SENATE BILL REPORT

                                    SB 6340

                            AS OF FEBRUARY 5, 1992

Brief Description:  Including coinsurance in health maintenance organizations provisions.

SPONSORS: Senators Sellar, Moore, Pelz and Matson

SENATE COMMITTEE ON FINANCIAL INSTITUTIONS & INSURANCE

Staff:  Tom Fender (786‑7414)

Hearing Dates: February 6, 1992

BACKGROUND:

In 1990 as a part of the Insurance Commissioner's sponsored solvency legislation, a provision for coinsurance was inadvertently omitted for health maintenance organizations (HMOs).  Accordingly, the Insurance Commissioner, lacking legislative authority, has rightfully denied this privilege to HMOs. 

The Insurance Commissioner's office supports the reintroduction of this term back into the HMO statutory framework.

SUMMARY:

The provision for coinsurance to health maintenance organizations is returned.

Appropriation:  none

Revenue:  none

Fiscal Note:  none requested