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06/03/2024 09:55 AM
Pennsylvania House of Representatives
https://www.legis.state.pa.us/cfdocs/Legis/CSM/showMemoPublic.cfm?SPick=20130&chamber=H&cosponId=13610
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House Co-Sponsorship Memoranda

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House of Representatives
Session of 2013 - 2014 Regular Session

MEMORANDUM

Posted: November 1, 2013 09:48 AM
From: Representative Bryan Barbin
To: All House members
Subject: Multiple Employer Welfare Arrangements
 
In the near future I will be re-introducing legislation (former HB 848) developed by the National Association Insurance Commissioners (NAIC), which will prevent the operation of illegal health insurers, including illegal multiple employer welfare arrangements (MEWAs), in the Commonwealth. The legislation will protect consumers from illegal operations and ensure that claims for services rendered by health care providers will be satisfied.

The legislation will enlist the assistance of licensees and insurance professionals, including agents and brokers, in combating illegal operations. Licensees will act as an early warning system, and will be expected to make reports of illegal activity when the licensee knows that a questionable health insurance product is or is about to be offered for sale in this state. The legislation details the circumstances under which a licensee should know of the offering. In addition, the legislation requires licensees to exercise due diligence when considering whether to do business with a health plan.

As Pennsylvania and the country move toward full implementation of health care reform, protection of consumers and their health insurance must be given the highest priority. Reports of fraudulent health insurance schemes have surfaced in various parts of the country, and state and federal officials have issued several warnings. This legislation will address these concerns.

Previous co-sponsors of this legislation were: DeLUCA , FABRIZIO , PASHINSKI , V. BROWN, CALTAGIRONE , GOODMAN, HALUSKA , JOSEPHS , KORTZ , KULA , MATZIE and READSHAW

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Introduced as HB1850