Full Text of SB0773 103rd General Assembly
SB0773sam001 103RD GENERAL ASSEMBLY | Sen. Cristina Castro Filed: 4/9/2024 | | 10300SB0773sam001 | | LRB103 03229 RPS 72054 a |
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| 1 | | AMENDMENT TO SENATE BILL 773
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 773 by replacing | 3 | | everything after the enacting clause with the following: | 4 | | "Section 5. The State Employees Group Insurance Act of | 5 | | 1971 is amended by changing Sections 6.11 and 6.11B as | 6 | | follows: | 7 | | (5 ILCS 375/6.11) | 8 | | Sec. 6.11. Required health benefits; Illinois Insurance | 9 | | Code requirements. The program of health benefits shall | 10 | | provide the post-mastectomy care benefits required to be | 11 | | covered by a policy of accident and health insurance under | 12 | | Section 356t of the Illinois Insurance Code. The program of | 13 | | health benefits shall provide the coverage required under | 14 | | Sections 356g, 356g.5, 356g.5-1, 356m, 356q, 356u, 356w, 356x, | 15 | | 356z.2, 356z.4, 356z.4a, 356z.6, 356z.8, 356z.9, 356z.10, | 16 | | 356z.11, 356z.12, 356z.13, 356z.14, 356z.15, 356z.17, 356z.22, |
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| 1 | | 356z.25, 356z.26, 356z.29, 356z.30a, 356z.32, 356z.33, | 2 | | 356z.36, 356z.40, 356z.41, 356z.45, 356z.46, 356z.47, 356z.51, | 3 | | 356z.53, 356z.54, 356z.55, 356z.56, 356z.57, 356z.59, 356z.60, | 4 | | and 356z.61, and 356z.62 , 356z.64, 356z.67, 356z.68, 356z.70, | 5 | | and 356z.71 of the Illinois Insurance Code. The program of | 6 | | health benefits must comply with Sections 155.22a, 155.37, | 7 | | 355b, 356z.19, 370c, and 370c.1 and Article XXXIIB of the | 8 | | Illinois Insurance Code. The program of health benefits shall | 9 | | provide the coverage required under Section 356m of the | 10 | | Illinois Insurance Code and, for the employees of the State | 11 | | Employee Group Insurance Program only, the coverage as also | 12 | | provided in Section 6.11B of this Act. The Department of | 13 | | Insurance shall enforce the requirements of this Section with | 14 | | respect to Sections 370c and 370c.1 of the Illinois Insurance | 15 | | Code; all other requirements of this Section shall be enforced | 16 | | by the Department of Central Management Services. | 17 | | Rulemaking authority to implement Public Act 95-1045, if | 18 | | any, is conditioned on the rules being adopted in accordance | 19 | | with all provisions of the Illinois Administrative Procedure | 20 | | Act and all rules and procedures of the Joint Committee on | 21 | | Administrative Rules; any purported rule not so adopted, for | 22 | | whatever reason, is unauthorized. | 23 | | (Source: P.A. 102-30, eff. 1-1-22; 102-103, eff. 1-1-22; | 24 | | 102-203, eff. 1-1-22; 102-306, eff. 1-1-22; 102-642, eff. | 25 | | 1-1-22; 102-665, eff. 10-8-21; 102-731, eff. 1-1-23; 102-768, | 26 | | eff. 1-1-24; 102-804, eff. 1-1-23; 102-813, eff. 5-13-22; |
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| 1 | | 102-816, eff. 1-1-23; 102-860, eff. 1-1-23; 102-1093, eff. | 2 | | 1-1-23; 102-1117, eff. 1-13-23; 103-8, eff. 1-1-24; 103-84, | 3 | | eff. 1-1-24; 103-91, eff. 1-1-24; 103-420, eff. 1-1-24; | 4 | | 103-445, eff. 1-1-24; 103-535, eff. 8-11-23; 103-551, eff. | 5 | | 8-11-23; revised 8-29-23.) | 6 | | (5 ILCS 375/6.11B) | 7 | | Sec. 6.11B. Infertility coverage. | 8 | | (a) Beginning on January 1, 2024, the State Employees | 9 | | Group Insurance Program shall provide coverage for the | 10 | | diagnosis and treatment of infertility, including, but not | 11 | | limited to, in vitro fertilization, uterine embryo lavage, | 12 | | embryo transfer, artificial insemination, gamete | 13 | | intrafallopian tube transfer, zygote intrafallopian tube | 14 | | transfer, and low tubal ovum transfer. The coverage required | 15 | | shall include procedures necessary to screen or diagnose a | 16 | | fertilized egg before implantation, including, but not limited | 17 | | to, preimplantation genetic diagnosis, preimplantation genetic | 18 | | screening, and prenatal genetic diagnosis. | 19 | | (b) Beginning on January 1, 2024, coverage under this | 20 | | Section for procedures for in vitro fertilization, gamete | 21 | | intrafallopian tube transfer, or zygote intrafallopian tube | 22 | | transfer shall be required only if the procedures: | 23 | | (1) are considered medically appropriate based on | 24 | | clinical guidelines or standards developed by the American | 25 | | Society for Reproductive Medicine, the American College of |
