The General Assembly Raised Bill No. 5375 proposes a restructuring of the funding for public health programs in Connecticut, effective July 1, 2026. The bill allows the Insurance Commissioner, in consultation with the Secretary of the Office of Policy and Management and the Commissioner of Public Health, to transfer payments for programs funded by the public health fee from the Insurance Fund to the General Fund over a five-year period. This transfer will occur in increasing increments, with adjustments to assessments on domestic insurance companies. Additionally, the bill repeals and replaces section 19a-7p of the general statutes, which previously outlined the responsibilities of the Secretary and the Insurance Commissioner regarding public health fees. The new provisions require the Secretary to determine appropriations for health programs and inform the Insurance Commissioner annually, while also establishing a timeline for reporting and fee assessments, including penalties for late submissions.

Furthermore, the bill introduces liability protections for nonprofit human services providers contracted with the state, shielding them from liability for injuries caused by state officials or third parties during the execution of their contracts. It also mandates the Insurance Commissioner to conduct studies on various topics, including the feasibility of pooling liability insurance for nonprofits and the impact of third-party litigation funding on insurance costs. Reports on these studies are to be submitted to the relevant legislative committees by February 1, 2027. Overall, Raised Bill No. 5375 aims to streamline public health funding and enhance accountability while implementing recommendations from working groups focused on insurance and health care services.

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