoglycemia
19    (requiring the assistance of another person), onset or
20    progression of diabetes, or a significant change in medical
21    condition that would require a significantly different
22    treatment regimen.
23    Payment by the insurer or health maintenance organization
24for the coverage required for diabetes self-management
25training pursuant to the provisions of this Section is only
26required to be made for services provided. No coverage is

 

 

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1required for additional visits beyond those specified in items
2(1) and (2) of this subsection.
3    Coverage under this subsection (c) for diabetes
4self-management training shall be subject to the same
5deductible, co-payment, and co-insurance provisions that apply
6to coverage under the policy for other services provided by the
7same type of provider.
8    (d) Coverage shall be provided for the following equipment
9when medically necessary and prescribed by a physician licensed
10to practice medicine in all of its branches. Coverage for the
11following items shall be subject to deductible, co-payment and
12co-insurance provisions provided for under the policy or a
13durable medical equipment rider to the policy:
14        (1) blood glucose monitors;
15        (2) blood glucose monitors for the legally blind;
16        (3) cartridges for the legally blind; and
17        (4) lancets and lancing devices.
18    This subsection does not apply to a group policy of
19accident and health insurance that does not provide a durable
20medical equipment benefit.
21    (e) Coverage shall be provided for the following
22pharmaceuticals and supplies when medically necessary and
23prescribed by a physician licensed to practice medicine in all
24of its branches. Coverage for the following items shall be
25subject to the same coverage, deductible, co-payment, and
26co-insurance provisions under the policy or a drug rider to the

 

 

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1policy, except as otherwise provided for under Section 356z.41:
2        (1) insulin;
3        (2) syringes and needles;
4        (3) test strips for glucose monitors;
5        (4) FDA approved oral agents used to control blood
6    sugar; and
7        (5) glucagon emergency kits.
8    This subsection does not apply to a group policy of
9accident and health insurance that does not provide a drug
10benefit.
11    (f) Coverage shall be provided for regular foot care exams
12by a physician or by a physician to whom a physician has
13referred the patient. Coverage for regular foot care exams
14shall be subject to the same deductible, co-payment, and
15co-insurance provisions that apply under the policy for other
16services provided by the same type of provider.
17    (g) If authorized by a physician, diabetes self-management
18training may be provided as a part of an office visit, group
19setting, or home visit.
20    (h) This Section shall not apply to agreements, contracts,
21or policies that provide coverage for a specified diagnosis or
22other limited benefit coverage.
23(Source: P.A. 97-281, eff. 1-1-12; 97-1141, eff. 12-28-12.)
 
24    (215 ILCS 5/356z.41 new)
25    Sec. 356z.41. Cost sharing in prescription insulin drugs;

 

 

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1limits; confidentiality of rebate information.
2    (a) As used in this Section, "prescription insulin drug"
3means a prescription drug that contains insulin and is used to
4treat diabetes.
5    (b) This Section applies to a group or individual policy of
6accident and health insurance amended, delivered, issued, or
7renewed on or after the effective date of this amendatory Act
8of the 101st General Assembly.
9    (c) An insurer that provides coverage for prescription
10insulin drugs pursuant to the terms of a health coverage plan
11the insurer offers shall limit the total amount that an insured
12is required to pay for a covered prescription insulin drug at
13an amount not to exceed $100 per 30-day supply of insulin,
14regardless of the amount or type of insulin needed to fill the
15insured's prescription.
16    (d) Nothing in this Section prevents an insurer from
17reducing an insured's cost sharing by an amount greater than
18the amount specified in subsection (c).
19    (e) The Director may use any of the Director's enforcement
20powers to obtain an insurer's compliance with this Section.
21    (f) The Department may adopt rules as necessary to
22implement and administer this Section and to align it with
23federal requirements.
 