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| 1 | | Obstetricians and Gynecologists, or the Society for | 2 | | Assisted Reproductive Technology; and | 3 | | (2) are performed at medical facilities or clinics | 4 | | that conform to the American College of Obstetricians and | 5 | | Gynecologists guidelines for in vitro fertilization or the | 6 | | American Society for Reproductive Medicine minimum | 7 | | standards for practices offering assisted reproductive | 8 | | technologies. | 9 | | (c) As used in this Section, "infertility" means a | 10 | | disease, condition, or status characterized by: | 11 | | (1) a failure to establish a pregnancy or to carry a | 12 | | pregnancy to live birth after 12 months of regular, | 13 | | unprotected sexual intercourse if the woman is 35 years of | 14 | | age or younger, or after 6 months of regular, unprotected | 15 | | sexual intercourse if the woman is over 35 years of age; | 16 | | conceiving but having a miscarriage does not restart the | 17 | | 12-month or 6-month term for determining infertility; | 18 | | (2) a person's inability to reproduce either as a | 19 | | single individual or with a partner without medical | 20 | | intervention; or | 21 | | (3) a licensed physician's findings based on a | 22 | | patient's medical, sexual, and reproductive history, age, | 23 | | physical findings, or diagnostic testing. | 24 | | (d) The State Employees Group Insurance Program may not | 25 | | impose any exclusions, limitations, or other restrictions on | 26 | | coverage of fertility medications that are different from |
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| 1 | | those imposed on any other prescription medications, nor may | 2 | | it impose any exclusions, limitations, or other restrictions | 3 | | on coverage of any fertility services based on a covered | 4 | | individual's participation in fertility services provided by | 5 | | or to a third party, nor may it impose deductibles, | 6 | | copayments, coinsurance, benefit maximums, waiting periods, or | 7 | | any other limitations on coverage for the diagnosis of | 8 | | infertility, treatment for infertility, and standard fertility | 9 | | preservation services, except as provided in this Section, | 10 | | that are different from those imposed upon benefits for | 11 | | services not related to infertility. | 12 | | (e) This Section applies only to coverage provided on or | 13 | | after January 1, 2024 and before July 1, 2026. | 14 | | (f) This Section is repealed on July 1, 2026. | 15 | | (Source: P.A. 103-8, eff. 1-1-24 .) | 16 | | Section 10. The Counties Code is amended by changing | 17 | | Section 5-1069.3 as follows: | 18 | | (55 ILCS 5/5-1069.3) | 19 | | Sec. 5-1069.3. Required health benefits. If a county, | 20 | | including a home rule county, is a self-insurer for purposes | 21 | | of providing health insurance coverage for its employees, the | 22 | | coverage shall include coverage for the post-mastectomy care | 23 | | benefits required to be covered by a policy of accident and | 24 | | health insurance under Section 356t and the coverage required |
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| 1 | | under Sections 356g, 356g.5, 356g.5-1, 356m, 356q, 356u, 356w, | 2 | | 356x, 356z.4, 356z.4a, 356z.6, 356z.8, 356z.9, 356z.10, | 3 | | 356z.11, 356z.12, 356z.13, 356z.14, 356z.15, 356z.22, 356z.25, | 4 | | 356z.26, 356z.29, 356z.30a, 356z.32, 356z.33, 356z.36, | 5 | | 356z.40, 356z.41, 356z.45, 356z.46, 356z.47, 356z.48, 356z.51, | 6 | | 356z.53, 356z.54, 356z.56, 356z.57, 356z.59, 356z.60, and | 7 | | 356z.61, and 356z.62 , 356z.64, 356z.67, 356z.68, 356z.70, and | 8 | | 356z.71 of the Illinois Insurance Code. The coverage shall | 9 | | comply with Sections 155.22a, 355b, 356z.19, and 370c of the | 10 | | Illinois Insurance Code. The Department of Insurance shall | 11 | | enforce the requirements of this Section. The requirement that | 12 | | health benefits be covered as provided in this Section is an | 13 | | exclusive power and function of the State and is a denial and | 14 | | limitation under Article VII, Section 6, subsection (h) of the | 15 | | Illinois Constitution. A home rule county to which this | 16 | | Section applies must comply with every provision of this | 17 | | Section. | 18 | | Rulemaking authority to implement Public Act 95-1045, if | 19 | | any, is conditioned on the rules being adopted in accordance | 20 | | with all provisions of the Illinois Administrative Procedure | 21 | | Act and all rules and procedures of the Joint Committee on | 22 | | Administrative Rules; any purported rule not so adopted, for | 23 | | whatever reason, is unauthorized. | 24 | | (Source: P.A. 102-30, eff. 1-1-22; 102-103, eff. 1-1-22; | 25 | | 102-203, eff. 1-1-22; 102-306, eff. 1-1-22; 102-443, eff. | 26 | | 1-1-22; 102-642, eff. 1-1-22; 102-665, eff. 10-8-21; 102-731, |
