The proposed bill, General Assembly Proposed Bill No. 1210, seeks to amend section 38a-591g of the general statutes to impose a civil penalty on health carriers when their adverse determinations are overturned during an external review conducted by an independent review organization. The bill stipulates that the penalties collected will be deposited into the Insurance Fund and allocated specifically to the Office of the Healthcare Advocate.

This legislation aims to hold health carriers accountable for their adverse determinations, thereby promoting fair practices in healthcare decision-making. By instituting a financial penalty for overturned decisions, the bill encourages health carriers to make more judicious determinations in the first instance, ultimately benefiting consumers who may be adversely affected by such decisions.