00                            SENATE BILL NO. 15                                                                          
01 "An Act requiring that the cost of contraceptives be included in certain health care                                    
02 insurance coverage."                                                                                                    
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1.  The uncodified law of the State of Alaska is amended by adding a new section                         
05 to read:                                                                                                                
06       SHORT TITLE.  This Act may be known as the Contraceptive Equity Act of 2001.                                      
07    * Sec. 2.  The uncodified law of the State of Alaska is amended by adding a new section to                         
08 read:                                                                                                                   
09       FINDINGS.  The legislature finds that                                                                             
10            (1)  maternal and infant health are greatly improved when women have access                                  
11 to contraceptive supplies to prevent unintended pregnancies;                                                            
12            (2)  because many Americans hope to complete their families with two or three                                
13 children, many women spend the majority of their reproductive lives trying to prevent                                   
14 pregnancy;                                                                                                              

01            (3)  research has shown that 49 percent of all large group insurance plans do                                
02 not routinely provide coverage for contraceptive drugs and devices even though virtually all                            
03 health care plans cover prescription drugs generally;                                                                   
04            (4)  the absence of prescription contraceptive coverage is largely responsible                               
05 for the fact that women spend 68 percent more in out-of-pocket expenses for health care than                            
06 men; and                                                                                                                
07            (5)  requiring insurance coverage for prescription drugs and devices for                                     
08 contraception is in the public interest in improving the health of mothers, children, and                               
09 families and in providing for health care insurance coverage that is fairer and more equitable.                         
10    * Sec. 3.  AS 21.42 is amended by adding a new section to read:                                                    
11            Sec. 21.42.410.  Coverage for contraceptives.  (a)  Except with respect to                                 
12       limited benefit health care insurance or health care insurance purchased by a religious                           
13       employer, a health care insurer that offers, issues for delivery, delivers, or renews in                          
14       this state a health care insurance plan that provides coverage for prescription drugs on                          
15       an outpatient basis shall provide coverage for any prescribed drug or device approved                             
16       by the United States Food and Drug Administration for use as a contraceptive.  The                                
17       coverage required under this section is subject to standard policy provisions applicable                          
18       to other benefits, including deductible or copayment provisions, within the constraints                           
19       of (b) of this section.                                                                                           
20            (b)  An insurer may not impose on a person receiving prescription                                            
21       contraceptive benefits a                                                                                          
22                 (1)  copayment, coinsurance payment, or fee that is not equally                                         
23       imposed on all individuals in the same benefit category, class, coinsurance level, or                             
24       copayment level receiving benefits for prescription drugs; or                                                     
25                 (2)  reduction in allowable reimbursement for prescription drug                                         
26       benefits.                                                                                                         
27            (c)  This section may not be construed to                                                                    
28                 (1)  require coverage for prescription coverage benefits in a contract,                                 
29       policy, or plan that does not otherwise provide coverage for prescription drugs;                                  
30                 (2)  preclude the use of closed formularies if the formularies include                                  
31       oral, implant, and injectable contraceptive drugs, intrauterine devices, and prescription                         

01       barrier methods;                                                                                                  
02                 (3)  require an insurer to provide coverage for abortion.                                               
03            (d)  A health care insurance plan that, under (a) of this section, is exempt from                            
04       providing coverage for contraceptives must contain a written notice that prescription                             
05       contraceptives are not included under the policy.                                                                 
06            (e)  In this section,                                                                                        
07                 (1)  "limited benefit insurance" means accident and sickness insurance                                  
08       designed, advertised, and marketed to supplement major medical insurance, including                               
09       accident only, Civilian Health and Medical Program of the Uniformed Services                                      
10       (CHAMPUS) supplement, dental, disability income, fixed indemnity, long-term care,                                 
11       Medicare supplement, specific disease, vision, and other accident and sickness                                    
12       insurance other than basic hospital expense, basic medical-surgical expense, or major                             
13       medical insurance;                                                                                                
14                 (2)  "religious employer" means an employer                                                             
15                      (A)  with a primary purpose of instilling religious principles;                                    
16                      (B)  that primarily employs individuals who share the religious                                    
17            principles of the employer;                                                                                  
18                      (C)  that primarily serves individuals who share the employer's                                    
19            religious principles; and                                                                                    
20                      (D)  that does not receive public funding.