OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 ↓ (860) 240-0200
http: //www. cga. ct. gov/ofa
AN ACT CONCERNING THE RATE APPROVAL PROCESS FOR CERTAIN HEALTH INSURANCE POLICIES.
As Amended by Senate "A" (LCO 8238), Senate "B" (LCO 8419)
House Calendar No. : 625
Senate Calendar No. : 157
OFA Fiscal Note
FY 12 $
FY 13 $
IF - Cost
Note: IF=Insurance Fund
The bill results in additional annualized costs related to new actuarial rate reviews and rate symposiums, effective January 1, 2012. Assuming 30 additional rate reviews and 15 additional rate symposiums (the cap included in the amendment) this will result in an annualized cost of approximately $181,800 to the Department of Insurance (DOI) for personnel, fringe benefits and other expenses.
Section 9 of the bill changes section 7 of PA 11-6 (the biennial budget act) to appropriate to DOI the annualized costs noted above.
Senate “A” struck the underlying bill and results in the fiscal impact noted above.
Senate “B” established a sunset date of December 31, 2013 for the rate symposiums.
The Out Years
As the bill allows the rate symposiums only through December 31, 2013, there is no outyear cost for the symposiums. There would be an outyear cost of approximately $40,000, adjusted for inflation, for the additional rate reviews included in the bill.
The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely for the purposes of information, summarization and explanation and does not represent the intent of the General Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.