BILL NUMBER: S6674A
SPONSOR: HOYLMAN-SIGAL
TITLE OF BILL:
An act to amend the insurance law, in relation to expanding coverage
requirements for human donor milk
PURPOSE:
An act to amend the Insurance Law, in relation to expanding coverage
requirements for human donor milk
SUMMARY OF PROVISIONS:
Section 1 expands coverage requirements of human donor milk beyond inpa-
tient use for individual accident and health insurance policies.
Section 2 expands coverage requirements of human donor milk beyond inpa-
tient use for group or blanket accident and health insurance policies.
Section 3 expands coverage requirements of human donor milk beyond inpa-
tient use for non-profit medical and dental indemnity or health and
hospital service corporation insurance policies.
Section 4 provides for the effective date.
EXISTING LAW:
§ 3216 of Insurance Law
§ 3221 of Insurance Law
§ 4303 of Insurance Law
JUSTIFICATION:
In certain circumstances, human pasteurized donor milk (HPDM) is
provided to newborns and infants in hospitals. The need for donor breast
milk has become a necessary, desirable, and routine option to support
preterm infants. Mothers of preterm infants can face difficulty produc-
ing adequate amounts of breast milk to sustain their premature infants;
which places the infant at risk for developing necrotizing enterocolitis
(NEC). Oftentimes the use and need for HPDM is expanded beyond inpatient
use. However, insurers rarely cover the cost of donor milks in outpa-
tient environments after a baby leaves the hospital. Expanding coverage
requirements to include outpatient use would be beneficial to increasing
access, keeping HPDM affordable, and ensuring that newborns are able to
receive necessary nutrients. The nationwide shortage of baby formula in
the summer of 2022 made clear that when parents' options are limited,
children suffer. Supply chain issues and mass recalls of infant formula
in the first half of 2022 resulted in nearly half of all formula
products being out of stock nationwide by May 2022. By June, 74% of
products were out of stock nation wide---and in ten states, fewer than
10% of products were in stock. During that time, the cost of these
products rose by as much as 18 percent, further squeezing families
panicked about feeding their kids. Census surveys showed that low-income
households were disproportionately affected by this shortage and twice
as likely as higher income households to have less than a week of formu-
la on hand. The shortage also put pressure on human donor milk suppli-
ers, who recorded a 22% increase in demand for their product.
LEGISLATIVE HISTORY:
New bill.
FISCAL IMPLICATIONS:
To be determined.
EFFECTIVE DATE:
This act shall take effect on the first of January next succeeding the
date on which it shall have become a law and shall apply to all policies
issued, renewed, modified, or altered on or after such date. Effectively
immediately, the addition, amendment and/or repeal of any rule or regu-
lation necessary for the implementation of this act on its effective
date are authorized to be made on or before such date.
Statutes affected: S6674: 365-a social services law, 365-a(2) social services law, 3221 insurance law, 3221(l) insurance law, 4303 insurance law, 4303(oo) insurance law
S6674A: 3221 insurance law, 3221(l) insurance law, 4303 insurance law, 4303(oo) insurance law