PRINTER'S NO. 456
No. 451 Session of 1999
INTRODUCED BY SCHWARTZ, KASUNIC, TOMLINSON, COSTA, EARLL, MUSTO,
MELLOW, STOUT, WHITE, BODACK AND WAGNER, FEBRUARY 22, 1999
REFERRED TO BANKING AND INSURANCE, FEBRUARY 22, 1999
AN ACT
1 Prohibiting discrimination in health insurance on the basis of
2 genetic information or a request for genetic services.
3 The General Assembly of the Commonwealth of Pennsylvania
4 hereby enacts as follows:
5 Section 1. Short title.
6 This act shall be known and may be cited as the Genetic
7 Information Nondiscrimination in Health Insurance Act.
8 Section 2. Declaration of policy.
9 The General Assembly finds and declares as follows:
10 (1) New genetic discoveries have the potential to
11 improve medical care for many Pennsylvanians.
12 (2) Legitimate medical uses of genetic testing are
13 beneficial and should be encouraged.
14 (3) Genetic information is uniquely personal information
15 that should not be collected, retained or disclosed without
16 an individual's authorization.
17 (4) The improper collection, retention or disclosure of
18 genetic information can lead to significant harm to an
1 individual, including discrimination in health insurance.
2 (5) Current law does not adequately protect individuals
3 from discrimination in insurance on the basis of genetic
4 information.
5 Section 3. Definitions.
6 The following words and phrases when used in this act shall
7 have the meanings given to them in this section unless the
8 context clearly indicates otherwise:
9 "Genetic information." Information about the genes, gene
10 products or inherited characteristics of an individual.
11 "Genetic services." Health services provided to obtain,
12 assess and interpret genetic information for diagnostic and
13 therapeutic purposes and for genetic education and counseling.
14 "Health insurance agreement." An accident and health
15 insurance policy, contract or group insurance certificate issued
16 by an insurer.
17 "Insurer." Any legal entity engaged in the business of
18 insurance, including any individual, corporation, association,
19 reciprocal hospital company, nonprofit professional health
20 service plan, health maintenance organization, fraternal benefit
21 society, risk-bearing or nonrisk-bearing preferred provider
22 organization subject to the provisions of section 630 of the act
23 of May 17, 1921 (P.L.682, No.284), known as The Insurance
24 Company Law of 1921, or self-insured health plan not regulated
25 under the Employee Retirement Income Security Act of 1974
26 (Public Law 93-406, 88 Stat. 829).
27 Section 4. Discrimination prohibited.
28 An insurer may not:
29 (1) Deny, cancel, limit or refuse to renew a health
30 insurance agreement or vary the premiums, terms or conditions
19990S0451B0456 - 2 -
1 for a health insurance agreement for any participant,
2 beneficiary or applicant for coverage as a participant or
3 beneficiary:
4 (i) on the basis of genetic information; or
5 (ii) on the basis that the individual or a family
6 member of the individual has requested or received
7 genetic services.
8 (2) Request or require a participant, beneficiary or
9 applicant for coverage as a participant or beneficiary to
10 obtain or disclose genetic information about the individual
11 or a family member of the individual.
12 (3) Request or require a participant, beneficiary or
13 applicant for coverage as a participant or beneficiary to
14 reveal whether or not the individual or a family member of
15 the individual has obtained genetic information.
16 (4) Disclose any genetic information about an individual
17 or a family member of the individual without the explicit
18 written consent of the individual from whom the information
19 was derived.
20 Section 5. Penalties.
21 (a) General rule.--Any violation of this act by an insurer
22 shall be deemed an unfair insurance practice as defined in
23 section 5 of the act of July 22, 1974 (P.L.589, No.205), known
24 as the Unfair Insurance Practices Act, and shall be subject to
25 the penalties provided under that act.
26 (b) Cause of action.--Any individual who is harmed as a
27 result of a violation of this act shall have a civil cause of
28 action against the insurer whose violation caused the harm. In
29 any such action, the insurer may in the court's discretion be
30 liable for compensatory, consequential and punitive damages.
19990S0451B0456 - 3 -
1 Section 6. Enforcement.
2 The Insurance Commissioner shall have the same powers to
3 enforce this act as provided in the act of July 22, 1974
4 (P.L.589, No.205), known as the Unfair Insurance Practices Act.
5 Section 7. Effective date.
6 This act shall take effect in 60 days.
L16L40DMS/19990S0451B0456 - 4 -