BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1586
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          CONCURRENCE IN SENATE AMENDMENTS
          AB 1586 (Koretz)
          As Amended July 1, 2005
          Majority vote
           
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          |ASSEMBLY:  |41-27|(May 16, 2005)  |SENATE: |23-14|(September 6,  |
          |           |     |                |        |     |2005)          |
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           Original Committee Reference:    HEALTH  

           SUMMARY  :  Defines the term "sex," in existing law that prohibits  
          health care service plans (health plans) and insurers from  
          specified discriminatory acts, to have the same meaning as  
          "gender," as defined under the Penal Code, as specified.  

           The Senate amendments  :

          1)Permit premium, price, or charge differentials, unless  
            otherwise prohibited by law, because of the sex of any  
            individual when based on objective, valid, and up-to-date  
            statistical and actuarial data or sound underwriting  
            practices.

          2)State that this bill is not intended to mandate that health  
            plans or insurers provide coverage for any particular benefit,  
            nor to prohibit sound underwriting practices or criteria based  
            on objective, valid, and up-to-date statistical and actuarial  
            data.

          Specify that the purpose is to prohibit plans and insurers from  
            denying an individual a plan contract or policy, or coverage  
            for a benefit included in the contract or policy, based on the  
            person's sex, as defined. 

           EXISTING LAW  :

          1)Defines "gender" to mean sex, and includes a person's gender  
            identity and gender related appearance and behavior whether or  
            not stereotypically associated with the person's assigned sex  
            at birth.

          2)Prohibits health plans from refusing to enter into any  
            contract or canceling or declining to renew or reinstate any  








                                                                  AB 1586
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            contract because of the race, color, national origin,  
            ancestry, religion, sex, marital status, sexual orientation,  
            or age of any contracting party, prospective contracting  
            party, or person reasonably expected to benefit from that  
            contract as a subscriber, enrollee, member, or otherwise. 

          3)Prohibits the terms of any health plan contract from being  
            modified, and the benefits or coverage of any contract from  
            being subject to any limitations, exceptions, exclusions,  
            reductions, copayments, coinsurance, deductibles,  
            reservations, or premium, price, or charge differentials, or  
            other modifications because of the race, color, national  
            origin, ancestry, religion, sex, marital status, sexual  
            orientation, or age of any contracting party, potential  
            contracting party, or person reasonably expected to benefit  
            from that contract as a subscriber, enrollee, member, or  
            otherwise.  Exempts premium, price, or charge differentials  
            because of the sex or age of any individual when it is based  
            on objective, valid, and up-to-date statistical and actuarial  
            data.  Prohibits health plans from charging different premium  
            rates to individual enrollees within the same group solely on  
            the basis of the enrollee's sex. 

          4)Prohibits insurers from failing or refusing to accept an  
            application for, or issuing a policy to an applicant for,  
            health insurance (unless such insurance is to be issued to the  
            applicant by another insurer under the same management and  
            control), or canceling such insurance, under conditions less  
            favorable to the insured than in other comparable cases,  
            except for reasons applicable alike to persons of every  
            marital status, sex, race, color, religion, national origin,  
            or ancestry.  Prohibits sex, race, color, religion, national  
            origin, or ancestry of itself from constituting a condition or  
            risk for which a higher rate, premium, or charge may be  
            required of the insured for such insurance.

           AS PASSED BY THE ASSEMBLY  , this bill defined the term "sex" to  
          include, but be not limited to, a person's gender, as specified,  
          under existing law that prohibits health care service plans  
          (health plans) and insurers from specified discriminatory acts.   


           FISCAL EFFECT  :  None

           COMMENTS  :  According to the Gay and Lesbian Alliance Against  








                                                                  AB 1586
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          Defamation (GLAAD) "transgender" is an umbrella term for people  
          whose gender identity and/or gender expression differs from the  
          sex they were assigned at birth.  Transgender people can be  
          female-to-male (FTM) or male-to-female (MTF) and may or may not  
          choose to alter their bodies hormonally and/or surgically.   
          According to the Transgender Law Center, transition-related  
          health care and services can include blood work, hormones,  
          mental health therapy, and gender confirmation surgery.  In  
          2002, the Transgender Law Center and the National Center for  
          Lesbian Rights released a report titled "Trans Realities: A  
          Legal Needs Assessment of San Francisco's Transgender  
          Communities," which stated that 93% of the transgender people  
          surveyed have utilized medical services as a part of their  
          transition.  The study also found that transgender people in the  
          San Francisco Bay Area face significant barriers to accessing  
          transition-related health care and often experience  
          discrimination in accessing other forms of health care.  Nearly  
          one in three respondents experienced some form of health  
          care-related gender identity discrimination, including routine  
          denial of coverage by health insurers for transition-related  
          procedures, and discriminatory or inappropriate behavior by  
          health care providers and staff. 

          In 1999, the Transgender Community Health Project, which is part  
          of the Center for HIV Information at the University of  
          California, San Francisco, published a report based on a survey  
          they administered to transgender persons in collaboration with a  
          number or entities, including public health clinics, the San  
          Francisco Department of Public Health, and HIV/AIDS groups.  The  
          report indicated that transgender individuals face complex  
          social, physical and mental health, and substance use issues.   
          Drug use was common among interviewees, as was mental health  
          intervention (i.e., hospitalization and/or medication).  The  
          researchers found that 52% of MTF and 57% of FTM subjects were  
          uninsured.  Thirteen percent of MTF and 39% of FTM interviewees  
          reported being denied or having difficulties obtaining health  
          care.
           

           
           Analysis Prepared by  :    Melanie Moreno / HEALTH / (916) 319-209


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