PRINTER'S NO. 1915
No. 1556 Session of 2007
INTRODUCED BY LONGIETTI, COHEN, EACHUS, FREEMAN, GEORGE, HARKINS, JOSEPHS, KIRKLAND, KORTZ, KOTIK, LEACH, MANDERINO, MARKOSEK, McGEEHAN, McILVAINE SMITH, SHIMKUS, SIPTROTH, WALKO, YOUNGBLOOD AND YUDICHAK, JUNE 14, 2007
REFERRED TO COMMITTEE ON INSURANCE, JUNE 14, 2007
AN ACT 1 Amending the act of May 17, 1921 (P.L.682, No.284), entitled "An 2 act relating to insurance; amending, revising, and 3 consolidating the law providing for the incorporation of 4 insurance companies, and the regulation, supervision, and 5 protection of home and foreign insurance companies, Lloyds 6 associations, reciprocal and inter-insurance exchanges, and 7 fire insurance rating bureaus, and the regulation and 8 supervision of insurance carried by such companies, 9 associations, and exchanges, including insurance carried by 10 the State Workmen's Insurance Fund; providing penalties; and 11 repealing existing laws," further providing for conditions 12 subject to which policies are to be issued; and providing for 13 health insurance coverage for certain children of insured 14 parents. 15 The General Assembly of the Commonwealth of Pennsylvania 16 hereby enacts as follows: 17 Section 1. Section 617(A)(3) and (9) of the act of May 17, 18 1921 (P.L.682, No.284), known as The Insurance Company Law of 19 1921, repealed and added May 25, 1951 (P.L.417, No.99) and 20 January 18, 1968 (1967 P.L.969, No.433), are amended to read: 21 Section 617. Conditions Subject to Which Policies Are to Be 22 Issued.--(A) No such policy shall be delivered or issued for 23 delivery to any person in this Commonwealth unless:
1 * * * 2 (3) it purports to insure only one person, except that a 3 policy may insure, originally or by subsequent amendment, upon 4 the application of an adult head of a family who shall be deemed 5 the policyholder, any two or more eligible members of that 6 family, including husband, wife, dependent children or any 7 children under a specified age which, except as provided under 8 section 617.1, shall not exceed nineteen years and any other 9 person dependent upon the policyholder; and 10 * * * 11 (9) A policy delivered or issued for delivery after January 12 1, 1968, under which coverage of a dependent of a policyholder 13 terminates at a specified age shall, with respect to an 14 unmarried child covered by the policy prior to the attainment of 15 the age of nineteen or except as provided under section 617.1, 16 the age of twenty-nine, who is incapable of self-sustaining 17 employment by reason of mental retardation or physical handicap 18 and who became so incapable prior to attainment of age nineteen 19 and who is chiefly dependent upon such policyholder for support 20 and maintenance, not so terminate while the policy remains in 21 force and the dependent remains in such condition, if the 22 policyholder has within thirty-one days of such dependent's 23 attainment of the limiting age submitted proof of such 24 dependent's incapacity as described herein. The foregoing 25 provisions of this paragraph shall not require an insurer to 26 insure a dependent who is a mentally retarded or physically 27 handicapped child where the policy is underwritten on evidence 28 of insurability based on health factors set forth in the 29 application or where such dependent does not satisfy the 30 conditions of the policy as to any requirement for evidence of 20070H1556B1915 - 2 -
1 insurability or other provisions of the policy, satisfaction of 2 which is required for coverage thereunder to take effect. In any 3 such case the terms of the policy shall apply with regard to the 4 coverage or exclusion from coverage of such dependent. 5 * * * 6 Section 2. The act is amended by adding a section to read: 7 Section 617.1. Health Insurance Coverage for Certain 8 Children of Insured Parents.--(A) An insurer that issues, 9 delivers, executes or renews health care insurance in this 10 Commonwealth, under which coverage of a child would otherwise 11 terminate at a specified age, shall, at the option of the 12 child's parent or guardian, provide coverage to a child of the 13 insured beyond that specified age, up through the age of twenty- 14 nine, provided that the child meet all of the following 15 requirements: 16 (1) Is not married. 17 (2) Has no dependents. 18 (3) Is a resident of this Commonwealth or is enrolled as a 19 full-time student at an institution of higher education in this 20 Commonwealth. 21 (4) Is not covered by another health insurance policy. 22 (B) An insured may exercise the option provided under 23 subsection (A) at any time during the term of the policy by 24 notice to the insurer. 25 (C) Employers shall not be required to contribute to any 26 increased premium charged by the insurer for the exercise of the 27 option provided under subsection (A), but the contributions may 28 be agreed to by the employer. 29 Section 3. This act shall take effect in 60 days. E24L40MSP/20070H1556B1915 - 3 -