HF 2469

Introduction - 83rd Legislature (2003 - 2004)

Posted on 12/15/2009 12:00 a.m.

  1.1                          A bill for an act 
  1.2             relating to commerce; requiring the commissioner of 
  1.3             commerce to approve changes in the writing carrier for 
  1.4             MCHA; requiring nonmetropolitan board representation 
  1.5             for MCHA; amending Minnesota Statutes 2002, sections 
  1.6             62E.09; 62E.10, subdivision 2; Minnesota Statutes 2003 
  1.7             Supplement, section 62E.13, subdivision 2. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 2002, section 62E.09, is 
  1.10  amended to read: 
  1.11     62E.09 [DUTIES OF COMMISSIONER.] 
  1.12     (a) The commissioner may: 
  1.13     (a) (1) formulate general policies to advance the purposes 
  1.14  of sections 62E.01 to 62E.19; 
  1.15     (b) (2) supervise the creation of the Minnesota 
  1.16  Comprehensive Health Association within the limits described in 
  1.17  section 62E.10; 
  1.18     (c) approve the selection of the writing carrier by the 
  1.19  association, approve the association's contract with the writing 
  1.20  carrier, and approve the state plan coverage; 
  1.21     (d) (3) appoint advisory committees; 
  1.22     (e) (4) conduct periodic audits to assure the general 
  1.23  accuracy of the financial data submitted by the writing carrier 
  1.24  and the association; 
  1.25     (f) (5) contract with the federal government or any other 
  1.26  unit of government to ensure coordination of the state plan with 
  2.1   other governmental assistance programs; 
  2.2      (g) (6) undertake directly or through contracts with other 
  2.3   persons studies or demonstration programs to develop awareness 
  2.4   of the benefits of sections 62E.01 to 62E.16, so that the 
  2.5   residents of this state may best avail themselves of the health 
  2.6   care benefits provided by these sections; 
  2.7      (h) (7) contract with insurers and others for 
  2.8   administrative services; and 
  2.9      (i) (8) adopt, amend, suspend and repeal rules as 
  2.10  reasonably necessary to carry out and make effective the 
  2.11  provisions and purposes of sections 62E.01 to 62E.19. 
  2.12     (b) The commissioner must approve selection of the writing 
  2.13  carrier by the association, the association's contract with the 
  2.14  writing carrier, and the state plan coverage.  
  2.15     Sec. 2.  Minnesota Statutes 2002, section 62E.10, 
  2.16  subdivision 2, is amended to read: 
  2.17     Subd. 2.  [BOARD OF DIRECTORS; ORGANIZATION.] The board of 
  2.18  directors of the association shall be made up of nine members as 
  2.19  follows:  five directors selected by contributing members, 
  2.20  subject to approval by the commissioner; four public directors 
  2.21  selected by the commissioner, at least two of whom must be plan 
  2.22  enrollees.  At least two of the directors selected by 
  2.23  contributing members and two of the public directors shall 
  2.24  reside outside of the seven-county metropolitan area.  Public 
  2.25  members may include licensed insurance agents.  In determining 
  2.26  voting rights at members' meetings, each member shall be 
  2.27  entitled to vote in person or proxy.  The vote shall be a 
  2.28  weighted vote based upon the member's cost of self-insurance, 
  2.29  accident and health insurance premium, subscriber contract 
  2.30  charges, health maintenance contract payment, or community 
  2.31  integrated service network payment derived from or on behalf of 
  2.32  Minnesota residents in the previous calendar year, as determined 
  2.33  by the commissioner.  In approving directors of the board, the 
  2.34  commissioner shall consider, among other things, whether all 
  2.35  types of members are fairly represented.  Directors selected by 
  2.36  contributing members may be reimbursed from the money of the 
  3.1   association for expenses incurred by them as directors, but 
  3.2   shall not otherwise be compensated by the association for their 
  3.3   services.  The costs of conducting meetings of the association 
  3.4   and its board of directors shall be borne by members of the 
  3.5   association. 
  3.6      Sec. 3.  Minnesota Statutes 2003 Supplement, section 
  3.7   62E.13, subdivision 2, is amended to read: 
  3.8      Subd. 2.  [SELECTION OF WRITING CARRIER.] The association 
  3.9   may select policies and contracts, or parts thereof, submitted 
  3.10  by a member or members of the association, or by the association 
  3.11  or others, to develop specifications for bids from any entity 
  3.12  which wishes to be selected as a writing carrier to administer 
  3.13  the state plan.  The selection of the writing carrier shall be 
  3.14  based upon criteria established by the board of directors of the 
  3.15  association and approved by the commissioner.  The criteria 
  3.16  shall outline specific qualifications that an entity must 
  3.17  satisfy in order to be selected and, at a minimum, shall include 
  3.18  the entity's proven ability to handle large group accident and 
  3.19  health insurance cases, efficient claim paying capacity, and the 
  3.20  estimate of total charges for administering the plan.  The 
  3.21  association may select separate writing carriers for the two 
  3.22  types of qualified plans and the $2,000, $5,000, and $10,000 
  3.23  deductible plans, the qualified Medicare supplement plan, and 
  3.24  the health maintenance organization contract.  The association 
  3.25  shall post on its Web site the reasons for any change in writing 
  3.26  carriers.