HEALTH INSURANCE;

INSURANCE - HEALTH;

You want an explanation of Substitute Senate Bill 919, An Act Concerning the Approval of Health Insurance Plans with Flexible Benefit Designs.

Substitute Senate Bill 919, requires the insurance commissioner to adopt regulations for the approval and design of health insurance plans that offer flexible benefits designed to reduce health insurance premium. The bill defines such plans to include those that (1) offer choices between large and small providers networks; (2) offer different deductibles based on health care facilities used; (3) offer prescription drug benefits which use both deductibles and coinsurance; and (4) use both deductible and coinsurance.

Oxford Health Plan, ConnectiCare, Connecticut Business and Industry Association, and Anthem Blue Cross Blue Shield supported SB 919 because they believe it would make group health insurance costs more affordable for employers. The bill would allow insurers to offer plans with an array of choices that Connecticut law currently prevents. The choices would include different deductible and coinsurance amounts, different provider networks, and different benefit choices.

Enclosure: Insurance Committee Joint Favorable Report

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