House Study Bill 161 


PAG LIN



  1  1    Section 1.  NEW SECTION.  514C.23  ENTERAL FORMULAS ==
  1  2 COVERAGE.
  1  3    1.  Except as provided in subsections 4 and 5, and
  1  4 notwithstanding the uniformity of treatment requirements of
  1  5 section 514C.6, a contract, policy, or plan providing for
  1  6 third=party payment or prepayment of health or medical
  1  7 expenses shall not exclude or restrict benefits for enteral
  1  8 formulas for home use for which a practitioner licensed by law
  1  9 to prescribe and administer prescription drugs has issued a
  1 10 written order, if such contract, policy, or plan provides
  1 11 benefits for other outpatient prescription drugs or devices.
  1 12 Such written order must state that the enteral formula is
  1 13 medically necessary for the patient.
  1 14    2.  For purposes of this section, "enteral formula" means
  1 15 enteral formulas which have been proven effective for the
  1 16 treatment of inborn errors of metabolism with a dietary
  1 17 restriction, which if left untreated will cause
  1 18 malnourishment, chronic physical disability, mental
  1 19 retardation, or death.  "Enteral formula" includes low=protein
  1 20 medical food and metabolic formula prescribed for persons
  1 21 diagnosed with inborn errors of metabolism with a dietary
  1 22 restriction.  The commissioner, by rule, shall further define
  1 23 enteral formula.
  1 24    3.  a.  This section applies to the following classes of
  1 25 third=party payment provider contracts, policies, or plans
  1 26 delivered, issued for delivery, continued, or renewed in this
  1 27 state on or after January 1, 2008:
  1 28    (1)  Individual or group accident and sickness insurance
  1 29 providing coverage on an expense=incurred basis.
  1 30    (2)  Any individual or group hospital or medical service
  1 31 contract issued pursuant to chapter 509, 514, or 514A.
  1 32    (3)  Any individual or group health maintenance
  1 33 organization contract regulated under chapter 514B.
  1 34    (4)  A plan established pursuant to chapter 509A for public
  1 35 employees.
  2  1    (5)  An organized delivery system licensed by the director
  2  2 of public health.
  2  3    b.  This section shall not apply to accident=only,
  2  4 specified disease, short=term hospital or medical, hospital
  2  5 confinement indemnity, credit, dental, vision, Medicare
  2  6 supplement, long=term care, basic hospital and medical=
  2  7 surgical expense coverage as defined by the commissioner,
  2  8 disability income insurance coverage, coverage issued as a
  2  9 supplement to liability insurance, workers' compensation or
  2 10 similar insurance, or automobile medical payment insurance.
  2 11    4.  An individual or group contract, policy, or plan
  2 12 subject to the requirements of this section shall not impose
  2 13 an annual deductible on enteral formula coverage benefits that
  2 14 is greater than two thousand five hundred dollars per year for
  2 15 each family covered and shall not impose an aggregate annual
  2 16 limit for enteral formula coverage benefits that is less than
  2 17 twelve thousand five hundred dollars per year for each family
  2 18 covered.
  2 19    5.  An individual or group contract, policy, or plan
  2 20 subject to the requirements of this section shall provide, at
  2 21 a minimum, enteral formula coverage benefits to each male
  2 22 insured until that individual reaches the age of twenty=one
  2 23 years old or until that individual ceases to be enrolled as a
  2 24 full=time student, as defined in section 261.102, whichever
  2 25 occurs later, and shall provide, at a minimum, enteral formula
  2 26 coverage benefits to each female insured until that individual
  2 27 reaches the age of forty=five years old.
  2 28    Sec. 2.  NEW SECTION.  514C.24  AUDIOLOGICAL SERVICES AND
  2 29 HEARING AIDS FOR CHILDREN == COVERAGE.
  2 30    1.  Notwithstanding the uniformity of treatment
  2 31 requirements of section 514C.6, a contract, policy, or plan
  2 32 providing for third=party payment or prepayment of health or
  2 33 medical expenses shall provide minimum coverage benefits for
  2 34 audiological services and hearing aids for children, including
  2 35 but not limited to the following classes of third=party
  3  1 payment provider contracts, policies, or plans delivered,
  3  2 issued for delivery, continued, or renewed in this state on or
  3  3 after January 1, 2008:
  3  4    a.  Individual or group accident and sickness insurance
  3  5 providing coverage on an expense=incurred basis.
  3  6    b.  An individual or group hospital or medical service
  3  7 contract issued pursuant to chapter 509, 514, or 514A.
  3  8    c.  An individual or group health maintenance organization
  3  9 contract regulated under chapter 514B.
  3 10    d.  An individual or group Medicare supplemental policy,
  3 11 unless coverage pursuant to such policy is preempted by
  3 12 federal law.
  3 13    e.  A plan established pursuant to chapter 509A for public
  3 14 employees.
  3 15    2.  This section shall not apply to accident=only,
  3 16 specified disease, short=term hospital or medical, hospital
  3 17 confinement indemnity, credit, dental, vision, long=term care,
  3 18 basic hospital and medical=surgical expense coverage as
  3 19 defined by the commissioner, disability income insurance
  3 20 coverage, coverage issued as a supplement to liability
  3 21 insurance, workers' compensation or similar insurance, or
  3 22 automobile medical payment insurance.
  3 23    3.  As used in this section, "minimum coverage for
  3 24 audiological services and hearing aids for children" means
  3 25 coverage that includes at a minimum both of the following:
  3 26    a.  Coverage for hearing aids that are prescribed, filled
  3 27 and dispensed by a licensed audiologist for children up to
  3 28 eighteen years of age.
  3 29    b.  Coverage for an ear mold and a hearing aid for each
  3 30 hearing=impaired ear payable every twenty=four months for
  3 31 children up to eighteen years of age and coverage for up to
  3 32 four additional ear molds per year for children up to three
  3 33 years of age.
