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                                                        PRINTER'S NO. 37

THE GENERAL ASSEMBLY OF PENNSYLVANIA


SENATE BILL

No. 37 Session of 1989


        INTRODUCED BY HOLL, JANUARY 23, 1989

        REFERRED TO BANKING AND INSURANCE, JANUARY 23, 1989

                                     AN ACT

     1  Amending Title 40 (Insurance) of the Pennsylvania Consolidated
     2     Statutes, further regulating eligible hospital plan
     3     offerings.

     4     The General Assembly of the Commonwealth of Pennsylvania
     5  hereby enacts as follows:
     6     Section 1.  Section 6121 of Title 40 of the Pennsylvania
     7  Consolidated Statutes is amended to read:
     8  § 6121.  Eligible hospitals.
     9     Any hospital plan corporation may enter into contracts for
    10  the rendering of hospitalization to any of its subscribers only
    11  with hospitals operated by the Commonwealth, or its agencies, or
    12  by political subdivisions, or by corporations organized under
    13  the laws of this Commonwealth for hospital purposes, or with
    14  such other hospitals as are approved by the Department of Public
    15  Welfare. No hospital plan corporation may prevent any person
    16  covered by any of its plans from choosing freely among hospitals
    17  which have agreed to participate in the plan and abide by its
    18  terms. Before entering into any agreement with any hospital or

     1  with any insured, the hospital plan corporation shall establish
     2  terms and conditions that must be met by hospitals wishing to
     3  enter into an agreement with the hospital plan corporation, but
     4  these terms and conditions may not discriminate against or
     5  between hospitals.
     6     Section 2.  This act shall take effect in 60 days.
















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