Source: http://mainelegislature.org/legis/bills/bills_126th/billtexts/HP013601.asp
Timestamp: 2020-01-17 22:44:32
Document Index: 219937553

Matched Legal Cases: ['§2736', '§2', '§2', '§2736', '§2', '§4', '§2736', '§2', '§2736', '§2', '§5', '§2808', '§2', '§7', '§2808', '§2', '§2', '§2808', '§2', '§2808', '§2', '§3']

HP0136, LD 161, item 1, An Act To Prohibit a Health Insurance Carrier from Establishing a Separate Premium Rate Based on Geographic Area
Sec. 1. 24-A MRSA §2736-C, sub-§2, ¶C-1, as enacted by PL 2011, c. 90, Pt. A, §2, is amended to read:
C-1. A carrier may vary the premium rate due to geographic area in accordance with the limitation set out in this paragraph and paragraph D-1. For all policies, contracts or certificates that are executed, delivered, issued for delivery, continued or renewed in this State on or after between July 1, 2012 and December 31, 2013, the rating factor used by a carrier for geographic area may not exceed 1.5.
Sec. 2. 24-A MRSA §2736-C, sub-§2, ¶D, as amended by PL 2011, c. 364, §4, is further amended to read:
D. A carrier may vary the premium rate due to age and tobacco use in accordance with the limitations set out in this paragraph and paragraph D-1.
(8) For all policies, contracts or certificates that are executed, delivered, issued for delivery, continued or renewed in this State on or after between July 1, 2012 and December 31, 2013, the maximum rate differential due to tobacco use filed by the carrier as determined by ratio is 1.5 to 1.
Sec. 3. 24-A MRSA §2736-C, sub-§2, ¶D-1 is enacted to read:
D-1. A carrier may vary the premium rate due to age, geographic area and tobacco use in accordance with the limitations set out in paragraphs C-1 and D and this paragraph.
(1) For all policies, contracts or certificates that are executed, delivered, issued for delivery, continued or renewed in this State on or after January 1, 2014, the maximum rate differential due to age and geographic area filed by the carrier as determined by ratio is 3 to 1. The limitation does not apply for determining rates for an attained age of less than 19 years of age or more than 65 years of age.
(2) For all policies, contracts or certificates that are executed, delivered, issued for delivery, continued or renewed in this State on or after January 1, 2014, the maximum rate differential due to tobacco use filed by the carrier as determined by ratio is 1.5 to 1.
Sec. 4. 24-A MRSA §2736-C, sub-§2, ¶I, as amended by PL 2011, c. 364, §5, is further amended to read:
(3) For all policies, contracts or certificates that are executed, delivered, issued for delivery, continued or renewed in this State between on or after January 1, 2014 and December 31, 2014, the maximum rate differential due to age and geographic area filed by the carrier as determined by ratio is 3 to 1. The limitation does not apply for determining rates for an attained age of less than 19 years of age or more than 65 years of age.
Sec. 5. 24-A MRSA §2808-B, sub-§2, ¶C-1, as enacted by PL 2011, c. 90, Pt. A, §7, is amended to read:
C-1. A carrier may vary the premium rate due to geographic area in accordance with the limitation set out in this paragraph and paragraph D-3. For all policies, contracts or certificates that are executed, delivered, issued for delivery, continued or renewed in this State on or after between October 1, 2011 and December 31, 2013, the rating factor used by a carrier for geographic area may not exceed 1.5.
Sec. 6. 24-A MRSA §2808-B, sub-§2, ¶D, as amended by PL 2011, c. 638, §2, is further amended to read:
D. A carrier may vary the premium rate due to age, group size and tobacco use only as provided in paragraph D-3 and under the following schedule and within the listed percentage bands.
(9) For all policies, contracts or certificates that are executed, delivered, issued for delivery, continued or renewed in this State on or after between October 1, 2011 and December 31, 2013, the maximum rate differential due to tobacco use filed by the carrier as determined by ratio is 1.5 to 1.
Sec. 7. 24-A MRSA §2808-B, sub-§2, ¶D-3 is enacted to read:
D-3. A carrier may vary the premium rate due to age, group size, geographic area and tobacco use in accordance with the limitations set out in paragraph D and this paragraph.
(1) For all policies, contracts or certificates that are executed, delivered, issued for delivery, continued or renewed in this State on or after January 1, 2014, the maximum rate differential due to age, group size and geographic area filed by the carrier as determined by ratio is 3 to 1. The limitation does not apply for determining rates for an attained age of less than 19 years of age or more than 65 years of age.
Sec. 8. 24-A MRSA §2808-B, sub-§2, ¶H, as amended by PL 2011, c. 638, §3, is further amended to read:
(3) For all policies, contracts or certificates that are executed, delivered, issued for delivery, continued or renewed in this State between on or after January 1, 2014 and December 31, 2014, the maximum rate differential due to age , geographic area and group size filed by the carrier as determined by ratio is 3 to 1 to the extent permitted by the federal Affordable Care Act. The limitation does not apply for determining rates for an attained age of less than 19 years of age or more than 65 years of age.
This bill eliminates the ability of health insurers to establish a separate premium rate variation on the basis of geographic area, which was enacted as part of Public Law 2011, chapter 90. The bill merges the rating bands for age and geographic area so that the combined rate differential due to age and geographic area may not exceed a ratio of 3 to 1 beginning January 1, 2014 for all individual and small group health insurance policies.