PART G

Sec. G-1. MaineCare reimbursement rates. By January 1, 2006, the Department of Health and Human Services shall introduce legislation to adjust MaineCare reimbursement rates for health care providers that increases the rate to 20% above the reimbursement rate in effect on January 1, 2005, except that the adjustment may not result in a reimbursement rate of more than 100% of the usual, customary and reasonable rate used by the health care provider. The legislation proposed by the department must include a provision to limit new enrollees into the MaineCare program at a level that will provide funding to pay for the increase in reimbursement rates.

Sec. G-2. Department of Professional and Financial Regulation, Bureau of Insurance review of health insurance rate and form filing requirements. The Department of Professional and Financial Regulation, Bureau of Insurance shall review the State's health insurance rate and form filing requirements and make recommendations for changes in the requirements to reduce the costs and resources for insurers seeking regulatory approval of new health insurance products. In its review, the bureau shall identify the typical costs and resources for insurers seeking regulatory approval for new health insurance products in this State and, to the extent possible, compare those to the costs and resources for the regulatory approval of new health insurance products in other states. The bureau shall submit a report with its review and recommendations to the Joint Standing Committee on Insurance and Financial Services by January 16, 2006. The Joint Standing Committee on Insurance and Financial Services shall submit a bill to the Second Regular Session of the 122nd Legislature based on the recommendations from the bureau's report.

SUMMARY

This bill does the following.

Part A repeals the guaranteed issuance and community rating law for individual health plans effective April 1, 2006 and allows carriers to treat their pre-2006 book of business