On May 29, COL LEG passed bill on out-of-pocket expense credits.
COL LEG passed bill HB 24-1258, concerning credit for the out-of-pocket expenses paid by a covered person when their health insurance carrier exits the market.
Creates COL INS 10-16-105.9, regarding health benefit plan carrier insolvency.
Bill Provisions
If a health insurance carrier exits the market, bill requires an individual's new health insurance carrier to credit all of the out-of-pocket expenses paid by the individual.
Credit given in accordance with the original health benefit plan in the given plan year.
If individual enrolls in new health benefit plan in established special enrollment period.
New health insurance carrier may file a claim for amount of any claims liability that results from the new costs to the carrier; except not for the estate of the new carrier.
Exception granted if crediting the out-of-pocket expenses would cause insolvency.
Legislative History
On Feb. 13, 2024, bill introduced in House; on Feb. 20, 2024, bill passed in the House.
On Feb. 21, 2024, bill was introduced in Senate; on Apr. 19, 2024, bill passed Senate.
On May 29, 2024, bill sent to governor for signature; and is pending governor action.
Effectiveness
If enacted, this act takes effect Jan. 1, 2025.
Jun. 2024 COL LEG Governor Approval
On Jun. 3, 2024, COL LEG reported that the governor signed bill HB24-1258 into law.
Regulators
COL LEG
Entity Types
CNSM; Ins
Reference
PR, Act, 6/3/2024; Bill, HB24-1258, 5/29/2024; Citation: COL INS 10-16;
Functions
Actuarial and Valuation; Claims/Accelerated Benefits; Compliance; Financial; Legal; Operations; Resolution