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| 1 | | eff. 1-1-23; 102-804, eff. 1-1-23; 102-813, eff. 5-13-22; | 2 | | 102-816, eff. 1-1-23; 102-860, eff. 1-1-23; 102-1093, eff. | 3 | | 1-1-23; 102-1117, eff. 1-13-23; 103-84, eff. 1-1-24; 103-91, | 4 | | eff. 1-1-24; 103-420, eff. 1-1-24; 103-445, eff. 1-1-24; | 5 | | 103-535, eff. 8-11-23; 103-551, eff. 8-11-23; revised | 6 | | 8-29-23.) | 7 | | Section 15. The Illinois Municipal Code is amended by | 8 | | changing Section 10-4-2.3 as follows: | 9 | | (65 ILCS 5/10-4-2.3) | 10 | | Sec. 10-4-2.3. Required health benefits. If a | 11 | | municipality, including a home rule municipality, is a | 12 | | self-insurer for purposes of providing health insurance | 13 | | coverage for its employees, the coverage shall include | 14 | | coverage for the post-mastectomy care benefits required to be | 15 | | covered by a policy of accident and health insurance under | 16 | | Section 356t and the coverage required under Sections 356g, | 17 | | 356g.5, 356g.5-1, 356m, 356q, 356u, 356w, 356x, 356z.4, | 18 | | 356z.4a, 356z.6, 356z.8, 356z.9, 356z.10, 356z.11, 356z.12, | 19 | | 356z.13, 356z.14, 356z.15, 356z.22, 356z.25, 356z.26, 356z.29, | 20 | | 356z.30a, 356z.32, 356z.33, 356z.36, 356z.40, 356z.41, | 21 | | 356z.45, 356z.46, 356z.47, 356z.48, 356z.51, 356z.53, 356z.54, | 22 | | 356z.56, 356z.57, 356z.59, 356z.60, and 356z.61, and 356z.62 , | 23 | | 356z.64, 356z.67, 356z.68, 356z.70, and 356z.71 of the | 24 | | Illinois Insurance Code. The coverage shall comply with |
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| 1 | | Sections 155.22a, 355b, 356z.19, and 370c of the Illinois | 2 | | Insurance Code. The Department of Insurance shall enforce the | 3 | | requirements of this Section. The requirement that health | 4 | | benefits be covered as provided in this is an exclusive power | 5 | | and function of the State and is a denial and limitation under | 6 | | Article VII, Section 6, subsection (h) of the Illinois | 7 | | Constitution. A home rule municipality to which this Section | 8 | | applies must comply with every provision of this Section. | 9 | | Rulemaking authority to implement Public Act 95-1045, if | 10 | | any, is conditioned on the rules being adopted in accordance | 11 | | with all provisions of the Illinois Administrative Procedure | 12 | | Act and all rules and procedures of the Joint Committee on | 13 | | Administrative Rules; any purported rule not so adopted, for | 14 | | whatever reason, is unauthorized. | 15 | | (Source: P.A. 102-30, eff. 1-1-22; 102-103, eff. 1-1-22; | 16 | | 102-203, eff. 1-1-22; 102-306, eff. 1-1-22; 102-443, eff. | 17 | | 1-1-22; 102-642, eff. 1-1-22; 102-665, eff. 10-8-21; 102-731, | 18 | | eff. 1-1-23; 102-804, eff. 1-1-23; 102-813, eff. 5-13-22; | 19 | | 102-816, eff. 1-1-23; 102-860, eff. 1-1-23; 102-1093, eff. | 20 | | 1-1-23; 102-1117, eff. 1-13-23; 103-84, eff. 1-1-24; 103-91, | 21 | | eff. 1-1-24; 103-420, eff. 1-1-24; 103-445, eff. 1-1-24; | 22 | | 103-535, eff. 8-11-23; 103-551, eff. 8-11-23; revised | 23 | | 8-29-23.) | 24 | | Section 20. The School Code is amended by changing Section | 25 | | 10-22.3f as follows: |
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| 1 | | (105 ILCS 5/10-22.3f) | 2 | | Sec. 10-22.3f. Required health benefits. Insurance | 3 | | protection and benefits for employees shall provide the | 4 | | post-mastectomy care benefits required to be covered by a | 5 | | policy of accident and health insurance under Section 356t and | 6 | | the coverage required under Sections 356g, 356g.5, 356g.5-1, | 7 | | 356m, 356q, 356u, 356w, 356x, 356z.4, 356z.4a, 356z.6, 356z.8, | 8 | | 356z.9, 356z.11, 356z.12, 356z.13, 356z.14, 356z.15, 356z.22, | 9 | | 356z.25, 356z.26, 356z.29, 356z.30a, 356z.32, 356z.33, | 10 | | 356z.36, 356z.40, 356z.41, 356z.45, 356z.46, 356z.47, 356z.51, | 11 | | 356z.53, 356z.54, 356z.56, 356z.57, 356z.59, 356z.60, and | 12 | | 356z.61, and 356z.62 , 356z.64, 356z.67, 356z.68, 356z.70, and | 13 | | 356z.71 of the Illinois Insurance Code. Insurance policies | 14 | | shall comply with Section 356z.19 of the Illinois Insurance | 15 | | Code. The coverage shall comply with Sections 155.22a, 355b, | 16 | | and 370c of the Illinois Insurance Code. The Department of | 17 | | Insurance shall enforce the requirements of this Section. | 18 | | Rulemaking authority to implement Public Act 95-1045, if | 19 | | any, is conditioned on the rules being adopted in accordance | 20 | | with all provisions of the Illinois Administrative Procedure | 21 | | Act and all rules and procedures of the Joint Committee on | 22 | | Administrative Rules; any purported rule not so adopted, for | 23 | | whatever reason, is unauthorized. | 24 | | (Source: P.A. 102-30, eff. 1-1-22; 102-103, eff. 1-1-22; | 25 | | 102-203, eff. 1-1-22; 102-306, eff. 1-1-22; 102-642, eff. |
