FINAL BILL REPORT

SHB 2160

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

C 329 L 09

Synopsis as Enacted

Brief Description: Concerning health carrier payment of wellness incentives.

Sponsors: House Committee on Health Care & Wellness (originally sponsored by Representatives Driscoll, Hinkle, Cody, Bailey, Kelley, Wood and Morrell; by request of Governor Gregoire).

House Committee on Health Care & Wellness

Senate Committee on Health & Long-Term Care

Background:

Health carriers develop rates based on an adjusted community rate that may be varied for geographic area, family size, age, and wellness activities. Wellness activities include an explicit activity consistent with the Department of Health guidelines such as: smoking cessation; injury and accident prevention; reduction of alcohol misuse; appropriate weight reduction; exercise; automobile and motorcycle safety; blood cholesterol reduction; and nutrition education for the purpose of improving enrollee health status and reducing health service costs. There has been a question whether a health carrier can offer a wellness discount based on statutory language that prohibits a health carrier from offering rebates or inducements to purchase health insurance coverage.

Summary:

Notwithstanding a prohibition against offering rebates or inducements to purchase insurance, health carriers are specifically permitted to offer a wellness program that complies with the requirements of the Health Insurance Portability and Accountability Act.

Votes on Final Passage:

House

96

0

Senate

48

0

(Senate amended)

House

95

0

(House concurred)

Effective:

July 26, 2009