OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http: //www.cga.ct.gov/ofa

sHB-5021

AN ACT EXPANDING HEALTH INSURANCE COVERAGE FOR OSTOMY SUPPLIES.

AMENDMENT

LCO No.: 8192

File Copy No.: 34

House Calendar No.: 85

OFA Fiscal Note

State Impact: None in FY 10 & FY 11; Significant Cost in Out Years

Municipal Impact: Potential Significant Cost

Explanation

The amendment adds mandated coverage for prosthetic limbs at a level equal or greater than Medicare, hearing aids for children under 18 years of age, wigs for hair loss associated with alopecia areata, and bone marrow testing. The amendment also prohibits copayments or other out-of-pocket expense for colonoscopies and requires wellness incentives to be provided to plan participants. The amendment is not anticipated to impact the state employee and retiree health plan until July 1, 2011 when the contract is renewed. It is anticipated the FY 12 cost of the amendment could be significant.

The amendment's provisions may increase costs to fully-insured municipal plans which do not currently offer the coverage mandated. The coverage requirements may result in significant increased premium costs when municipalities enter into new health insurance contracts on or after January 1, 2010. Due to federal law, municipalities with self-insured health plans are exempt from state health insurance benefit mandates.

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.