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| 1 | | 1-1-22; 102-665, eff. 10-8-21; 102-731, eff. 1-1-23; 102-804, | 2 | | eff. 1-1-23; 102-813, eff. 5-13-22; 102-816, eff. 1-1-23; | 3 | | 102-860, eff. 1-1-23; 102-1093, eff. 1-1-23; 102-1117, eff. | 4 | | 1-13-23; 103-84, eff. 1-1-24; 103-91, eff. 1-1-24; 103-420, | 5 | | eff. 1-1-24; 103-445, eff. 1-1-24; 103-535, eff. 8-11-23; | 6 | | 103-551, eff. 8-11-23; revised 8-29-23.) | 7 | | Section 25. The Illinois Insurance Code is amended by | 8 | | changing Sections 356m and 356z.32 and by adding Section | 9 | | 356z.71 as follows: | 10 | | (215 ILCS 5/356m) (from Ch. 73, par. 968m) | 11 | | Sec. 356m. Infertility coverage. | 12 | | (a) No group policy of accident and health insurance | 13 | | providing coverage for more than 25 employees that provides | 14 | | pregnancy-related pregnancy related benefits may be issued, | 15 | | amended, delivered, or renewed in this State after January 1, | 16 | | 2016 and through December 31, 2025 the effective date of this | 17 | | amendatory Act of the 99th General Assembly unless the policy | 18 | | contains coverage for the diagnosis and treatment of | 19 | | infertility including, but not limited to, in vitro | 20 | | fertilization, uterine embryo lavage, embryo transfer, | 21 | | artificial insemination, gamete intrafallopian tube transfer, | 22 | | zygote intrafallopian tube transfer, and low tubal ovum | 23 | | transfer. | 24 | | (a-5) No group policy of accident and health insurance |
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| 1 | | that provides pregnancy-related benefits may be issued, | 2 | | amended, delivered, or renewed in this State on or after | 3 | | January 1, 2026 unless the policy contains coverage for the | 4 | | diagnosis and treatment of infertility, including, but not | 5 | | limited to, in vitro fertilization, uterine embryo lavage, | 6 | | embryo transfer, artificial insemination, gamete | 7 | | intrafallopian tube transfer, zygote intrafallopian tube | 8 | | transfer, surgical sperm extraction procedures, and low tubal | 9 | | ovum transfer. The coverage required shall include procedures | 10 | | necessary to screen or diagnose a fertilized egg before | 11 | | implantation, including, but not limited to, preimplantation | 12 | | genetic testing for aneuploidy, preimplantation genetic | 13 | | testing for chromosome structural rearrangements, and | 14 | | preimplantation genetic testing for monogenic or single gene | 15 | | disorders. Coverage under this subsection for the diagnosis | 16 | | and treatment of infertility shall be required only if the | 17 | | procedures: | 18 | | (1) are considered medically appropriate by the | 19 | | patient's medical provider based on clinical guidelines or | 20 | | standards developed by the American Society for | 21 | | Reproductive Medicine, the American College of | 22 | | Obstetricians and Gynecologists, or the Society for | 23 | | Assisted Reproductive Technology; and | 24 | | (2) are performed at medical facilities or clinics | 25 | | that are members in good standing of the Society for | 26 | | Assisted Reproductive Technology. |
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| 1 | | (b) The coverage required under subsection (a) for | 2 | | procedures for in vitro fertilization, gamete intrafallopian | 3 | | tube transfer, or zygote intrafallopian tube transfer shall be | 4 | | required only if is subject to the following conditions : | 5 | | (1) Coverage for procedures for in vitro | 6 | | fertilization, gamete intrafallopian tube transfer, or | 7 | | zygote intrafallopian tube transfer shall be required only | 8 | | if: | 9 | | (1) (A) the covered individual has been unable to | 10 | | attain a viable pregnancy, maintain a viable pregnancy, or | 11 | | sustain a successful pregnancy through reasonable, less | 12 | | costly medically appropriate infertility treatments for | 13 | | which coverage is available under the policy, plan, or | 14 | | contract; | 15 | | (2) (B) the covered individual