Insurance and Real Estate Committee

JOINT FAVORABLE REPORT

Bill No.:

HB-5259

Title:

AN ACT CONCERNING REFUNDS OF PREPAID PREMIUMS MADE BY SENIOR CITIZENS TO HEALTH INSURANCE PROVIDERS FOR MEDICARE SUPPLEMENT POLICIES.

Vote Date:

3/13/2007

Vote Action:

Joint Favorable

PH Date:

2/6/2007

File No.:

SPONSORS OF BILL:

The Insurance and Real Estate Committee

REASONS FOR BILL:

This bill would protect senior citizens who choose to prepay their premiums but later decide to switch providers by requiring health insurance providers for Medicare supplement plans to refund such premiums.

RESPONSE FROM ADMINISTRATION/AGENCY:

Representative Claire L. Janowski, Fifty Sixth District appeared before the committee to testify in support of House Bill 5259. Representative Janowski feels this legislation is vital in leveling the playing field so that if a senior pays in advance (often six months of premiums), they do not lose their prepaid amount should they decide to drop their coverage because of bad service, or because they later discover their premiums were too high.

NATURE AND SOURCES OF SUPPORT:

None

NATURE AND SOURCES OF OPPOSITION:

None

Reported by: Carol A. Hazen

Date: 03/22/2007