24    Section 35. The Health Maintenance Organization Act is
25amended by changing Section 5-3 as follows:
 

 

 

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1    (215 ILCS 125/5-3)  (from Ch. 111 1/2, par. 1411.2)
2    Sec. 5-3. Insurance Code provisions.
3    (a) Health Maintenance Organizations shall be subject to
4the provisions of Sections 133, 134, 136, 137, 139, 140, 141.1,
5141.2, 141.3, 143, 143c, 147, 148, 149, 151, 152, 153, 154,
6154.5, 154.6, 154.7, 154.8, 155.04, 155.22a, 355.2, 355.3,
7355b, 356g.5-1, 356m, 356v, 356w, 356x, 356y, 356z.2, 356z.4,
8356z.4a, 356z.5, 356z.6, 356z.8, 356z.9, 356z.10, 356z.11,
9356z.12, 356z.13, 356z.14, 356z.15, 356z.17, 356z.18, 356z.19,
10356z.21, 356z.22, 356z.25, 356z.26, 356z.29, 356z.30,
11356z.30a, 356z.32, 356z.33, 356z.35, 356z.36, 356z.41, 364,
12364.01, 367.2, 367.2-5, 367i, 368a, 368b, 368c, 368d, 368e,
13370c, 370c.1, 401, 401.1, 402, 403, 403A, 408, 408.2, 409, 412,
14444, and 444.1, paragraph (c) of subsection (2) of Section 367,
15and Articles IIA, VIII 1/2, XII, XII 1/2, XIII, XIII 1/2, XXV,
16XXVI, and XXXIIB of the Illinois Insurance Code.
17    (b) For purposes of the Illinois Insurance Code, except for
18Sections 444 and 444.1 and Articles XIII and XIII 1/2, Health
19Maintenance Organizations in the following categories are
20deemed to be "domestic companies":
21        (1) a corporation authorized under the Dental Service
22    Plan Act or the Voluntary Health Services Plans Act;
23        (2) a corporation organized under the laws of this
24    State; or
25        (3) a corporation organized under the laws of another

 

 

10100SB0667sam002- 16 -LRB101 04428 SMS 63560 a

1    state, 30% or more of the enrollees of which are residents
2    of this State, except a corporation subject to
3    substantially the same requirements in its state of
4    organization as is a "domestic company" under Article VIII
5    1/2 of the Illinois Insurance Code.
6    (c) In considering the merger, consolidation, or other
7acquisition of control of a Health Maintenance Organization
8pursuant to Article VIII 1/2 of the Illinois Insurance Code,
9        (1) the Director shall give primary consideration to
10    the continuation of benefits to enrollees and the financial
11    conditions of the acquired Health Maintenance Organization
12    after the merger, consolidation, or other acquisition of
13    control takes effect;
14        (2)(i) the criteria specified in subsection (1)(b) of
15    Section 131.8 of the Illinois Insurance Code shall not
16    apply and (ii) the Director, in making his determination
17    with respect to the merger, consolidation, or other
18    acquisition of control, need not take into account the
19    effect on competition of the merger, consolidation, or
20    other acquisition of control;
21        (3) the Director shall have the power to require the
22    following information:
23            (A) certification by an independent actuary of the
24        adequacy of the reserves of the Health Maintenance
25        Organization sought to be acquired;
26            (B) pro forma financial statements reflecting the

 

 

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1        combined balance sheets of the acquiring company and
2        the Health Maintenance Organization sought to be
3        acquired as of the end of the preceding year and as of
4        a date 90 days prior to the acquisition, as well as pro
5        forma financial statements reflecting projected
6        combined operation for a period of 2 years;
7            (C) a pro forma business plan detailing an
8        acquiring party's plans with respect to the operation
9        of the Health Maintenance Organization sought to be
10        acquired for a period of not less than 3 years; and
11            (D) such other information as the Director shall
12        require.
13    (d) The provisions of Article VIII 1/2 of the Illinois
14Insurance Code and this Section 5-3 shall apply to the sale by
15any health maintenance organization of greater than 10% of its
16enrollee population (including without limitation the health
17maintenance organization's right, title, and interest in and to
18its health care certificates).
19    (e) In considering any management contract or service
20agreement subject to Section 141.1 of the Illinois Insurance
21Code, the Director (i) shall, in addition to the criteria
22specified in Section 141.2 of the Illinois Insurance Code, take
23into account the effect of the management contract or service
24agreement on the continuation of benefits to enrollees and the
25financial condition of the health maintenance organization to
26be managed or serviced, and (ii) need not take into account the

