State of Illinois
91st General Assembly
Legislation

   [ Search ]   [ Legislation ]
[ Home ]   [ Back ]   [ Bottom ]



91_HB3949

 
                                               LRB9111844STsb

 1        AN ACT concerning health services.

 2        Be it enacted by the People of  the  State  of  Illinois,
 3    represented in the General Assembly:

 4        Section  5.  The  State  Employees Group Insurance Act of
 5    1971 is amended by changing Section 6.11 as follows:

 6        (5 ILCS 375/6.11)
 7        Sec. 6.11.  Required health  benefits.   The  program  of
 8    health   benefits  shall  provide  the  post-mastectomy  care
 9    benefits required to be covered by a policy of  accident  and
10    health insurance under Section 356t of the Illinois Insurance
11    Code.   The  program  of  health  benefits  shall provide the
12    coverage required under Sections 356u, 356w,  and  356x,  and
13    356z.1 of the Illinois Insurance Code.
14    (Source: P.A.  90-7,  eff.  6-10-97;  90-655,  eff.  7-30-98;
15    90-741, eff. 1-1-99.)

16        Section  10.  The  Counties  Code  is amended by changing
17    Section 5-1069.3 as follows:

18        (55 ILCS 5/5-1069.3)
19        Sec. 5-1069.3.  Required health benefits.  If  a  county,
20    including  a home rule county, is a self-insurer for purposes
21    of providing health insurance coverage for its employees, the
22    coverage shall include coverage for the post-mastectomy  care
23    benefits  required  to be covered by a policy of accident and
24    health insurance under Section 356t and the coverage required
25    under Sections 356u, 356w,  and  356x,  and  356z.1   of  the
26    Illinois   Insurance   Code.   The  requirement  that  health
27    benefits be  covered  as  provided  in  this  Section  is  an
28    exclusive power and function of the State and is a denial and
29    limitation  under  Article  VII, Section 6, subsection (h) of
 
                            -2-                LRB9111844STsb
 1    the Illinois Constitution.  A home rule county to which  this
 2    Section  applies  must  comply  with  every provision of this
 3    Section.
 4    (Source: P.A. 90-7, eff. 6-10-97; 90-741, eff. 1-1-99.)

 5        Section 15.  The Illinois Municipal Code  is  amended  by
 6    changing Section 10-4-2.3 as follows:

 7        (65 ILCS 5/10-4-2.3)
 8        Sec.   10-4-2.3.    Required   health   benefits.   If  a
 9    municipality,  including  a  home  rule  municipality,  is  a
10    self-insurer  for  purposes  of  providing  health  insurance
11    coverage  for  its  employees,  the  coverage  shall  include
12    coverage for the post-mastectomy care benefits required to be
13    covered by a policy of accident and  health  insurance  under
14    Section  356t  and the coverage required under Sections 356u,
15    356w, and 356x, and 356z.1 of the  Illinois  Insurance  Code.
16    The  requirement  that health benefits be covered as provided
17    in this is an exclusive power and function of the  State  and
18    is  a  denial  and  limitation  under Article VII, Section 6,
19    subsection (h) of the Illinois  Constitution.   A  home  rule
20    municipality  to  which this Section applies must comply with
21    every provision of this Section.
22    (Source: P.A. 90-7, eff. 6-10-97; 90-741, eff. 1-1-99.)

23        Section 20.  The  School  Code  is  amended  by  changing
24    Section 10-22.3f as follows:

25        (105 ILCS 5/10-22.3f)
26        Sec.   10-22.3f.  Required  health  benefits.   Insurance
27    protection and  benefits  for  employees  shall  provide  the
28    post-mastectomy  care  benefits  required  to be covered by a
29    policy of accident and health insurance  under  Section  356t
30    and  the  coverage  required  under  Sections 356u, 356w, and
 
                            -3-                LRB9111844STsb
 1    356x, and 356z.1 of the Illinois Insurance Code.
 2    (Source: P.A. 90-7, eff. 6-10-97; 90-741, eff. 1-1-99.)

 3        Section 25.  The Hospital Licensing  Act  is  amended  by
 4    adding Section 11.4 as follows:

 5        (210 ILCS 85/11.4 new)
 6        Sec.   11.4.    Uniform  standards  of  obstetrical  care
 7    regardless of source of or ability to pay.
 8        (a) No hospital  may  promulgate  policies  or  implement
 9    practices  that  determine differing standards of obstetrical
10    care based upon a patient's source of payment or  ability  to
11    pay for medical services.
12        (b)   Each   hospital  shall  develop  a  written  policy
13    statement reflecting the requirements of subsection  (a)  and
14    shall  post written notices of this policy in the obstetrical
15    admitting areas of the hospital by  July  1,  2000.   Notices
16    posted  pursuant  to  this  Section  shall  be  posted in the
17    predominant language or languages spoken  in  the  hospital's
18    service area.

