House File 508 - Introduced



                                       HOUSE FILE       
                                       BY  FORD


    Passed House, Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to an unfair or deceptive practice in the
  2    insurance trade involving the discharge of individuals from
  3    hospitals, and providing penalties.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  5 TLSB 2747HH 82
  6 av/gg/14

PAG LIN



  1  1    Section 1.  Section 507B.4, Code 2007, is amended by adding
  1  2 the following new subsection:
  1  3    NEW SUBSECTION.  9A.  DISCHARGE FROM HOSPITAL ==
  1  4 MISREPRESENTATION.  Communicating to a covered individual who
  1  5 is hospitalized, either directly or through an intermediary,
  1  6 that the covered individual should or must be discharged or
  1  7 released from the hospital by a certain time or date, without
  1  8 first providing the covered individual with written consent to
  1  9 such discharge or release endorsed by the covered individual's
  1 10 attending health care provider.
  1 11                           EXPLANATION
  1 12    This bill adds a new subsection to Code section 507B.4,
  1 13 relating to unfair methods of competition and unfair or
  1 14 deceptive acts or practices in the insurance trade.
  1 15    The bill prohibits as an unfair act or practice by an
  1 16 insurance company the communication to a covered individual
  1 17 that the individual must be discharged or released from the
  1 18 hospital by a certain time or date before the individual
  1 19 receives written consent to the discharge from the
  1 20 individual's health care provider.
  1 21    A person who violates a provision of Code section 507B.4 is
  1 22 subject to entry of a cease and desist order and payment of
  1 23 monetary penalties under Code section 507B.7 as well as
  1 24 potential suspension or revocation of applicable licenses.
  1 25 LSB 2747HH 82
  1 26 av:nh/gg/14