This bill mandates that Medicare supplemental policies must cover pre-existing conditions, amending existing laws to ensure that individuals with such conditions are not denied coverage. Specifically, it removes the previous exclusion of Medicare supplement policies from the simplified application form provisions, allowing these policies to cover losses from pre-existing conditions after a nine-month enrollment period. The bill also introduces new definitions for "Medicare Advantage Plan" and "preexisting condition," clarifying the terms under which these policies operate. Additionally, it establishes that no Medicare supplement policy can exclude or limit benefits based on pre-existing conditions, and it requires the commissioner to adopt rules that include standards for these policies.

Furthermore, the bill enhances disclosure standards for Medicare supplement policies and Medicare Advantage Plans, ensuring that applicants receive an outline of coverage at the time of application. It also stipulates that these policies must include a notice of a free examination period, allowing applicants to return the policy within 30 days for a full refund if unsatisfied. The legislation prohibits pricing based on medical underwriting for pre-existing conditions during the Medicare Open Enrollment Period and requires that any insurer offering Medicare Advantage Plans must also provide Medicare Supplement or Medigap Plans. The act will take effect 60 days after its passage.

Statutes affected:
Introduced: 415-A:5, 451-F:1, 415-F:3, 415-F:5, 415-F:6
HB774 text: 415-A:5, 451-F:1, 415-F:3, 415-F:5, 415-F:6