BILL NUMBER: SB 18	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Hernandez
   (Principal coauthor: Senator Monning)

                        DECEMBER 3, 2012

   An act relating to health care coverage, and declaring the urgency
thereof, to take effect immediately.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 18, as introduced, Hernandez. Individual health care coverage.
   Existing federal law, the federal Patient Protection and
Affordable Care Act (PPACA) enacts various health care coverage
market reforms that take effect January 1, 2014. Among other things,
PPACA requires each health insurance issuer that offers health
insurance coverage in the individual or group market in a state to
accept every employer and individual in the state that applies for
that coverage and to renew that coverage at the option of the plan
sponsor or the individual. PPACA prohibits a group health plan and a
health insurance issuer offering group or individual health insurance
coverage from imposing any preexisting condition exclusion with
respect to that plan or coverage. PPACA allows the premium rate
charge by a health insurance issuer offering small group or
individual coverage to vary only by family composition, rating area,
age, and tobacco use, as specified, and prohibits discrimination
against individuals based on health status.
   Existing law, the Knox-Keene Health Care Service Plan Act of 1975,
provides for the licensure and regulation of health care service
plans by the Department of Managed Health Care and the regulation of
health insurers by the Insurance Commissioner. Existing law requires
plans and insurers offering coverage in the individual market to
comply with certain requirements, including that they offer coverage
for a child on a guarantee issue basis.
   This bill would state the intent of the Legislature to enact
legislation that would reform the individual health care coverage
market consistent with the PPACA.
   This bill would declare that it is to take effect immediately as
an urgency statute.
   Vote: 2/3. Appropriation: no. Fiscal committee: no. State-mandated
local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  It is the intent of the Legislature to enact
legislation to reform the individual health care coverage market
consistent with the federal Patient Protection and Affordable Care
Act (Public Law 111-148), as amended by the federal Health Care and
Education Reconciliation Act of 2010 (Public Law 111-152).
  SEC. 2.  This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect. The facts constituting the necessity are:
   In order to update state law consistent with federal requirements
at the earliest possible time, it is necessary that this bill take
effect immediately.