BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   SB 158|
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                                 THIRD READING


          Bill No:  SB 158
          Author:   Wiggins (D)
          Amended:  As introduced
          Vote:     21

           
           SENATE HEALTH COMMITTEE  :  8-3, 4/22/09
          AYES:  Alquist, Cedillo, DeSaulnier, Leno, Maldonado,  
            Negrete McLeod, Pavley, Wolk
          NOES:  Strickland, Aanestad, Cox

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8 


           SUBJECT  :    Health care coverage:  human papillomavirus  
          vaccination

          SOURCE  :     American College of Obstetricians &  
          Gynecologists,
                      District IX


           DIGEST  :    This bill requires health care service plan  
          contracts and health insurance policies that provide  
          coverage for cervical cancer treatment or surgery to also  
          provide coverage for a human papillomavirus (HPV) vaccine  
          beginning on January 1, 2009.

           ANALYSIS  :    Existing law:

          1.Provides for the regulation of health plans by the  
            Department of Managed Health Care and health insurers by  
            the California Department of Insurance. 
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          2.Requires health plans to cover all medically necessary  
            basic health care services, as defined, including  
            "preventive health care services," defined in regulations  
            to include childhood immunizations recommended by the  
            American Academy of Pediatrics and adult immunizations  
            recommended by the U.S. Public Health Service. 

          3.Requires health plans and health insurers that offer  
            coverage on a group basis to cover comprehensive  
            preventive care for children ages 16 or younger under the  
            terms and conditions agreed upon by the group and the  
            health insurer or health plan.

          4.Requires health plans and health insurers that offer  
            coverage on a group basis to offer, rather than provide,  
            comprehensive preventive care for children ages 17 and  
            18, under terms and conditions agreed upon by the group  
            and the health insurer or health plan.

          5.Defines comprehensive preventive care to include  
            immunizations recommended by the Centers for Disease  
            Control and Prevention (CDC) in their Recommended  
            Childhood Immunization Schedule. 

          6.Requires individual and group health plan contracts and  
            health insurance policies that include coverage for  
            treatment or surgery of cervical cancer to also include  
            coverage of annual cervical cancer screening tests, upon  
            referral by the patient's physician and surgeon, a nurse  
            practitioner, or certified nurse midwife who is providing  
            care to the patient and operating within the scope of  
            practice otherwise permitted for the licensee. 

          This bill requires health plan contracts and health  
          insurance policies that include coverage for treatment or  
          surgery of cervical cancer, and are issued, amended, or  
          renewed after January 1, 2010, to be deemed to provide  
          coverage for a HPV vaccination upon the referral of the  
          patient's physician and surgeon, nurse practitioner, or  
          certified nurse midwife, providing care to the patient and  
          operating within the scope of practice otherwise permitted  
          for the licensee.  Specialized health plan contracts are  
          exempted from the requirement.

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           Background
           
          According to the National Cancer Institute, there are more  
          than 100 types of HPVs, of which 30 can be transmitted  
          sexually.  Most HPV infections occur without any symptoms  
          and go away without treatment.  Both "high-risk" and  
          "low-risk" HPVs can cause the growth of abnormal cells, but  
          generally, only high-risk HPVs lead to cancer, including  
          cervical, anal, and penile cancer.  Of the women who  
          develop abnormal cervical cell changes with high-risk HPVs,  
          only a small percentage develop cervical cancer if the  
          abnormal cells are not removed.  Approximately 90 percent  
          of new HPV infections clear within two years. 

          According to the CDC's Advisory Committee on Immunization  
          Practices (ACIP), an estimated 6.2 million new HPV  
          infections occur every year among persons aged 14 to 44  
          years in the U.S.  Of these, 74 percent occur among those  
          aged 15 to 24 years.  Estimates suggest that over 80  
          percent of sexually active women will have acquired genital  
          HPV by age 50.  A 2007 study published in the Journal of  
          the American Medical Association found that the prevalence  
          of HPV infection in the U.S. was highest among 20 to 24  
          year olds (45 percent).  For females 14 to 24 years, the  
          overall HPV prevalence was estimated at 34 percent.

          Using population estimates, the Department of Public Health  
          estimates that there may be approximately 900,000  
          14-to-24-year-old California females with an HPV infection.  
           Approximately 372,000 California females ages 14 to 59  
          have a vaccine-preventable HPV infection.

          ACIP also notes that the prevention and treatment of  
          anogenital warts and cervical HPV-related disease imposes  
          an estimated burden of $4 billion or more (2004 dollars) in  
          direct costs in the U.S. each year.  Of this total,  
          approximately $200 million is attributable to the  
          management of genital warts; approximately $300 to $400  
          million to invasive cervical cancer; and the remainder to  
          routine cervical cancer screening, the follow up of  
          abnormal Pap tests, and pre-invasive cervical cancer.  The  
          estimated economic burden associated with HPV would be more  
          substantial if the cost of other HPV-related diseases were  

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          included.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes

           SUPPORT  :   (Verified  5/5/09)

          American College of Obstetricians & Gynecologists, District  
          IX (source) 
          American Cancer Society
          California Commission on the Status of Women
          California Communities United Institute
          California Medical Association
          Medical Oncology Association of Southern California
          Planned Parenthood Affiliates of California
          Planned Parenthood Shasta-Diablo

           OPPOSITION  :    (Verified  5/5/09)

          Anthem Blue Cross
          Association of California Life and Health Insurance  
          Companies
          California Association of Health Plans
          California Association of Health Underwriters
          California Chamber of Commerce

           ARGUMENTS IN SUPPORT  :    The American College of  
          Obstetricians and Gynecologists, District IX, writes that  
          this vaccine will prevent hundreds of cervical cancer  
          deaths annually in California and prevent tens of thousands  
          of cases of abnormal cervical cancer cells, precancerous  
          conditions and cervical cancer.  They assert that  
          prevention of the HPV infection and the conditions caused  
          by it should translate into an enormous cost savings to  
          health plans, insurers, and the state.  The Medical  
          Oncology Association of Southern California states that  
          mandating coverage of this vaccine will help remove  
          barriers to this important tool in cancer prevention.  The  
          California Medical Association writes that maximum  
          immunization coverage in all populations is essential if we  
          want to keep preventable disease levels to a minimum.   
          Planned Parenthood Affiliates of California states that  
          this bill is a further step in comprehensive reproductive  
          health care and preventative medicine.

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           ARGUMENTS IN OPPOSITION  :    The Association of California  
          Life and Health Insurance Companies generally opposes all  
          benefit mandates because, while they sympathize with the  
          intent to meet a need, mandates increase the already high  
          costs of care for everyone and eliminate flexibility an  
          employer would otherwise have to pick benefits that best  
          address the needs of his or her employees in the future.   
          The California Association of Health Plans writes of  
          similar concerns, and adds that mandates in some cases can  
          lead to a reduction of coverage, as individuals and  
          employers drop their insurance due to premium impacts.  
           

          CTW:nl  5/5/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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