FINAL BILL REPORT

HB 1385

                                  C 151 L 89

BYRepresentatives Dellwo, Winsley, Chandler, Day, Anderson and Nutley; by request of Insurance Commissioner

Amending merger or change in insurance entity status.

House Committe on Financial Institutions & Insurance

Senate Committee on Financial Institutions & Insurance

SYNOPSIS AS ENACTED

BACKGROUND:

The insurance code provides detailed regulatory procedures for the rehabilitation or liquidation of an insurance company.  Health care service contractors and health maintenance organizations are not subject to these procedures and no other specific statutory provision governs the rehabilitation or liquidation of these contractors and organizations.

SUMMARY:

Health care service contractors and health maintenance organizations are subject to statutory provisions governing the merger or liquidation of insurance companies.

VOTES ON FINAL PASSAGE:

      House 98   0

      Senate    45     0 (Senate amended)

      House 97   0 (House concurred)

EFFECTIVE:April 21, 1989