Final
Interim Committee on Auto Insurance
AUTO INSURANCE SYSTEM
Votes:
Action Taken:
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10:10 AM
Representative Coleman called the meeting to order and discussed the agenda for the day. The committee will go over each of the proposed bills and members who asked the bills to be drafted may explain the ideas behind the bill and discuss any proposed changes. Staff from the Office of Legislative Legal Services (OLLS) offered to briefly describe each bill and how it works.
10:12 AM
Christy Chase, OLLS, described Bill A (Attachment A). Bill A would require traumatic injury acute care coverage be included in auto insurance policies. Senator Wiens told the committee about the impetus for the bill. Representative Cadman asked how payment determination would be made. Committee discussion ensued. Senator Weins expressed concern that there is a lack of awareness that medical payments coverage could be helpful.
10:23 AM
Christy Chase, OLLS, described bill B (Attachment B). Bill B would require emergency medical care coverage be included in auto insurance policies. Senator Veiga asked whether there would be a cap on emergency expenses. Representative Carroll discussed how she intends the bill to work. An insurance company of the injured party would be required to pay immediately and then could recover its costs from another insurer once fault is determined. Senator McElhany questioned whether the purpose of the bill could be achieved through other bills being proposed. Representative Coleman commented on Senator McElhany's points.
10:33 AM
Christy Chase, OLLS, described bill C (Attachment C). Bill C would impose a surcharge on particular driving offenses to fund emergency medical and trauma services in the state. Representative Cloer discussed his intentions with the bill. Senator McElhany expressed concern with how money is disseminated to eligible trauma care providers. Committee discussion ensued. Representative Coleman discussed a previous bill that added a significant fine for individuals who drive without insurance. She suggested that the changes proposed by the legislation could be incorporated with the previous legislation.
10:40 AM
Christy Chase, OLLS, described bill D (Attachment D). Bill D would require insurers to offer medical payments coverage as part of an insurance policy. If coverage is refused, the insured individual would have to indicate their refusal in writing. Ms. Chase responded to questions from the committee. Representative Carroll compared the proposed changes to the current system.
10:46 AM
Christy Chase, OLLS, described bill E (Attachment E). Bill E would also require that medical payments coverage be offered as part of auto insurance policies. Insured persons who decline coverage would have to demonstrate proof of health insurance coverage. Senator Wiens discussed the purpose of offering the bill. Members of the committee discussed the ramifications of requiring consumers to prove they have health insurance before being permitted to opt out of medical payments coverage. Committee discussion ensued.
10:57 AM
Kristen Forrestal, OLLS, described bill F (Attachment F). Bill F would require insurers to use a uniform disclosure form when issuing a policy. Insurers would be required to obtain written consent when issuing optional or enhanced coverage. Ms. Forrestal responded to questions from the committee. Representative Coleman explained her intent in proposing the legislation.
11:05 AM
Kristen Forrestal, OLLS, described bill G (Attachment G). Bill G would require that prompt pay provisions for health insurance expenses apply to claims made as a result of injuries sustained from an auto accident. Representative Coleman discussed her purpose with the legislation.
11:08 AM
Duane Gall, OLLS, described bill H (Attachment H). Bill H would require a liability insurer to pay claims first and then subrogate payment from the responsible party. Representative Carroll discussed her intent with the proposal, noting that it was slightly different than how the bill is currently drafted.
11:12 AM
Kristen Forrestal, OLLS, described bill I (Attachment I). Bill I would prohibit credit-soring for insurance underwriting purposes. Senator Tochtrop discussed the purpose of the legislation. Representative Cadman pointed out his concern that the bill could be construed as outside the scope of the committee. Representative Coleman commented on her concerns with having this bill proposed as a committee bill. Senator Tochtrop responded to the comments of the committee members and indicated her intent to limit the bill to impact auto insurance.
11:21 AM
Representative Coleman discussed her intent with bill J concerning the affordability of health insurance (a draft of the bill is not yet available).
11:26 AM
Representative Cerbo indicated that is not going to pursue bill K.
11:28 AM
Representative Coleman began discussion of a bill she is considering concerning the creation of a Colorado consumer insurance board. She provided a draft to the committee (Attachment J). Representative Carroll expressed interest in the bill and adding representation from consumers. The bill will be discussed as a potential committee bill at the next meeting.
11:34 AM
Representative Coleman then proceeded to discuss another idea for a bill that would address subrogation of liens.
11:36 AM
Representative Cloer began discussion of another bill he is interested in. He briefly described the purpose of the bill. He provided two handouts to the committee (Attachments K and L). The bill would address prompt determination of liability. The bill will be included in the next meeting's discussion and determination of committee bills. Representative Coleman expressed concern with the portion of the bill that requires an independent medical examination (IME). Senator Tochtrop indicated her support of including the IME.
11:52 AM
The committee discussed potential merging of various bills.
12:00 PM
The chair called a brief recess for members to discuss among themselves how bills might be combined.
12:25 PM
The committee came back to order. Representative Coleman discussed a bill that will be added to the docket for the next meeting. The bill would consider health insurance primary to auto insurance in the event of an accident.
12:35 PM
The committee discussed the bills and the process for the next meeting on Wednesday, October 19. Bills A and B were combined, as were bills D and E.
12:38 PM
The committee adjourned.