19        Section  30.  The  Illinois  Insurance Code is amended by
20    adding Section 356z.1 as follows:

21        (215 ILCS 5/356z.1 new)
22        Sec.  356z.1.  Birth  control  coverage.   A   group   or
23    individual policy of accident and health insurance or managed
24    care  plan  amended,  delivered, issued, or renewed after the
25    effective date of this amendatory Act  of  the  91st  General
26    Assembly that provides coverage for prescribed drugs approved
27    by the federal Food and Drug Administration for the treatment
28    of  impotence must also provide coverage for prescribed drugs
29    approved by the federal Food and Drug Administration for  the
30    prevention of pregnancy on the same terms and conditions that
 
                            -4-                LRB9111844STsb
 1    are  generally  applicable  to  coverage for other prescribed
 2    drugs approved by the federal Food and Drug Administration.

 3        Section 35.  The Health Maintenance Organization  Act  is
 4    amended by changing Section 5-3 as follows:

 5        (215 ILCS 125/5-3) (from Ch. 111 1/2, par. 1411.2)
 6        Sec. 5-3.  Insurance Code provisions.
 7        (a)  Health Maintenance Organizations shall be subject to
 8    the  provisions of Sections 133, 134, 137, 140, 141.1, 141.2,
 9    141.3, 143, 143c, 147, 148, 149, 151, 152, 153,  154,  154.5,
10    154.6,  154.7,  154.8, 155.04, 355.2, 356m, 356v, 356w, 356x,
11    356y, 356z, 356z.1, 367i, 401, 401.1, 402,  403,  403A,  408,
12    408.2,  409, 412, 444, and 444.1, paragraph (c) of subsection
13    (2) of Section 367, and Articles IIA, VIII 1/2, XII, XII 1/2,
14    XIII, XIII 1/2, XXV, and XXVI of the Illinois Insurance Code.
15        (b)  For purposes of the Illinois Insurance Code,  except
16    for  Sections  444  and 444.1 and Articles XIII and XIII 1/2,
17    Health Maintenance Organizations in the following  categories
18    are deemed to be "domestic companies":
19             (1)  a   corporation  authorized  under  the  Dental
20        Service Plan Act or the Voluntary Health  Services  Plans
21        Act;
22             (2)  a  corporation organized under the laws of this
23        State; or
24             (3)  a  corporation  organized  under  the  laws  of
25        another state, 30% or more of the enrollees of which  are
26        residents  of this State, except a corporation subject to
27        substantially the  same  requirements  in  its  state  of
28        organization  as  is  a  "domestic company" under Article
29        VIII 1/2 of the Illinois Insurance Code.
30        (c)  In considering the merger, consolidation,  or  other
31    acquisition  of  control of a Health Maintenance Organization
32    pursuant to Article VIII 1/2 of the Illinois Insurance Code,
 
                            -5-                LRB9111844STsb
 1             (1)  the Director shall give  primary  consideration
 2        to  the  continuation  of  benefits  to enrollees and the
 3        financial conditions of the acquired  Health  Maintenance
 4        Organization  after  the  merger, consolidation, or other
 5        acquisition of control takes effect;
 6             (2)(i)  the criteria specified in subsection  (1)(b)
 7        of Section 131.8 of the Illinois Insurance Code shall not
 8        apply  and (ii) the Director, in making his determination
 9        with respect  to  the  merger,  consolidation,  or  other
10        acquisition  of  control,  need not take into account the
11        effect on competition of the  merger,  consolidation,  or
12        other acquisition of control;
13             (3)  the  Director  shall  have the power to require
14        the following information:
15                  (A)  certification by an independent actuary of
16             the  adequacy  of  the  reserves   of   the   Health
17             Maintenance Organization sought to be acquired;
18                  (B)  pro  forma financial statements reflecting
19             the combined balance sheets of the acquiring company
20             and the Health Maintenance Organization sought to be
21             acquired as of the end of the preceding year and  as
22             of  a date 90 days prior to the acquisition, as well
23             as  pro  forma   financial   statements   reflecting
24             projected  combined  operation  for  a  period  of 2
25             years;
26                  (C)  a pro forma  business  plan  detailing  an
27             acquiring   party's   plans   with  respect  to  the
28             operation of  the  Health  Maintenance  Organization
29             sought  to be acquired for a period of not less than
30             3 years; and
31                  (D)  such other  information  as  the  Director
32             shall require.
33        (d)  The  provisions  of Article VIII 1/2 of the Illinois
34    Insurance Code and this Section 5-3 shall apply to  the  sale
 
