Bill Text: IA HF228 | 2023-2024 | 90th General Assembly | Introduced

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Bill Title: A bill for an act relating to Medicare supplement policies and an annual open enrollment period.(See HF 462.)

Spectrum: Partisan Bill (Republican 2-0)

Status: (Introduced - Dead) 2023-03-21 - Withdrawn. H.J. 706. [HF228 Detail]

Download: Iowa-2023-HF228-Introduced.html

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House File 228 - Introduced
HOUSE FILE 228
BY MOHR and KNIFF MCCULLA
A BILL FOR
An Act relating to Medicare supplement policies and an annual
open enrollment period.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
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H.F. 228
Section 1. NEW SECTION . 514M.1 Medicare supplement
insurance —— annual open enrollment.
1. For purposes of this section, unless the context
otherwise requires:
a. “Applicant” means an individual who is at least
sixty-five years old who seeks to contract for benefits
under an individual Medicare supplement policy, or a proposed
covered individual under a group Medicare supplement policy.
“Applicant” includes an individual under the age of sixty-five
who qualifies for Medicare due to disability, end-stage renal
disease, or exposure to an environmental hazard.
b. “Certificate” means any certificate of coverage delivered
or issued for delivery in this state to a covered individual
under a group Medicare supplement policy.
c. “Issuer” means an insurance company, a fraternal benefit
society, a health care service plan, a health maintenance
organization, or any other entity delivering or issuing
for delivery in this state a Medicare supplement policy or
certificate.
d. “Medicare supplement policy” means an individual or group
policy of accident and sickness insurance or a subscriber
contract of hospital and medical service associations or
health maintenance organizations, other than a policy issued
pursuant to a contract under section 1876 of the federal Social
Security Act, as codified in 42 U.S.C. §1395 et seq., or an
issued policy under an approved demonstration project described
in section 603(c) of the Social Security Amendments of 1983,
section 2355 of the federal Deficit Reduction Act of 1984, or
section 9412(b) of the federal Omnibus Budget Reconciliation
Act of 1986, that is advertised, marketed, or designed
primarily as a supplement to reimbursements under Medicare
for hospital, medical, or surgical expenses of individuals
covered by Medicare. “Medicare supplement policy” does not
include Medicare advantage plans, outpatient prescription drug
plans established under Medicare part D, or any health care
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H.F. 228
prepayment plan that provides benefits pursuant to an agreement
under section 1833(a)(1)(A) of the federal Social Security Act.
2. Beginning January 1, 2024, applicants shall have an
annual thirty-day open enrollment period that begins on the
date of the applicant’s birthday.
3. During the open enrollment period under subsection 2, an
issuer shall be prohibited from doing any of the following:
a. Denying or conditioning the issuance or effectiveness of
any Medicare supplement policy or certificate that the issuer
offers and that is available for issuance in the state.
b. Subjecting an applicant to medical underwriting, or
discriminating in the pricing of a Medicare supplement policy
or certificate because of the applicant’s health status, claims
experience, receipt of health care, or medical condition.
c. Imposing an exclusion of benefits based on an applicant’s
preexisting condition.
4. An issuer shall provide notice, in a form prescribed by
the commissioner of insurance, of the annual open enrollment
period at the time an applicant applies for a Medicare
supplement policy or certificate.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
This bill relates to Medicare supplement policies and an
annual open enrollment period.
Beginning January 1, 2024, applicants shall have an annual
30-day open enrollment period that begins on the date of an
applicant’s birthday. “Applicant” is defined in the bill as an
individual who is at least 65 years old who seeks to contract
for benefits under an individual Medicare supplement policy, or
a proposed covered individual under a group Medicare supplement
policy. “Applicant” includes an individual under the age of 65
who qualifies for Medicare due to disability, end-stage renal
disease, or exposure to an environmental hazard. “Medicare
supplement policy” is also defined in the bill.
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H.F. 228
During the open enrollment period, an issuer is prohibited
from denying or conditioning the issuance or effectiveness
of any Medicare supplement policy that the issuer offers and
that is available for issuance in the state; from subjecting
an applicant to medical underwriting or discriminating in the
pricing of a Medicare supplement policy because of the health
status, claims experience, receipt of health care, or medical
condition of an applicant; and from imposing an exclusion
of benefits based on an applicant’s preexisting condition.
An issuer shall provide notice, in a form prescribed by the
commissioner of insurance, of the annual open enrollment period
at the time an applicant applies for a Medicare supplement
policy or certificate. “Issuer” is defined in the bill.
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