  3 34    4.  The commissioner of insurance shall adopt rules
  3 35 pursuant to chapter 17A as necessary to administer this
  4  1 section.
  4  2    Sec. 3.  NEW SECTION.  514C.25  HUMAN PAPILLOMA VIRUS
  4  3 VACCINATIONS == COVERAGE.
  4  4    1.  Notwithstanding the uniformity of treatment
  4  5 requirements of section 514C.6, a contract, policy, or plan
  4  6 providing for third=party payment or prepayment of health or
  4  7 medical expenses that provides coverage benefits for any
  4  8 vaccination or immunization shall provide coverage benefits
  4  9 for vaccinations for the human papilloma virus, to each female
  4 10 insured who is nine years of age or older until that
  4 11 individual reaches twenty=six years of age, including but not
  4 12 limited to the following classes of third=party payment
  4 13 provider contracts, policies, or plans delivered, issued for
  4 14 delivery, continued, or renewed in this state on or after
  4 15 January 1, 2008:
  4 16    a.  Individual or group accident and sickness insurance
  4 17 providing coverage on an expense=incurred basis.
  4 18    b.  An individual or group hospital or medical service
  4 19 contract issued pursuant to chapter 509, 514, or 514A.
  4 20    c.  An individual or group health maintenance organization
  4 21 contract regulated under chapter 514B.
  4 22    d.  An individual or group Medicare supplemental policy,
  4 23 unless coverage pursuant to such policy is preempted by
  4 24 federal law.
  4 25    e.  A plan established pursuant to chapter 509A for public
  4 26 employees.
  4 27    2.  This section shall not apply to accident only,
  4 28 specified disease, short=term hospital or medical, hospital
  4 29 confinement indemnity, credit, dental, vision, long=term care,
  4 30 basic hospital and medical=surgical expense coverage as
  4 31 defined by the commissioner, disability income insurance
  4 32 coverage, coverage issued as a supplement to liability
  4 33 insurance, workers' compensation or similar insurance, or
  4 34 automobile medical payment insurance.
  4 35    3.  As used in this section, "human papilloma virus" means
  5  1 the human papilloma virus as defined by the centers for
  5  2 disease control and prevention of the United States department
  5  3 of health and human services.
  5  4    4.  The commissioner of insurance shall adopt rules
  5  5 pursuant to chapter 17A as necessary to administer this
  5  6 section.
  5  7                           EXPLANATION
  5  8    This bill requires insurers offering certain individual or
  5  9 group health insurance contracts, policies, or plans in the
  5 10 state to provide coverage for certain enteral formulas,
  5 11 audiological services and hearing aids for children, and
  5 12 vaccinations for human papilloma virus.
  5 13    The provisions of the bill are applicable to third=party
  5 14 payment provider contracts, policies, or plans delivered,
  5 15 issued for delivery, continued, or renewed in this state on or
  5 16 after January 1, 2008.
  5 17    The commissioner of insurance is required to adopt rules
  5 18 under Code chapter 17A to administer the provisions of the
  5 19 bill.
  5 20    ENTERAL FORMULAS.  New Code section 514C.23 requires
  5 21 specified individual and group health insurance contracts,
  5 22 policies, or plans that provide coverage for outpatient
  5 23 prescription drugs or devices to also provide coverage for
  5 24 certain enteral formulas that have been prescribed by a
  5 25 licensed medical practitioner for the treatment of inborn
  5 26 errors of metabolism with a dietary restriction which if left
  5 27 untreated will cause malnourishment, chronic physical
  5 28 disability, mental retardation, or death.
  5 29    The bill prohibits imposition of an annual deductible on
  5 30 enteral formula coverage benefits that exceeds $2,500 per year
  5 31 for each family covered or an aggregate annual limit for such
  5 32 benefits that is less than $12,500 per year for each family.
  5 33    The bill requires that the benefits must be provided, at a
  5 34 minimum, to each male insured until that individual reaches 21
  5 35 years of age or ceases to be enrolled as a full=time student,
  6  1 whichever occurs later, and to each female insured until that
  6  2 individual reaches the age of 45.
  6  3    AUDIOLOGICAL SERVICES AND HEARING AIDS FOR CHILDREN.  New
  6  4 Code section 514C.24 requires specified individual and group
  6  5 health insurance contracts, policies, or plans that provide
  6  6 coverage for third=party payment or prepayment of health or
  6  7 medical expenses to provide minimum coverage for audiological
  6  8 services and hearing aids for children.
  6  9    The bill provides that "minimum coverage for audiological
  6 10 services and hearing aids for children" must include, at a
  6 11 minimum, coverage for hearing aids that are prescribed,
  6 12 filled, and dispensed by a licensed audiologist for children
  6 13 up to 18 years of age, coverage for an ear mold and a hearing
  6 14 aid for each hearing=impaired ear payable every 24 months for
  6 15 children up to 18 years of age, and coverage for up to four
  6 16 additional ear molds per year for children up to three years
  6 17 of age.
  6 18    HUMAN PAPILLOMA VIRUS VACCINATIONS.  New Code section
  6 19 514C.25 requires specified individual and group health
  6 20 insurance contracts, policies, or plans that provide coverage
  6 21 of any vaccinations or immunizations to provide coverage of
  6 22 vaccinations for the human papilloma virus to each female
  6 23 insured who is nine years of age until that individual reaches
  6 24 26 years of age.
  6 25    The bill defines "human papilloma virus" to mean the human
  6 26 papilloma virus as defined by the centers for disease control
  6 27 and prevention of the United States department of health and
  6 28 human services.
  6 29 LSB 1631YC 82
  6 30 av:rj/cf/24