has not undergone 4 | 16 | | completed oocyte retrievals, except that if a live birth | 17 | | follows a completed oocyte retrieval, then 2 more | 18 | | completed oocyte retrievals shall be covered; and | 19 | | (3) (C) the procedures are performed at medical | 20 | | facilities that conform to the American College of | 21 | | Obstetric and Gynecology guidelines for in vitro | 22 | | fertilization clinics or to the American Fertility Society | 23 | | minimal standards for programs of in vitro fertilization. | 24 | | (2) The procedures required to be covered under this | 25 | | Section are not required to be contained in any policy or | 26 | | plan issued to or by a religious institution or |
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| 1 | | organization or to or by an entity sponsored by a | 2 | | religious institution or organization that finds the | 3 | | procedures required to be covered under this Section to | 4 | | violate its religious and moral teachings and beliefs. | 5 | | (c) As used in this Section, "infertility" means a | 6 | | disease, condition, or status characterized by: | 7 | | (1) a failure to establish a pregnancy or to carry a | 8 | | pregnancy to live birth after 12 months of regular, | 9 | | unprotected sexual intercourse if the woman is 35 years of | 10 | | age or younger, or after 6 months of regular, unprotected | 11 | | sexual intercourse if the woman is over 35 years of age; | 12 | | conceiving but having a miscarriage does not restart the | 13 | | 12-month or 6-month term for determining infertility; | 14 | | (2) a person's inability to reproduce either as a | 15 | | single individual or with a partner without medical | 16 | | intervention; or | 17 | | (3) a licensed physician's findings based on a | 18 | | patient's medical, sexual, and reproductive history, age, | 19 | | physical findings, or diagnostic testing. | 20 | | (d) A policy, contract, or certificate may not impose any | 21 | | exclusions, limitations, or other restrictions on coverage of | 22 | | fertility medications that are different from those imposed on | 23 | | any other prescription medications, nor may it impose any | 24 | | exclusions, limitations, or other restrictions on coverage of | 25 | | any fertility services based on a covered individual's | 26 | | participation in fertility services provided by or to a third |
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| 1 | | party, nor may it impose deductibles, copayments, coinsurance, | 2 | | benefit maximums, waiting periods, or any other limitations on | 3 | | coverage for the diagnosis of infertility, treatment for | 4 | | infertility, and standard fertility preservation services, | 5 | | except as provided in this Section, that are different from | 6 | | those imposed upon benefits for services not related to | 7 | | infertility. | 8 | | (e) The procedures required to be covered under this | 9 | | Section are not required to be contained in any policy or plan | 10 | | issued to or by a religious institution or organization or to | 11 | | or by an entity sponsored by a religious institution or | 12 | | organization that finds the procedures required to be covered | 13 | | under this Section to violate its religious and moral | 14 | | teachings and beliefs. | 15 | | (Source: P.A. 102-170, eff. 1-1-22 .) | 16 | | (215 ILCS 5/356z.71 new) | 17 | | Sec. 356z.71. Coverage for annual menopause health visit. | 18 | | A group or individual policy of accident and health insurance | 19 | | providing coverage for more than 25 employees that is amended, | 20 | | delivered, issued, or renewed on or after January 1, 2026 | 21 | | shall provide, for individuals 45 years of age and older, | 22 | | coverage for an annual menopause health visit. A policy | 23 | | subject to this Section shall not impose a deductible, | 24 | | coinsurance, copayment, or any other cost-sharing requirement | 25 | | on the coverage provided; except that this Section does not |
