Bill Text: NJ S2600 | 2010-2011 | Regular Session | Introduced

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Bill Title: Requires carriers to process and render a decision on applications for individual health benefits plans within one week.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2010-12-30 - Introduced in the Senate, Referred to Senate Commerce Committee [S2600 Detail]

Download: New_Jersey-2010-S2600-Introduced.html

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SENATE, No. 2600

STATE OF NEW JERSEY

214th LEGISLATURE

 

INTRODUCED DECEMBER 30, 2010

 

 

Sponsored by:

Senator  JEFF VAN DREW

District 1 (Cape May, Atlantic and Cumberland)

 

 

 

 

SYNOPSIS

     Requires carriers to process and render a decision on applications for individual health benefits plans within one week.

 

CURRENT VERSION OF TEXT

     As introduced.

  

An Act concerning individual health benefits plans and supplementing P.L.1992, c.161 (C.17B:27A-2 et seq.).

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    Every carrier that offers an individual health benefits plan that provides hospital or medical expense benefits pursuant to P.L.1992, c.161 (C.17B:27A-2 et seq.) shall process an application for issuance of individual health benefits coverage and render a written decision to the applicant as to whether the application is approved or denied within one week after receipt of a completed application.

 

     2.    This act shall take effect on the 90^th day following the date of enactment.

 

 

STATEMENT

 

     This bill provides that an insurance carrier that receives an application for enrollment in the carrier's individual health benefits plan, offered through the New Jersey Individual Health Coverage Program (IHC), must evaluate and render a written decision within one week of receipt of the application.

     Currently, State law provides certain eligibility and application requirements that an individual must satisfy in order to obtain coverage through the IHC.  The law further provides that if the applicant qualifies for coverage, then the carrier must provide coverage within certain time periods.  This bill would provide further protections for consumers seeking coverage in the individual market by requiring carriers to respond to an application for health benefits coverage within one week of receipt of the completed application.