HF 2300

as introduced - 86th Legislature (2009 - 2010) Posted on 02/09/2010 02:01am

A bill for an act
relating to insurance; permitting consumers the option of waiving auto insurance
no-fault medical coverage that duplicates other medical coverage; specifying
effects on coordination of benefits; amending Minnesota Statutes 2008, sections
65B.44, by adding a subdivision; 65B.51, subdivision 2; 65B.61, by adding a
subdivision.

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

Section 1.

Minnesota Statutes 2008, section 65B.44, is amended by adding a
subdivision to read:

new text begin Subd. 2a. new text end

new text begin Medical expense benefits waiver; persons with other health coverage.
new text end

new text begin (a) A plan of reparation security must provide medical expense benefits under subdivision
2 that cover the insured, unless the named insured elects under this subdivision to waive
that coverage, due to other similar coverage the insured has under a health coverage plan.
The named insured's waiver may apply to one or more named insureds and may include
a named insured's spouse who resides in the same household. A named insured may
not waive coverage otherwise required under this chapter that can result in provision of
medical expense benefits on the insured's policy to other insureds or to other persons,
such as passengers, pedestrians, or employees, who may be eligible for medical expense
benefits under section 65B.47.
new text end

new text begin (b) Each insured to whom the waiver applies must submit to the reparation obligor a
disclosure and waiver form signed by the insured. The disclosure and waiver form must
explain the effects of waiving coverage and must require the insured to identify the similar
coverage used as the basis for the waiver, by naming the insurer, the self-insurance plan
provided by an employer, or the government health coverage program. The form must be
submitted to and approved by the commissioner prior to its use.
new text end

new text begin (c) A reparation obligor shall provide an appropriate premium reduction to a named
insured who waives coverage under this subdivision. The reparation obligor shall disclose
to the named insured the amount of the premium reduction.
new text end

new text begin (d) This subdivision does not apply to plans of reparation security that are
self-insured.
new text end

new text begin (e) For purposes of this subdivision, "other similar coverage the insured has under
a health plan" means coverage for bodily harm resulting from the maintenance or use
of a motor vehicle provided by:
new text end

new text begin (1) a health plan as defined in section 62A.011, subdivision 3;
new text end

new text begin (2) self-funded employee coverage provided by a federal, state, or local government,
or by a private-sector employer; or
new text end

new text begin (3) Medicare, MinnesotaCare, Medical Assistance, or General Assistance Medical
Care.
new text end

new text begin The health coverage plan must not have an annual deductible in excess of $5,000
per individual.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2010, and applies to plans
of reparation security issued or renewed on or after that date.
new text end

Sec. 2.

Minnesota Statutes 2008, section 65B.51, subdivision 2, is amended to read:

Subd. 2.

Right to recover economic loss not covered in first party benefits.

new text begin (a) new text end A person may bring a negligence action for economic loss not paid or payable by a
reparation obligor or through the assigned claims plan because of any lack of insurance
coverage for the economic loss described in section 65B.44, daily or weekly dollar
limitations of section 65B.44, the seven-day services exclusion of section 65B.44, the
limitations of benefits contained in section 65B.44, subdivision 1, or an exclusion from
coverage by sections 65B.58 to 65B.60.

new text begin (b) This subdivision does not apply to medical expense benefits not paid or payable
to a person by a reparation obligor or through the assigned claims plan because the person
or the person's named insured waived coverage of medical expense benefits for the person
under section 65B.44, subdivision 2a.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2010, and applies to plans
of reparation security issued or renewed on or after that date.
new text end

Sec. 3.

Minnesota Statutes 2008, section 65B.61, is amended by adding a subdivision
to read:

new text begin Subd. 5. new text end

new text begin Coordination not permitted; waiver of medical expense benefits. new text end

new text begin A
provider of health coverage specified in section 65B.44, subdivision 2a, paragraph (e),
to a person who elected to waive coverage of medical expense benefits under section
65B.44, subdivision 2a, may not coordinate benefits payable under the health coverage
with medical expense benefits the person waived under that provision. A provider of
health coverage shall not require an insured or prospective insured to decline to waive
medical expense benefits and shall not refuse to issue or renew coverage, charge a higher
premium, or reduce the person's health coverage as a result of the waiver.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2010, and applies to plans
of reparation security issued or renewed on or after that date.
new text end