Bill Text: IA HF490 | 2017-2018 | 87th General Assembly | Introduced

---

Bill Title: A bill for an act prohibiting the use of gender in determining premium rates or assessments for certain insurance policies, and including penalties and applicability dates.

Spectrum: Partisan Bill (Democrat 10-0)

Status: (Introduced - Dead) 2017-03-02 - Introduced, referred to Human Resources. H.J. 497. [HF490 Detail]

Download: Iowa-2017-HF490-Introduced.html

---

House File 490 - Introduced




                                 HOUSE FILE       
                                 BY  BENNETT, BROWN=POWERS,
                                     HUNTER, ABDUL=SAMAD,
                                     T. TAYLOR, MEYER,
                                     RUNNING=MARQUARDT,
                                     STAED, FINKENAUER, and
                                     M. SMITH

                                      A BILL FOR

  1 An Act prohibiting the use of gender in determining premium
  2    rates or assessments for certain insurance policies, and
  3    including penalties and applicability dates.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
    TLSB 2254YH (3) 87
    av/nh

PAG LIN



  1  1    Section 1.  Section 507B.4, subsection 3, paragraph g, Code
  1  2 2017, is amended by adding the following new subparagraph:
  1  3    NEW SUBPARAGRAPH.  (4)  Notwithstanding subparagraph (1),
  1  4 determining premium rates or assessments, in whole or in part,
  1  5 for any contract of life insurance or health care coverage
  1  6 according to an insured's gender.
  1  7    Sec. 2.  Section 509.2, Code 2017, is amended by adding the
  1  8 following new subsection:
  1  9    NEW SUBSECTION.  4A.  A provision specifying that premium
  1 10 rates shall not be determined, in whole or in part, according
  1 11 to the individual insured's or enrollee's gender.
  1 12    Sec. 3.  Section 509.3, Code 2017, is amended by adding the
  1 13 following new subsection:
  1 14    NEW SUBSECTION.  3.  In addition to the provisions required
  1 15 in subsection 1, the commissioner shall require provisions
  1 16 through the adoption of rules specifying that premium rates for
  1 17 coverage under a policy of group accident or health insurance
  1 18 or a combination thereof issued in this state shall not be
  1 19 determined, in whole or in part, according to an insured's or
  1 20 enrollee's gender.
  1 21    Sec. 4.  Section 509A.3, Code 2017, is amended to read as
  1 22 follows:
  1 23    509A.3  Assessment of employees.
  1 24    1.  All employees participating in any such plan the fund of
  1 25 which is created under the provisions of section 509A.2 shall
  1 26 be assessed and required to pay an amount to be fixed by the
  1 27 governing body not to exceed the two percent which shall be
  1 28 contributed by the public body according to the plan adopted,
  1 29 and the amount so assessed shall be deducted and retained out
  1 30 of the wages or salaries of such employees.
  1 31    2.  Any employee may authorize deductions from the
  1 32 employee's wages or salary in payment for plans authorized in
  1 33 this chapter in the manner provided in section 514.16.
  1 34    3.  Assessments for participation in a plan created pursuant
  1 35 to this chapter shall not be determined, in whole or in part,
  2  1 according to an employee's gender.
  2  2    Sec. 5.  Section 514A.2, Code 2017, is amended by adding the
  2  3 following new subsection:
  2  4    NEW SUBSECTION.  1A.  Premium rates for a policy of accident
  2  5 and sickness insurance delivered or issued for delivery to any
  2  6 person in this state shall not be determined, in whole or in
  2  7 part, according to the person's gender.
  2  8    Sec. 6.  APPLICABILITY.  This Act applies to premium rates or
  2  9 assessments for insurance or health care coverage determined in
  2 10 this state pursuant to Code chapter 509, 509A, or 514A, on or
  2 11 after January 1, 2018.
  2 12                           EXPLANATION
  2 13 The inclusion of this explanation does not constitute agreement with
  2 14 the explanation's substance by the members of the general assembly.
  2 15    This bill provides that premium rates or assessments for
  2 16 individual or group life insurance, group accident or health
  2 17 insurance, group health insurance for public employees,
  2 18 and individual accident and health insurance shall not be
  2 19 determined, in whole or in part, according to the individual
  2 20 insured's or enrollee's gender.
  2 21    The bill also provides that making such a determination
  2 22 based on gender constitutes unfair discrimination and is an
  2 23 unfair act or practice in the business of insurance under Code
  2 24 chapter 507B.  A violation of this provision is subject to a
  2 25 civil penalty of not more than $1,000 for each unknowing act or
  2 26 violation or an aggregate of not to exceed $10,000, or not more
  2 27 than $5,000 for each knowing act or violation or an aggregate
  2 28 not to exceed $50,000, in any one six=month period.
  2 29    The provisions of the bill are applicable to premium rates or
  2 30 assessments for insurance or health care coverage determined in
  2 31 this state pursuant to Code chapter 509, 509A, or 514A, on or
  2 32 after January 1, 2018.
       LSB 2254YH (3) 87
       av/nh