The bill amends Chapter 27-18.2 of the General Laws, specifically Section 27-18.2-3, which pertains to Medicare Supplement Insurance Policies. The amendment introduces new standards for policy provisions of Medicare supplement policies and certificates, effective July 1, 2023. It prohibits policies from containing benefits that duplicate those provided by Medicare and restricts the exclusion or limitation of benefits for preexisting conditions to those diagnosed or treated within six months prior to the coverage effective date. The bill also empowers the commissioner to adopt regulations for policy provisions, premium rates, claims payment, marketing practices, and other aspects to ensure they conform to state and federal laws.
Additionally, the bill includes a new subsection (h) that provides guaranteed issue rights for standardized Medicare Supplement Plan A to individuals enrolled in Medicare Parts A and B during an annual enrollment period established by the issuer, regardless of age. This issuance of policies will not be based on the medical or health status of the applicant, nor will insurers be allowed to perform individual medical underwriting. However, this is provided that the applicant is enrolled in a Medicare Advantage plan under Medicare Part C at the time of the Medicare supplement application. The act is set to take effect upon passage, ensuring that all Medicare recipients have the opportunity to apply for a Medicare supplement plan without discrimination based on their health status.
Statutes affected: 583 SUB A as amended: 27-18.2-3
583 SUB A: 27-18.2-3
583: 27-18.2-3