SENATE BILL 295

52nd legislature - STATE OF NEW MEXICO - first session, 2015

INTRODUCED BY

Gerald Ortiz y Pino

FOR THE LEGISLATIVE HEALTH AND HUMAN SERVICES COMMITTEE

AN ACT

RELATING TO HEALTH INSURANCE; ENACTING A NEW SECTION OF THE SMALL GROUP RATE AND RENEWABILITY ACT TO PROVIDE FOR TRANSPARENCY MEASURES RELATING TO HEALTH BENEFIT PLANS COVERING SMALL EMPLOYERS' EMPLOYEES AND THEIR DEPENDENTS.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. A new section of the Small Group Rate and Renewability Act is enacted to read:

     "[NEW MATERIAL] HEALTH BENEFIT PLAN QUOTE--DISCLOSURES REQUIRED.--

          A. The superintendent shall adopt and promulgate rules to require that a carrier that provides a quote for a health benefit plan to a small employer make the following disclosures to the small employer:

                (1) any commission or other compensation that a broker or agent is to receive contingent upon issuance of the health benefit plan for which the quote is provided; and

                (2) the history of rate changes over the preceding five years for the type of health benefit plan being considered.

          B. As used in this section, "quote" means an estimate of a health benefit plan's cost for a potential purchaser of the health benefit plan."

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