S-1394.1  _______________________________________________

                    SUBSTITUTE SENATE BILL 5611

          _______________________________________________

State of Washington      56th Legislature     1999 Regular Session

By Senate Committee on Health & Long‑Term Care (originally sponsored by Senators Thibaudeau, Kline, Prentice, Winsley and Costa; by request of Insurance Commissioner)

Read first time 03/03/99.

Regulating medicare supplement insurance.

    AN ACT Relating to medicare supplement insurance; and amending RCW 48.66.045.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

    Sec. 1.  RCW 48.66.045 and 1995 c 85 s 3 are each amended to read as follows:

    Every issuer of a medicare supplement insurance policy or certificate providing coverage to a resident of this state issued on or after January 1, 1996, shall:

    (1) Issue coverage under its approved standardized benefit plans ((B, C, D, E, F, and G)) without evidence of insurability to any resident of this state who is eligible for both medicare hospital and physician services by reason of age or by reason of disability or end-stage renal disease, if the medicare supplement policy replaces another ((medicare supplement standardized)) benefit plan, policy, or certificate ((B, C, D, E, F, or G,)) or other ((more comprehensive)) coverage ((than the replaced policy)).  The replacing issuer shall waive any time periods applicable to preexisting conditions in the medicare supplement contract for similar benefits to the extent that similar exclusions have been satisfied under the original coverage; and

    (2) ((Issue coverage under its standardized plans A, H, I, and J without evidence of insurability to any resident of this state who is eligible for both medicare hospital and physician services by reason of age or by reason of disability or end-stage renal disease, if the medicare supplement policy replaces another medicare supplement policy or certificate which is the same standardized plan as the replaced policy; and

    (3))) Set rates only on a community-rated basis.  Premiums shall be equal for all policyholders and certificate holders under a standardized medicare supplement benefit plan form, except that an issuer may develop no more than two rating pools that distinguish between an insured's eligibility for medicare by reason of:

    (a) Age; or

    (b) Disability or end-stage renal disease.

(3) Chapter . . ., Laws of 1999 (this act) applies to all medicare supplement plans offered or issued on or after September 1, 1999.

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