Colorado Legislative Council Staff
NO FISCAL IMPACT
January 11, 1999
Senate Business Affairs
Will Meyer (866-4976)
TITLE: CONCERNING REQUIREMENTS FOR HEALTH CARE COVERAGE FOR BUSINESS GROUPS OF ONE.
Summary of Assessment
The bill makes changes to existing requirements for marketing health coverage to business groups of one, including requiring clear disclosures if an open enrollment period is used. It also provides for a procedure for small employer health carriers not to offer coverage to business groups of one if offering such coverage would place the small employer carrier in a financially impaired condition, as determined by the Commissioner of Insurance, Division of Insurance. The bill would become effective 90 days following adjournment of the Legislature, unless a referendum petition is filed and approved by the voters.
There are approximately 60 small group carriers that could opt for open enrollment that would require them to file supplemental form certifications. The fiscal impact of these supplemental certifications is insignificant, but could be eliminated by changing the effective date of the bill. By changing the effective date to January 1, 2000, carriers would not need to file a supplemental form certifications, but could include the form changes with their regular annual filings. The bill will not affect any other state agency or unit of local government. Therefore, this bill is assessed as having no fiscal impact.