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| 1 | | apply to this coverage to the extent such coverage would | 2 | | disqualify a high-deductible health plan from eligibility for | 3 | | a health savings account pursuant to Section 223 of the | 4 | | Internal Revenue Code. | 5 | | Section 30. The Health Maintenance Organization Act is | 6 | | amended by changing Section 5-3 as follows: | 7 | | (215 ILCS 125/5-3) (from Ch. 111 1/2, par. 1411.2) | 8 | | Sec. 5-3. Insurance Code provisions. | 9 | | (a) Health Maintenance Organizations shall be subject to | 10 | | the provisions of Sections 133, 134, 136, 137, 139, 140, | 11 | | 141.1, 141.2, 141.3, 143, 143c, 147, 148, 149, 151, 152, 153, | 12 | | 154, 154.5, 154.6, 154.7, 154.8, 155.04, 155.22a, 155.49, | 13 | | 355.2, 355.3, 355b, 355c, 356f, 356g.5-1, 356m, 356q, 356v, | 14 | | 356w, 356x, 356z.2, 356z.3a, 356z.4, 356z.4a, 356z.5, 356z.6, | 15 | | 356z.8, 356z.9, 356z.10, 356z.11, 356z.12, 356z.13, 356z.14, | 16 | | 356z.15, 356z.17, 356z.18, 356z.19, 356z.20, 356z.21, 356z.22, | 17 | | 356z.23, 356z.24, 356z.25, 356z.26, 356z.28, 356z.29, 356z.30, | 18 | | 356z.30a, 356z.31, 356z.32, 356z.33, 356z.34, 356z.35, | 19 | | 356z.36, 356z.37, 356z.38, 356z.39, 356z.40, 356z.41, 356z.44, | 20 | | 356z.45, 356z.46, 356z.47, 356z.48, 356z.49, 356z.50, 356z.51, | 21 | | 356z.53, 356z.54, 356z.55, 356z.56, 356z.57, 356z.58, 356z.59, | 22 | | 356z.60, 356z.61, 356z.62, 356z.64, 356z.65, 356z.67, 356z.68, | 23 | | 356z.71, 364, 364.01, 364.3, 367.2, 367.2-5, 367i, 368a, 368b, | 24 | | 368c, 368d, 368e, 370c, 370c.1, 401, 401.1, 402, 403, 403A, |
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| 1 | | 408, 408.2, 409, 412, 444, and 444.1, paragraph (c) of | 2 | | subsection (2) of Section 367, and Articles IIA, VIII 1/2, | 3 | | XII, XII 1/2, XIII, XIII 1/2, XXV, XXVI, and XXXIIB of the | 4 | | Illinois Insurance Code. | 5 | | (b) For purposes of the Illinois Insurance Code, except | 6 | | for Sections 444 and 444.1 and Articles XIII and XIII 1/2, | 7 | | Health Maintenance Organizations in the following categories | 8 | | are deemed to be "domestic companies": | 9 | | (1) a corporation authorized under the Dental Service | 10 | | Plan Act or the Voluntary Health Services Plans Act; | 11 | | (2) a corporation organized under the laws of this | 12 | | State; or | 13 | | (3) a corporation organized under the laws of another | 14 | | state, 30% or more of the enrollees of which are residents | 15 | | of this State, except a corporation subject to | 16 | | substantially the same requirements in its state of | 17 | | organization as is a "domestic company" under Article VIII | 18 | | 1/2 of the Illinois Insurance Code. | 19 | | (c) In considering the merger, consolidation, or other | 20 | | acquisition of control of a Health Maintenance Organization | 21 | | pursuant to Article VIII 1/2 of the Illinois Insurance Code, | 22 | | (1) the Director shall give primary consideration to | 23 | | the continuation of benefits to enrollees and the | 24 | | financial conditions of the acquired Health Maintenance | 25 | | Organization after the merger, consolidation, or other | 26 | | acquisition of control takes effect; |
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| 1 | | (2)(i) the criteria specified in subsection (1)(b) of | 2 | | Section 131.8 of the Illinois Insurance Code shall not | 3 | | apply and (ii) the Director, in making his determination | 4 | | with respect to the merger, consolidation, or other | 5 | | acquisition of control, need not take into account the | 6 | | effect on competition of the merger, consolidation, or | 7 | | other acquisition of control; | 8 | | (3) the Director shall have the power to require the | 9 | | following information: | 10 | | (A) certification by an independent actuary of the | 11 | | adequacy of the reserves of the Health Maintenance | 12 | | Organization sought to be acquired; | 13 | | (B) pro forma financial statements reflecting the | 14 | | combined balance sheets of the acquiring company and | 15 | | the Health Maintenance Organization sought to be | 16 | | acquired as of the end of the preceding year and as of | 17 | | a date 90 days prior to the acquisition, as well as pro | 18 | | forma financial statements reflecting projected | 19 | | combined operation for a period of 2 years; | 20 | | (C) a pro forma business plan detailing an | 21 | | acquiring party's plans with respect to the operation | 22 | | of the Health Maintenance Organization sought to be | 23 | | acquired for a period of not less than 3 years; and | 24 | | (D) such other information as the Director shall | 25 | | require. | 26 | | (d) The provisions of Article VIII 1/2 of the Illinois |
