BILL ANALYSIS
Senate Appropriations Committee Fiscal Summary
Senator Christine Kehoe, Chair
513 (De Leon)
Hearing Date: 8/27/2009 Amended: 7/23/2009
Consultant: Katie Johnson Policy Vote: Health 6-3
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BILL SUMMARY: AB 513 would require health care service plan
contract and health insurance policy issued, renewed, or amended
on or after January 1, 2010, that provides maternity coverage to
provide coverage for lactation consultation with a lactation
consultant and for the rental of breast pumps.
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Fiscal Impact (in thousands)
Major Provisions 2009-10 2010-11 2011-12 Fund
DMHC start-up $50 $0 $0 Special*
CalPERS benefits $50 $100 $100
General/**
Special/
Private
*Managed Care Fund
***Each state agency pays its employees premiums to CalPERS out
of its budget. Approximately 55 percent of employee premiums are
from the General Fund and 45 percent are from other state funds.
These other funds are made up of approximately 67 percent
special funds and 33 percent moneys from other sources such as
federal funds.
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STAFF COMMENTS: SUSPENSE FILE. AS PROPOSED TO BE AMENDED.
Existing law provides for the regulation of health care service
plans and health insurers by the Department of Managed Health
Care (DMHC) and the California Department of Insurance (CDI),
respectively.
This bill would require health care service plan contracts and
health insurance policies issued, renewed, or amended on or
after January 1, 2010, that provides maternity coverage to
provide coverage for lactation consultation with an
international board certified lactation consultant (IBCLC) and
for the rental of breast pumps.
Costs to CDI to oversee these new policies would be minor and
absorbable. DMHC start-up costs are approximately $50,000 for FY
2009-2010 to complete the necessary filings. Ongoing costs would
be absorbable.
According to a 2009 California Health Benefits Review Program
(CHBRP) report on this bill, there would be no fiscal effect on
the publicly-funded Medi-Cal managed care plans or on the
Healthy Families Program. There would be a minor cost to the
California Public Employees Retirement System (CalPERS), the
entity that provides government and public employees with health
benefits.
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AB 513 (De Leon)
The author's proposed amendments would clarify that health plans
and health insurers provide coverage for the provision of a
personal electric or manual breastpump or for the rental of a
hospital grade electric breastpump. The amendments would clarify
that these provisions do not apply to short-term limited
duration health insurance, except when the coverage is
specifically for coverage during pregnancy, the post-partum
period, or both. Finally, the amendments would state that these
provisions should not be construed to affect any other
requirement to provide breast pumps or lactation consultation in
the Medi-Cal, Healthy Families, or Access for Infants and
Mothers programs.