 

 

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1effect of the management contract or service agreement on
2competition.
3    (f) Except for small employer groups as defined in the
4Small Employer Rating, Renewability and Portability Health
5Insurance Act and except for medicare supplement policies as
6defined in Section 363 of the Illinois Insurance Code, a Health
7Maintenance Organization may by contract agree with a group or
8other enrollment unit to effect refunds or charge additional
9premiums under the following terms and conditions:
10        (i) the amount of, and other terms and conditions with
11    respect to, the refund or additional premium are set forth
12    in the group or enrollment unit contract agreed in advance
13    of the period for which a refund is to be paid or
14    additional premium is to be charged (which period shall not
15    be less than one year); and
16        (ii) the amount of the refund or additional premium
17    shall not exceed 20% of the Health Maintenance
18    Organization's profitable or unprofitable experience with
19    respect to the group or other enrollment unit for the
20    period (and, for purposes of a refund or additional
21    premium, the profitable or unprofitable experience shall
22    be calculated taking into account a pro rata share of the
23    Health Maintenance Organization's administrative and
24    marketing expenses, but shall not include any refund to be
25    made or additional premium to be paid pursuant to this
26    subsection (f)). The Health Maintenance Organization and

 

 

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1    the group or enrollment unit may agree that the profitable
2    or unprofitable experience may be calculated taking into
3    account the refund period and the immediately preceding 2
4    plan years.
5    The Health Maintenance Organization shall include a
6statement in the evidence of coverage issued to each enrollee
7describing the possibility of a refund or additional premium,
8and upon request of any group or enrollment unit, provide to
9the group or enrollment unit a description of the method used
10to calculate (1) the Health Maintenance Organization's
11profitable experience with respect to the group or enrollment
12unit and the resulting refund to the group or enrollment unit
13or (2) the Health Maintenance Organization's unprofitable
14experience with respect to the group or enrollment unit and the
15resulting additional premium to be paid by the group or
16enrollment unit.
17    In no event shall the Illinois Health Maintenance
18Organization Guaranty Association be liable to pay any
19contractual obligation of an insolvent organization to pay any
20refund authorized under this Section.
21    (g) Rulemaking authority to implement Public Act 95-1045,
22if any, is conditioned on the rules being adopted in accordance
23with all provisions of the Illinois Administrative Procedure
24Act and all rules and procedures of the Joint Committee on
25Administrative Rules; any purported rule not so adopted, for
26whatever reason, is unauthorized.

 

 

10100SB0667sam002- 20 -LRB101 04428 SMS 63560 a

1(Source: P.A. 100-24, eff. 7-18-17; 100-138, eff. 8-18-17;
2100-863, eff. 8-14-18; 100-1026, eff. 8-22-18; 100-1057, eff.
31-1-19; 100-1102, eff. 1-1-19; 101-13, eff. 6-12-19; 101-81,
4eff. 7-12-19; 101-281, eff. 1-1-20; 101-371, eff. 1-1-20;
5101-393, eff. 1-1-20; 101-452, eff. 1-1-20; 101-461, eff.
61-1-20; revised 10-16-19.)
 