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| 1 | | Insurance Code and this Section 5-3 shall apply to the sale by | 2 | | any health maintenance organization of greater than 10% of its | 3 | | enrollee population (including , without limitation , the health | 4 | | maintenance organization's right, title, and interest in and | 5 | | to its health care certificates). | 6 | | (e) In considering any management contract or service | 7 | | agreement subject to Section 141.1 of the Illinois Insurance | 8 | | Code, the Director (i) shall, in addition to the criteria | 9 | | specified in Section 141.2 of the Illinois Insurance Code, | 10 | | take into account the effect of the management contract or | 11 | | service agreement on the continuation of benefits to enrollees | 12 | | and the financial condition of the health maintenance | 13 | | organization to be managed or serviced, and (ii) need not take | 14 | | into account the effect of the management contract or service | 15 | | agreement on competition. | 16 | | (f) Except for small employer groups as defined in the | 17 | | Small Employer Rating, Renewability and Portability Health | 18 | | Insurance Act and except for medicare supplement policies as | 19 | | defined in Section 363 of the Illinois Insurance Code, a | 20 | | Health Maintenance Organization may by contract agree with a | 21 | | group or other enrollment unit to effect refunds or charge | 22 | | additional premiums under the following terms and conditions: | 23 | | (i) the amount of, and other terms and conditions with | 24 | | respect to, the refund or additional premium are set forth | 25 | | in the group or enrollment unit contract agreed in advance | 26 | | of the period for which a refund is to be paid or |
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| 1 | | additional premium is to be charged (which period shall | 2 | | not be less than one year); and | 3 | | (ii) the amount of the refund or additional premium | 4 | | shall not exceed 20% of the Health Maintenance | 5 | | Organization's profitable or unprofitable experience with | 6 | | respect to the group or other enrollment unit for the | 7 | | period (and, for purposes of a refund or additional | 8 | | premium, the profitable or unprofitable experience shall | 9 | | be calculated taking into account a pro rata share of the | 10 | | Health Maintenance Organization's administrative and | 11 | | marketing expenses, but shall not include any refund to be | 12 | | made or additional premium to be paid pursuant to this | 13 | | subsection (f)). The Health Maintenance Organization and | 14 | | the group or enrollment unit may agree that the profitable | 15 | | or unprofitable experience may be calculated taking into | 16 | | account the refund period and the immediately preceding 2 | 17 | | plan years. | 18 | | The Health Maintenance Organization shall include a | 19 | | statement in the evidence of coverage issued to each enrollee | 20 | | describing the possibility of a refund or additional premium, | 21 | | and upon request of any group or enrollment unit, provide to | 22 | | the group or enrollment unit a description of the method used | 23 | | to calculate (1) the Health Maintenance Organization's | 24 | | profitable experience with respect to the group or enrollment | 25 | | unit and the resulting refund to the group or enrollment unit | 26 | | or (2) the Health Maintenance Organization's unprofitable |
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| 1 | | experience with respect to the group or enrollment unit and | 2 | | the resulting additional premium to be paid by the group or | 3 | | enrollment unit. | 4 | | In no event shall the Illinois Health Maintenance | 5 | | Organization Guaranty Association be liable to pay any | 6 | | contractual obligation of an insolvent organization to pay any | 7 | | refund authorized under this Section. | 8 | | (g) Rulemaking authority to implement Public Act 95-1045, | 9 | | if any, is conditioned on the rules being adopted in | 10 | | accordance with all provisions of the Illinois Administrative | 11 | | Procedure Act and all rules and procedures of the Joint | 12 | | Committee on Administrative Rules; any purported rule not so | 13 | | adopted, for whatever reason, is unauthorized. | 14 | | (Source: P.A. 102-30, eff. 1-1-22; 102-34, eff. 6-25-21; | 15 | | 102-203, eff. 1-1-22; 102-306, eff. 1-1-22; 102-443, eff. | 16 | | 1-1-22; 102-589, eff. 1-1-22; 102-642, eff. 1-1-22; 102-665, | 17 | | eff. 10-8-21; 102-731, eff. 1-1-23; 102-775, eff. 5-13-22; | 18 | | 102-804, eff. 1-1-23; 102-813, eff. 5-13-22; 102-816, eff. | 19 | | 1-1-23; 102-860, eff. 1-1-23; 102-901, eff. 7-1-22; 102-1093, | 20 | | eff. 1-1-23; 102-1117, eff. 1-13-23; 103-84, eff. 1-1-24; | 21 | | 103-91, eff. 1-1-24; 103-123, eff. 1-1-24; 103-154, eff. | 22 | | 6-30-23; 103-420, eff. 1-1-24; 103-426, eff. 8-4-23; 103-445, | 23 | | eff. 1-1-24; 103-551, eff. 8-11-23; revised 8-29-23.) | 24 | | Section 35. The Limited Health Service Organization Act is | 25 | | amended by changing Section 4003 as follows: |
