Hawaii-2018-SB535-Amended

SECTION 1. Chapter 431, Hawaii Revised Statutes, is amended by adding a new section to article 10A to be appropriately designated and to read as follows:

"§431:10A- Coverage for hearing aids. (a) Each individual and group accident and health or sickness policy issued or renewed in this State after December 31, 2018, other than a limited benefit health insurance policy as provided in section 431:10A-102.5, shall provide, not as an employer option, coverage for the cost of hearing aids for the policyholder and individuals covered under the policy.

(b) Hearing aid purchases covered under this section shall be subject to a minimum benefit of $ for a reasonably medically necessary hearing aid per hearing-impaired ear every thirty-six months. A policyholder or individual covered under the policy who has not used the minimum benefit before the end of the thirty-six-month period shall be eligible to use any remaining benefit toward the cost of a replacement hearing aid.

(c) The policyholder and individual covered under the policy may choose a hearing aid that is priced higher than the benefit payable under this section without financial or contractual penalty to the provider of the hearing aid.

(d) This section does not prohibit a health insurer subject to this section from providing coverage that is greater or more favorable to the policyholder and individuals covered under the policy.

(e) Coverage required under this section may be subject to deductibles, copayments, coinsurance, or annual or maximum payment limits that are consistent with deductibles, copayments, coinsurance, and annual or maximum payment limits applicable to other similar coverage under the policy.

(f) Every insurer shall provide notice to its policyholders regarding the coverage required by this section. The notice shall be in writing and prominently positioned in any literature or correspondence sent or provided to policyholders and shall be transmitted to policyholders within calendar year 2019 when annual information is made available to policyholders, or in any other mailing to policyholders, but in no case later than December 31, 2019.

(g) For the purposes of this section, "hearing aid" shall have the same meaning as in section 451A-1 and includes conventional and bone conduction hearing aids."

SECTION 2. Chapter 432, Hawaii Revised Statutes, is amended by adding a new section to article 1 to be appropriately designated and to read as follows:

"§432:1- Coverage of hearing aids. (a) Each individual and group hospital or medical service plan contract issued or renewed in this State after December 31, 2018, shall provide, not as an employer option, coverage for the cost of hearing aids for the member and individuals covered under the plan contract.

(b) Hearing aid purchases covered under this section shall be subject to a minimum benefit of $ for a reasonably medically necessary hearing aid per hearing-impaired ear every thirty-six months. A member or individual covered under the plan contract who has not used the minimum benefit before the end of the thirty-six-month period shall be eligible to use any remaining benefit toward the cost of a replacement hearing aid.

(c) The members and individuals covered under the plan contract may choose a hearing aid that is priced higher than the benefit payable under this section without financial or contractual penalty to the provider of the hearing aid.

(d) This section does not prohibit a mutual benefit society subject to this section from providing coverage that is greater or more favorable to the member and individuals covered under the plan contract.

(f) Every mutual benefit society shall provide notice to its members regarding the coverage required by this section. The notice shall be in writing and prominently positioned in any literature or correspondence sent or provided to members and shall be transmitted to members within calendar year 2019 when annual information is made available to members, or in any other mailing to members, but in no case later than December 31, 2019.

(g) For the purposes of this section, "hearing aid" shall have the same meaning as in section 451A-1 and includes conventional and bone conduction hearing aids."

SECTION 3. Section 432D-23, Hawaii Revised Statutes, is amended to read as follows:

"§432D-23 Required provisions and benefits. Notwithstanding any provision of law to the contrary, each policy, contract, plan, or agreement issued in the State after January 1, 1995, by health maintenance organizations pursuant to this chapter, shall include benefits provided in sections 431:10-212, 431:10A-115, 431:10A-115.5, 431:10A-116, 431:10A-116.2, 431:10A-116.5, 431:10A-116.6, 431:10A-119, 431:10A-120, 431:10A-121, 431:10A-122, 431:10A-125, 431:10A-126, 431:10A-132, 431:10A-133, 431:10A-134, 431:10A-140, and [~~431:10A-134,~~] 431:10A- , and chapter 431M."

SECTION 4. The benefit to be provided by health maintenance organizations corresponding to the benefit provided under section 431:10A- , Hawaii Revised Statutes, as contained in the amendment to section 432D-23, Hawaii Revised Statutes, in section 3 of this Act, shall take effect for all policies, contracts, plans, or agreements issued in the State after December 31, 2018.

SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 6. This Act shall take effect on June 1, 2050.

THE SENATE	S.B. NO.	535
TWENTY-NINTH LEGISLATURE, 2017		S.D. 2
STATE OF HAWAII		H.D. 1