7    Section 40. The Limited Health Service Organization Act is
8amended by changing Section 4003 as follows:
 
9    (215 ILCS 130/4003)  (from Ch. 73, par. 1504-3)
10    Sec. 4003. Illinois Insurance Code provisions. Limited
11health service organizations shall be subject to the provisions
12of Sections 133, 134, 136, 137, 139, 140, 141.1, 141.2, 141.3,
13143, 143c, 147, 148, 149, 151, 152, 153, 154, 154.5, 154.6,
14154.7, 154.8, 155.04, 155.37, 355.2, 355.3, 355b, 356v,
15356z.10, 356z.21, 356z.22, 356z.25, 356z.26, 356z.29,
16356z.30a, 356z.32, 356z.33, 356z.41, 368a, 401, 401.1, 402,
17403, 403A, 408, 408.2, 409, 412, 444, and 444.1 and Articles
18IIA, VIII 1/2, XII, XII 1/2, XIII, XIII 1/2, XXV, and XXVI of
19the Illinois Insurance Code. For purposes of the Illinois
20Insurance Code, except for Sections 444 and 444.1 and Articles
21XIII and XIII 1/2, limited health service organizations in the
22following categories are deemed to be domestic companies:
23        (1) a corporation under the laws of this State; or
24        (2) a corporation organized under the laws of another

 

 

10100SB0667sam002- 21 -LRB101 04428 SMS 63560 a

1    state, 30% or more of the enrollees of which are residents
2    of this State, except a corporation subject to
3    substantially the same requirements in its state of
4    organization as is a domestic company under Article VIII
5    1/2 of the Illinois Insurance Code.
6(Source: P.A. 100-24, eff. 7-18-17; 100-138, eff. 8-18-17;
7100-201, eff. 8-18-17; 100-863, eff. 8-14-18; 100-1057, eff.
81-1-19; 100-1102, eff. 1-1-19; 101-81, eff. 7-12-19; 101-281,
9eff. 1-1-20; 101-393, eff. 1-1-20; revised 10-16-19.)
 
10    Section 45. The Voluntary Health Services Plans Act is
11amended by changing Section 10 as follows:
 
12    (215 ILCS 165/10)  (from Ch. 32, par. 604)
13    Sec. 10. Application of Insurance Code provisions. Health
14services plan corporations and all persons interested therein
15or dealing therewith shall be subject to the provisions of
16Articles IIA and XII 1/2 and Sections 3.1, 133, 136, 139, 140,
17143, 143c, 149, 155.22a, 155.37, 354, 355.2, 355.3, 355b, 356g,
18356g.5, 356g.5-1, 356r, 356t, 356u, 356v, 356w, 356x, 356y,
19356z.1, 356z.2, 356z.4, 356z.4a, 356z.5, 356z.6, 356z.8,
20356z.9, 356z.10, 356z.11, 356z.12, 356z.13, 356z.14, 356z.15,
21356z.18, 356z.19, 356z.21, 356z.22, 356z.25, 356z.26, 356z.29,
22356z.30, 356z.30a, 356z.32, 356z.33, 356z.41, 364.01, 367.2,
23368a, 401, 401.1, 402, 403, 403A, 408, 408.2, and 412, and
24paragraphs (7) and (15) of Section 367 of the Illinois

 

 

10100SB0667sam002- 22 -LRB101 04428 SMS 63560 a

1Insurance Code.
2    Rulemaking authority to implement Public Act 95-1045, if
3any, is conditioned on the rules being adopted in accordance
4with all provisions of the Illinois Administrative Procedure
5Act and all rules and procedures of the Joint Committee on
6Administrative Rules; any purported rule not so adopted, for
7whatever reason, is unauthorized.
8(Source: P.A. 100-24, eff. 7-18-17; 100-138, eff. 8-18-17;
9100-863, eff. 8-14-18; 100-1026, eff. 8-22-18; 100-1057, eff.
101-1-19; 100-1102, eff. 1-1-19; 101-13, eff. 6-12-19; 101-81,
11eff. 7-12-19; 101-281, eff. 1-1-20; 101-393, eff. 1-1-20;
12revised 10-16-19.)
 
13    Section 99. Effective date. This Act takes effect January
141, 2021, except that Section 10 and this Section take effect
15upon becoming law.".