Legislature(2023 - 2024)BARNES 124
03/27/2023 03:15 PM House LABOR & COMMERCE
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Audio | Topic |
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Start | |
HB17 | |
HB99 | |
Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
+ | HB 17 | TELECONFERENCED | |
+ | TELECONFERENCED | ||
+= | HB 99 | TELECONFERENCED | |
HB 17-CONTRACEPTIVES COVERAGE:INSURE;MED ASSIST 3:16:15 PM CHAIR SUMNER announced that the first order of business would be HOUSE BILL NO. 17, "An Act relating to insurance coverage for contraceptives and related services; relating to medical assistance coverage for contraceptives and related services; and providing for an effective date." 3:16:35 PM REPRESENTATIVE CARRICK introduced HB 17. She stated that currently there are 28 states which require health insurance plans regulated by the state to cover contraceptive prescription drugs and devises, as laid out in the 2010 federal Affordable Care Act. Furthermore, 22 states and the District of Columbia ensure women can receive at one time a 12-month extended supply of contraception. She stated that HB 17 would put language into statute which aligns with the federal contraceptive coverage guarantee. It also allows up to a 12-month supply of prescription contraceptives. She explained that this would allow women in rural communities and those who work extended shifts in remote locations a continuous supply of contraception. REPRESENTATIVE CARRICK stated that studies show that providing a one-year supply of prescription contraceptives compared to a 3- month supply reduces unintended pregnancies by 30 percent and drops the likelihood of abortion by 46 percent. She argued that the proposed legislation would also save the state money and pointed out a prior fiscal note had estimated an annual savings of $1.35 million because of the reduction in unplanned pregnancies. She pointed out the three, zero fiscal notes attached to the bill. REPRESENTATIVE CARRICK pointed out that currently obtaining contraception can be time consuming; however, she maintained that improved access would mean improved health for women and families. She stated that the proposed legislation would take away insurance coverage as a barrier to access. She added that the bill could also protect women in the presence of domestic violence, in terms of contraceptive cohesion. She argued the benefits of contraception for family and societal health and urged support for the bill. She advised that the emergency contraception language has been removed from the bill. 3:20:54 PM CHERIE BOWMAN, Staff, Representative Ashley Carrick, Alaska State Legislature, on behalf of Representative Carrick, prime sponsor, paraphrased the sectional analysis of HB 17 [copy included in the committee packet] which read as follows [original punctuation provided]: Section 1 AS 21.42.427. Coverage for contraceptives. Amends AS 21.42 by adding a new section which (1) requires a health care insurer to provide coverage for prescription contraceptives and medical services necessary for those products or devices; (2) requires reimbursement to a health care provider or dispensing entity for dispensing prescription contraceptives intended to last for a 12-month period for subsequent dispensing; (3) prevents an insurer from offsetting the costs of compliance; (4) prevents an insurer from restricting or delaying coverage for contraceptives; (5) if the provider recommends a particular service or FDA-approved item based on a determination of medical necessity, the plan or issuer must cover that service or item without cost sharing; and (6) exempts religious employers if certain criteria are met. MS. BOWMAN added that subsection (d) [in paragraph (B)] would set out cost containment incentives, promoting the use of generic, low-cost medication and health care providers who offer services at a lower rate. As a cost containment strategy, she said that this gives insurers the ability to direct patients towards generics. She stated that when the lower cost contraception is not available, subsection (f) would allow an alternative or equivalent version of the contraceptive be given to the insured, and subsection (h) would allow a religious exemption. MS. BOWMAN continued paraphrasing the sectional analysis, which read as follows [original punctuation provided]: Section 2 AS 29.10.200. Limitation of home rule powers. Amends AS 29.10.200 by adding a provision applying to home rule municipalities. Section 3 AS 29.20.420. Health insurance policies. Amends AS 29.20 by adding a new section clarifying that municipal health care insurance plans that are self-insured are subject to the requirements of sec. 1. 3:23:19 PM MS. BOWMAN continued paraphrasing the sectional analysis, which read as follows [original punctuation provided]: Section 4 AS 39.30.090. Procurement of group insurance. Clarifies that a group health insurance policy covering employees of a participating governmental unit is subject to the requirements of sec. 1. Section 5 AS 39.30.091. Authorization for self-insurance and excess loss insurance. Clarifies that a self-insured group medical plan covering active state employees provided under this section is subject to the requirements of sec. 1. Section 6 AS 47.07.065. Payment for prescribed drugs. Requires the Department of Health to pay for prescription contraceptives intended to last for a 12 month period for subsequent dispensing for eligible recipients of medical assistance, if prescribed to and requested by the recipient, as well as medical services necessary for those products or devices. Section 7 Uncodified law - applicability Requires the Department of Health to immediately amend and submit for federal approval a state plan for medical assistance coverage consistent with sec. 6 of this Act. Section 8 Uncodified law - applicability Makes sec. 6 of the Act conditional on the approval required under sec. 7 of the Act. Section 9 If, under sec. 8 of this Act, sec. 6 of this Act takes effect, it takes effect on the day after the date the revisor of statutes receives notice from the commissioner of health under sec. 8 of this Act. 3:25:08 PM REPRESENTATIVE PRAX questioned whether this would not prevent insurers from including the cost of compliance in their general insurance rates. REPRESENTATIVE CARRICK expressed the understanding that this is correct. She deferred the question to the Division of Insurance. 3:26:12 PM SARAH BAILEY, Insurance Specialist, Division of Insurance, Department of Commerce, Community, and Economic Development, expressed the understanding that the proposed legislation would not allow insurers to adjust cost shares, such as deductibles and copayments; therefore, the expectation is it would be applied to the premium, with some cost bidding. She notified the committee that under federal law currently insurers cannot apply deductibles or cost sharing on contraceptives. REPRESENTATIVE PRAX, with a follow up for clarification, expressed the opinion that Section 5 of the proposed legislation would not affect any additional insurance coverage. MS. BAILEY expressed agreement that this would be highly unlikely. REPRESENTATIVE CARRICK concurred. 3:29:23 PM REPRESENTATIVE SADDLER, concerning remote work, questioned whether individuals seeking contraception would be away [from a doctor or pharmacist] for this extensive amount of time. REPRESENTATIVE CARRICK responded that one of the major challenges the legislation seeks to address for Alaskan women is that prescription pick-up time is limited. There is also the challenge of having a doctor's appointment or making a visit to a pharmacist within short timeframes. She pointed out that this would be considering the time for travel back and forth to work, especially when women do not have access to a pharmacy on a regular basis. She expressed the opinion that this access should be as smooth as possible. REPRESENTATIVE SADDLER questioned whether women in rural Alaska would have to travel to pick up any prescription drugs. REPRESENTATIVE CARRICK responded that before receiving any prescription drugs, women would need access to a provider. She stated that some prescriptions can be delivered in the mail; however, in rural Alaska mail service is known to be unreliable. In response to a follow-up question concerning the justification for a prescription for a full year's worth of contraception, she expressed the opinion that a year is a reasonable amount of time and deferred to a pharmacist to confirm that the contraceptives would be safe in this dosage. She added that Alaskan women have requested this. In response to a follow-up question, she answered that a prescription of three months or six months would be better than the current situation; however, unless there is a strong medical reason, she suggested that there should not be a limitation. 3:33:52 PM REPRESENTATIVE CARRICK, in response to a question from Representative Wright, stated that the proposed legislation would address women who come and go from rural areas of the state. She added that women in urban parts of the state also need these prescriptions to help control medical conditions, such as endometriosis. 3:35:46 PM CHAIR SUMNER announced that HB 17 was held over.