BILL NUMBER: AB 792 CHAPTERED
BILL TEXT
CHAPTER 851
FILED WITH SECRETARY OF STATE SEPTEMBER 30, 2012
APPROVED BY GOVERNOR SEPTEMBER 30, 2012
PASSED THE SENATE AUGUST 29, 2012
PASSED THE ASSEMBLY AUGUST 30, 2012
AMENDED IN SENATE AUGUST 24, 2012
AMENDED IN SENATE AUGUST 21, 2012
AMENDED IN SENATE AUGUST 17, 2011
AMENDED IN SENATE JUNE 30, 2011
AMENDED IN ASSEMBLY MAY 27, 2011
AMENDED IN ASSEMBLY MAY 10, 2011
AMENDED IN ASSEMBLY APRIL 14, 2011
INTRODUCED BY Assembly Member Bonilla
(Coauthor: Assembly Member Huffman)
FEBRUARY 17, 2011
An act to add Sections 2024.7 and 8613.7 to the Family Code, to
add Section 1366.50 to the Health and Safety Code, and to add Section
10786 to the Insurance Code, relating to health care coverage.
LEGISLATIVE COUNSEL'S DIGEST
AB 792, Bonilla. Health care coverage: California Health Benefit
Exchange.
Existing law, the federal Patient Protection and Affordable Care
Act, requires each state to, by January 1, 2014, establish an
American Health Benefit Exchange that makes available qualified
health plans to qualified individuals and small employers. Existing
state law establishes the California Health Benefit Exchange within
state government, specifies the powers and duties of the board
governing the Exchange relative to determining eligibility for
enrollment in the Exchange and arranging for coverage under qualified
health plans, and requires the board to facilitate the purchase of
qualified health plans through the Exchange by qualified individuals
and small employers by January 1, 2014.
Existing law, the Knox-Keene Health Care Service Plan Act of 1975,
provides for the regulation of health care service plans by the
Department of Managed Health Care and makes a willful violation of
the act a crime. Existing law provides for the regulation of health
insurers by the Department of Insurance. Existing law sets forth
procedures related to a petition for dissolution of marriage, nullity
of marriage, or legal separation, or a petition for adoption.
This bill would require a court, upon the filing of a petition for
dissolution of marriage, nullity of marriage, or legal separation on
and after January 1, 2014, to provide a specified notice informing
the petitioner and respondent that they may be eligible for
reduced-cost coverage through the Exchange or no-cost coverage
through Medi-Cal. The bill would also require a court to provide such
a notice to a petition for adoption. The bill would require the
notice to include information regarding obtaining coverage through
those programs and would require the notice to be developed by the
Exchange.
Commencing January 1, 2014, this bill would require specified
health care service plans and health insurers to provide to
individuals who cease to be enrolled in individual or group coverage
a notice informing those individuals that they may be eligible for
reduced-cost coverage through the Exchange or no-cost coverage
through Medi-Cal. The bill would require the notice to include
information regarding obtaining coverage through those programs and
would require that the notice be developed no later than July 1,
2013, by the Department of Managed Health Care and the Department of
Insurance, as specified.
Because a willful violation of the bill's provisions relative to
health care service plans would be a crime, the bill would impose a
state-mandated local program.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that no reimbursement is required by this
act for a specified reason.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 2024.7 is added to the Family Code, to read:
2024.7. On and after January 1, 2014, upon the filing of a
petition for dissolution of marriage, nullity of marriage, or legal
separation, the court shall provide to the petitioner and the
respondent a notice informing him or her that he or she may be
eligible for reduced-cost coverage through the California Health
Benefit Exchange established under Title 22 (commencing with Section
100500) of the Government Code or no-cost coverage through Medi-Cal.
The notice shall include information on obtaining coverage pursuant
to those programs, and shall be developed by the California Health
Benefit Exchange.
SEC. 2. Section 8613.7 is added to the Family Code, to read:
8613.7. On and after January 1, 2014, the court shall provide to
any petitioner for adoption pursuant to this part a notice informing
him or her that he or she may be eligible for reduced-cost coverage
through the California Health Benefit Exchange established under
Title 22 (commencing with Section 100500) of the Government Code or
no-cost coverage through Medi-Cal. The notice shall include
information on obtaining coverage pursuant to those programs, and
shall be developed by the California Health Benefit Exchange.
SEC. 3. Section 1366.50 is added to the Health and Safety Code, to
read:
1366.50. (a) On and after January 1, 2014, a health care service
plan providing individual or group health care coverage shall provide
to enrollees or subscribers who cease to be enrolled in coverage a
notice informing them that they may be eligible for reduced-cost
coverage through the California Health Benefit Exchange established
under Title 22 (commencing with Section 100500) of the Government
Code or no-cost coverage through Medi-Cal. The notice shall include
information on obtaining coverage pursuant to those programs, shall
be in no less than 12-point type, and shall be developed by the
department, no later than July 1, 2013, in consultation with the
Department of Insurance and the California Health Benefit Exchange.
(b) The notice described in subdivision (a) may be incorporated
into or sent simultaneously with and in the same manner as any other
notices sent by the health care service plan.
(c) This section shall not apply with respect to a specialized
health care service plan contract or a Medicare supplemental plan
contract.
SEC. 4. Section 10786 is added to the Insurance Code, to read:
10786. (a) On and after January 1, 2014, a health insurer
providing health insurance coverage shall provide to policyholders in
individual policies or certificate holders in group policies who
cease to be enrolled in coverage a notice informing them that they
may be eligible for reduced-cost coverage through the California
Health Benefit Exchange established under Title 22 (commencing with
Section 100500) of the Government Code or no-cost coverage through
Medi-Cal. The notice shall include information on obtaining coverage
pursuant to those programs, shall be in no less than 12-point type,
and shall be developed by the department, no later than July 1, 2013,
in consultation with the Department of Managed Health Care and the
California Health Benefit Exchange.
(b) The notice described in subdivision (a) may be incorporated
into or sent simultaneously with and in the same manner as any other
notices sent by the health insurer.
(c) This section shall not apply with respect to a specialized
health insurance policy or a health insurance policy consisting
solely of coverage of excepted benefits as described in Section 2722
of the federal Public Health Service Act (42 U.S.C. Sec. 300gg-21).
SEC. 5. No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.