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| 1 | | (215 ILCS 130/4003) (from Ch. 73, par. 1504-3) | 2 | | Sec. 4003. Illinois Insurance Code provisions. Limited | 3 | | health service organizations shall be subject to the | 4 | | provisions of Sections 133, 134, 136, 137, 139, 140, 141.1, | 5 | | 141.2, 141.3, 143, 143c, 147, 148, 149, 151, 152, 153, 154, | 6 | | 154.5, 154.6, 154.7, 154.8, 155.04, 155.37, 155.49, 355.2, | 7 | | 355.3, 355b, 356m, 356q, 356v, 356z.4, 356z.4a, 356z.10, | 8 | | 356z.21, 356z.22, 356z.25, 356z.26, 356z.29, 356z.30a, | 9 | | 356z.32, 356z.33, 356z.41, 356z.46, 356z.47, 356z.51, 356z.53, | 10 | | 356z.54, 356z.57, 356z.59, 356z.61, 356z.64, 356z.67, 356z.68, | 11 | | 356z.71, 364.3, 368a, 401, 401.1, 402, 403, 403A, 408, 408.2, | 12 | | 409, 412, 444, and 444.1 and Articles IIA, VIII 1/2, XII, XII | 13 | | 1/2, XIII, XIII 1/2, XXV, and XXVI of the Illinois Insurance | 14 | | Code. Nothing in this Section shall require a limited health | 15 | | care plan to cover any service that is not a limited health | 16 | | service. For purposes of the Illinois Insurance Code, except | 17 | | for Sections 444 and 444.1 and Articles XIII and XIII 1/2, | 18 | | limited health service organizations in the following | 19 | | categories are deemed to be domestic companies: | 20 | | (1) a corporation under the laws of this State; or | 21 | | (2) a corporation organized under the laws of another | 22 | | state, 30% or more of the enrollees of which are residents | 23 | | of this State, except a corporation subject to | 24 | | substantially the same requirements in its state of | 25 | | organization as is a domestic company under Article VIII |
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| 1 | | 1/2 of the Illinois Insurance Code. | 2 | | (Source: P.A. 102-30, eff. 1-1-22; 102-203, eff. 1-1-22; | 3 | | 102-306, eff. 1-1-22; 102-642, eff. 1-1-22; 102-731, eff. | 4 | | 1-1-23; 102-775, eff. 5-13-22; 102-813, eff. 5-13-22; 102-816, | 5 | | eff. 1-1-23; 102-860, eff. 1-1-23; 102-1093, eff. 1-1-23; | 6 | | 102-1117, eff. 1-13-23; 103-84, eff. 1-1-24; 103-91, eff. | 7 | | 1-1-24; 103-420, eff. 1-1-24; 103-426, eff. 8-4-23; 103-445, | 8 | | eff. 1-1-24; revised 8-29-23.) | 9 | | Section 40. The Voluntary Health Services Plans Act is | 10 | | amended by changing Section 10 as follows: | 11 | | (215 ILCS 165/10) (from Ch. 32, par. 604) | 12 | | Sec. 10. Application of Insurance Code provisions. Health | 13 | | services plan corporations and all persons interested therein | 14 | | or dealing therewith shall be subject to the provisions of | 15 | | Articles IIA and XII 1/2 and Sections 3.1, 133, 136, 139, 140, | 16 | | 143, 143c, 149, 155.22a, 155.37, 354, 355.2, 355.3, 355b, | 17 | | 356g, 356g.5, 356g.5-1, 356m, 356q, 356r, 356t, 356u, 356v, | 18 | | 356w, 356x, 356y, 356z.1, 356z.2, 356z.3a, 356z.4, 356z.4a, | 19 | | 356z.5, 356z.6, 356z.8, 356z.9, 356z.10, 356z.11, 356z.12, | 20 | | 356z.13, 356z.14, 356z.15, 356z.18, 356z.19, 356z.21, 356z.22, | 21 | | 356z.25, 356z.26, 356z.29, 356z.30, 356z.30a, 356z.32, | 22 | | 356z.32a, 356z.33, 356z.40, 356z.41, 356z.46, 356z.47, | 23 | | 356z.51, 356z.53, 356z.54, 356z.56, 356z.57, 356z.59, 356z.60, | 24 | | 356z.61, 356z.62, 356z.64, 356z.67, 356z.68, 356z.71, 364.01, |
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| 1 | | 364.3, 367.2, 368a, 401, 401.1, 402, 403, 403A, 408, 408.2, | 2 | | and 412, and paragraphs (7) and (15) of Section 367 of the | 3 | | Illinois Insurance Code. | 4 | | Rulemaking authority to implement Public Act 95-1045, if | 5 | | any, is conditioned on the rules being adopted in accordance | 6 | | with all provisions of the Illinois Administrative Procedure | 7 | | Act and all rules and procedures of the Joint Committee on | 8 | | Administrative Rules; any purported rule not so adopted, for | 9 | | whatever reason, is unauthorized. | 10 | | (Source: P.A. 102-30, eff. 1-1-22; 102-203, eff. 1-1-22; | 11 | | 102-306, eff. 1-1-22; 102-642, eff. 1-1-22; 102-665, eff. | 12 | | 10-8-21; 102-731, eff. 1-1-23; 102-775, eff. 5-13-22; 102-804, | 13 | | eff. 1-1-23; 102-813, eff. 5-13-22; 102-816, eff. 1-1-23; | 14 | | 102-860, eff. 1-1-23; 102-901, eff. 7-1-22; 102-1093, eff. | 15 | | 1-1-23; 102-1117, eff. 1-13-23; 103-84, eff. 1-1-24; 103-91, | 16 | | eff. 1-1-24; 103-420, eff. 1-1-24; 103-445, eff. 1-1-24; | 17 | | 103-551, eff. 8-11-23; revised 8-29-23.) | 18 | | Section 99. Effective date. This Act takes effect upon | 19 | | becoming law.". |
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