Brief Description: Increasing access to health insurance options for certain persons eligible for the Federal Health Coverage Tax Credit under the Trade Act of 2002 (P.L. 107-210).

Sponsors: Representatives Morrell, Cody, Linville, Simpson, G., Edwards, Kenney and Ormsby; by request of Insurance Commissioner.

Hearing Date: 1/28/04

Staff: Dave Knutson (786-7146).

Background:

One of the effects of international trade is domestic job loss and dislocation. To help workers who lose their jobs as a result of international trade, Congress enacted the Trade Act of 2002 (P.L. 107-210). The Trade Act provides a federal tax credit that subsidizes private health insurance coverage for displaced workers certified to receive certain trade adjustment assistance benefits and for persons over age 55 who receive benefits from the pension benefit guaranty corporation.

Summary of Bill:

The administrator of the Health Care Authority will collect premiums for the Basic Health Plan from health coverage tax credit eligible enrollees in an amount sufficient to cover the cost charged by the managed health care system provider, plus the administrative cost of providing the plan to the enrollee. The administrator will establish a mechanism for receiving premium payments from the Internal Revenue Service for health coverage tax credit eligible enrollees.

Appropriation: None.

Fiscal Note: Requested on January 22, 2004.

Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.