                            -6-                LRB9111844STsb
 1    by any health maintenance organization of greater than 10% of
 2    its  enrollee  population  (including  without limitation the
 3    health maintenance organization's right, title, and  interest
 4    in and to its health care certificates).
 5        (e)  In  considering  any  management contract or service
 6    agreement subject to Section 141.1 of the Illinois  Insurance
 7    Code,  the  Director  (i)  shall, in addition to the criteria
 8    specified in Section 141.2 of the  Illinois  Insurance  Code,
 9    take  into  account  the effect of the management contract or
10    service  agreement  on  the  continuation  of   benefits   to
11    enrollees   and   the   financial  condition  of  the  health
12    maintenance organization to be managed or serviced, and  (ii)
13    need  not  take  into  account  the  effect of the management
14    contract or service agreement on competition.
15        (f)  Except for small employer groups as defined  in  the
16    Small  Employer  Rating,  Renewability and Portability Health
17    Insurance Act and except for medicare supplement policies  as
18    defined  in  Section  363  of  the Illinois Insurance Code, a
19    Health Maintenance Organization may by contract agree with  a
20    group  or  other  enrollment unit to effect refunds or charge
21    additional premiums under the following terms and conditions:
22             (i)  the amount of, and other terms  and  conditions
23        with respect to, the refund or additional premium are set
24        forth  in the group or enrollment unit contract agreed in
25        advance of the period for which a refund is to be paid or
26        additional premium is to be charged (which  period  shall
27        not be less than one year); and
28             (ii)  the amount of the refund or additional premium
29        shall   not   exceed   20%   of  the  Health  Maintenance
30        Organization's profitable or unprofitable experience with
31        respect to the group or other  enrollment  unit  for  the
32        period  (and,  for  purposes  of  a  refund or additional
33        premium, the profitable or unprofitable experience  shall
34        be calculated taking into account a pro rata share of the
 
                            -7-                LRB9111844STsb
 1        Health   Maintenance  Organization's  administrative  and
 2        marketing expenses, but shall not include any  refund  to
 3        be made or additional premium to be paid pursuant to this
 4        subsection (f)).  The Health Maintenance Organization and
 5        the   group   or  enrollment  unit  may  agree  that  the
 6        profitable or unprofitable experience may  be  calculated
 7        taking into account the refund period and the immediately
 8        preceding 2 plan years.
 9        The  Health  Maintenance  Organization  shall  include  a
10    statement in the evidence of coverage issued to each enrollee
11    describing the possibility of a refund or additional premium,
12    and  upon request of any group or enrollment unit, provide to
13    the group or enrollment unit a description of the method used
14    to  calculate  (1)  the  Health  Maintenance   Organization's
15    profitable experience with respect to the group or enrollment
16    unit and the resulting refund to the group or enrollment unit
17    or  (2)  the  Health  Maintenance Organization's unprofitable
18    experience with respect to the group or enrollment  unit  and
19    the  resulting  additional premium to be paid by the group or
20    enrollment unit.
21        In  no  event  shall  the  Illinois  Health   Maintenance
22    Organization  Guaranty  Association  be  liable  to  pay  any
23    contractual  obligation  of  an insolvent organization to pay
24    any refund authorized under this Section.
25    (Source: P.A.  90-25,  eff.  1-1-98;  90-177,  eff.  7-23-97;
26    90-372, eff.  7-1-98;  90-583,  eff.  5-29-98;  90-655,  eff.
27    7-30-98;  90-741,  eff. 1-1-99; 91-357, eff. 7-29-99; 91-406,
28    eff. 1-1-00; 91-549, eff.  8-14-99;  91-605,  eff.  12-14-99;
29    revised 10-18-99.)

30        Section  40.  The  Voluntary Health Services Plans Act is
31    amended by changing Section 10 as follows:

32        (215 ILCS 165/10) (from Ch. 32, par. 604)
 
                            -8-                LRB9111844STsb
 1        Sec.  10.  Application  of  Insurance  Code   provisions.
 2    Health  services plan corporations and all persons interested
 3    therein  or  dealing  therewith  shall  be  subject  to   the
 4    provisions of Articles IIA and XII 1/2 and Sections 3.1, 133,
 5    140,  143,  143c,  149,  354,  355.2, 356r, 356t, 356u, 356v,
 6    356w, 356x, 356y, 356z, 356z.1, 367.2, 401, 401.1, 402,  403,
 7    403A,  408,  408.2,  and  412, and paragraphs (7) and (15) of
 8    Section 367 of the Illinois Insurance Code.
 9    (Source: P.A. 90-7, eff. 6-10-97; 90-25, eff. 1-1-98; 90-655,
10    eff. 7-30-98;  90-741,  eff.  1-1-99;  91-406,  eff.  1-1-00;
11    91-549,   eff.   8-14-99;   91-605,  eff.  12-14-99;  revised
12    10-18-99.)

13        Section 45.  The Illinois Public Aid Code is  amended  by
14    adding Section 5-16.7a as follows:

15        (305 ILCS 5/5-16.7a new)
16        Sec.  5-16.7a.   Reimbursement  for  epidural  anesthesia
17    services.   The  Department  shall  provide  reimbursement to
18    medical  providers  for  epidural  anesthesia  services  when
19    ordered  by  the  attending  practitioner  at  the  time   of
20    delivery.

21        Section  99.  Effective date.  This Act takes effect upon
22    becoming law.

[ Top ]