05/03/2006 08:30 AM House FINANCE

CS FOR SENATE BILL NO. 289(FIN)                                                                                               
                                                                                                                                
     "An Act relating  to the payment of  insurer examination                                                                   
     expenses,  to the regulation  of managed care  insurance                                                                   
     plans,    to   actuarial    opinions   and    supporting                                                                   
     documentation  for  an  insurer,   to  insurance  firms,                                                                   
     managing     general     agents,     and     third-party                                                                   
     administrators,   to   eligibility  of   surplus   lines                                                                   
     insurers,  to prompt  payment of  health care  insurance                                                                   
     claims, to required notice  by an insurer, to individual                                                                   
     deferred  annuities, to mental  health benefits  under a                                                                   
     health  care  insurance  plan,  to  the  definitions  of                                                                   
     'title insurance  limited producer'  and of  other terms                                                                   
     used  in  the  title  regulating  the  practice  of  the                                                                   
     business  of insurance,  and  to small  employer  health                                                                   
     insurance;   repealing   the   Small   Employer   Health                                                                   
     Reinsurance  Association; making conforming  amendments;                                                                   
     and providing for an effective date."                                                                                      
                                                                                                                                
LINDA HALL,  DIRECTOR, DIVISION  OF INSURANCE, DEPARTMENT  OF                                                                   
COMMERCE,  COMMUNITY AND ECONOMIC  DEVELOPMENT, related  that                                                                   
the  bill  serves four  purposes.    It gives  protection  to                                                                   
individuals  in the area  of health  insurance and  annuities                                                                   
and provides  for prompt payment  of claims.  It  adopts NAIC                                                                   
standards so consumers  will not be excessively  charged when                                                                   
they choose  not to  resume services.   It repeals  the small                                                                   
employer  reinsurance association.   The  bill also  provides                                                                   
for  the  addition  of  actuarial  opinion  requirements  for                                                                   
domestic  insurers.   It  changes  licensing  language to  be                                                                   
consistent  with  state  standards,   allows  for  increasing                                                                   
electronic communication, and changes some definitions.                                                                         
                                                                                                                                
Co-Chair Meyer noted  the zero fiscal note.  He  asked if the                                                                   
Labor and Commerce Committee agrees  with the bill.  Ms. Hall                                                                   
replied that  Labor and  Commerce sponsored  the bill  at her                                                                   
request.                                                                                                                        
                                                                                                                                
9:02:17 AM                                                                                                                    
                                                                                                                                
Representative Foster  MOVED to REPORT CSSB 289  (FIN) out of                                                                   
Committee   with    individual   recommendations    and   the                                                                   
accompanying fiscal  note.  There being NO  OBJECTION, it was                                                                   
so ordered.                                                                                                                     
                                                                                                                                
CSSB  289 (FIN)  was REPORTED  out  of Committee  with a  "no                                                                   
recommendation"  and   with  zero  fiscal  note   #1  by  the                                                                   
Department of Commerce, Community and Economic Development.                                                                     
                                                                                                                                
9:03:43 AM