PRIOR PRINTER'S NOS. 1122, 1242 PRINTER'S NO. 1439
No. 1016 Session of 1993
INTRODUCED BY SCANLON, BELAN, AFFLERBACH, STAPLETON, O'PAKE,
JONES, MUSTO, FATTAH, LINCOLN, SCHWARTZ, REIBMAN AND RHOADES,
APRIL 27, 1993
AS AMENDED ON THIRD CONSIDERATION, JUNE 8, 1993
AN ACT
1 Amending the act of April 9, 1929 (P.L.177, No.175), entitled
2 "An act providing for and reorganizing the conduct of the
3 executive and administrative work of the Commonwealth by the
4 Executive Department thereof and the administrative
5 departments, boards, commissions, and officers thereof,
6 including the boards of trustees of State Normal Schools, or
7 Teachers Colleges; abolishing, creating, reorganizing or
8 authorizing the reorganization of certain administrative
9 departments, boards, and commissions; defining the powers and
10 duties of the Governor and other executive and administrative
11 officers, and of the several administrative departments,
12 boards, commissions, and officers; fixing the salaries of the
13 Governor, Lieutenant Governor, and certain other executive
14 and administrative officers; providing for the appointment of
15 certain administrative officers, and of all deputies and
16 other assistants and employes in certain departments, boards,
17 and commissions; and prescribing the manner in which the
18 number and compensation of the deputies and all other
19 assistants and employes of certain departments, boards and
20 commissions shall be determined," PROVIDING FOR FEES PAID BY <--
21 HEALTH CARE PROVIDERS; AND further providing for the review
22 of financial solvency of insurers.
23 The General Assembly of the Commonwealth of Pennsylvania
24 hereby enacts as follows:
25 SECTION 1. THE ACT OF APRIL 9, 1929 (P.L.177, NO.175), KNOWN <--
26 AS THE ADMINISTRATIVE CODE OF 1929, IS AMENDED BY ADDING A
27 SECTION TO READ:
1 SECTION 610-A.1. FEES PAID BY HEALTH CARE PROVIDERS.--(A)
2 THE ADMINISTRATION OF THE PORTIONS OF THE ACT OF OCTOBER 15,
3 1975 (P.L.390, NO.111), KNOWN AS THE "HEALTH CARE SERVICES
4 MALPRACTICE ACT," WHICH RELATE TO THE ARBITRATION PANELS FOR
5 HEALTH CARE SHALL BE FUNDED FROM ANNUAL FEES CHARGED TO HEALTH
6 CARE PROVIDERS PRACTICING IN THIS COMMONWEALTH AND PAYABLE IN AN
7 AMOUNT DETERMINED BY THE AGENCY IN THE MANNER PROVIDED FOR IN
8 THIS SECTION.
9 (B) THE FEES AUTHORIZED BY THIS SECTION SHALL BE BASED ON
10 THE COST INCURRED BY THE ARBITRATION PANELS FOR HEALTH CARE IN
11 CONCILIATING AND SETTLING CLAIMS. UNLESS OTHERWISE DIRECTED BY
12 THE ADMINISTRATOR, THE FEES SHALL BE COMPUTED AND COLLECTED IN
13 THE SAME MANNER AS THE SURCHARGE LEVIED UNDER SECTION 701 OF THE
14 "HEALTH CARE SERVICES MALPRACTICE ACT."
15 (C) ANNUAL FEES COLLECTED UNDER THIS SECTION SHALL BE
16 DEPOSITED INTO A RESTRICTED ACCOUNT IN THE GENERAL FUND. ALL
17 MONEYS PLACED IN SAID RESTRICTED ACCOUNT ARE APPROPRIATED WITH
18 THE APPROVAL OF THE GENERAL ASSEMBLY TO THE ARBITRATION PANELS
19 FOR HEALTH CARE FOR THE PURPOSE OF IMPLEMENTING THE "HEALTH CARE
20 SERVICES MALPRACTICE ACT." MONEYS COLLECTED PRIOR TO THE
21 EFFECTIVE DATE OF THIS AMENDATORY ACT AND REMAINING IN ANY
22 RESTRICTED ACCOUNT ESTABLISHED BY THE ARBITRATION PANELS FOR
23 HEALTH CARE UNDER THE "HEALTH CARE SERVICES MALPRACTICE ACT" MAY
24 ALSO BE USED TO PAY EXPENSES OF THE AGENCY.
25 Section 1 2. Section 612-A introductory paragraph and <--
26 (1)(xviii) of the act of April 9, 1929 (P.L.177, No.175), known <--
27 as The Administrative Code of 1929, amended July 1, 1990
28 (P.L.277, No.67), are amended and the section is amended by
29 adding a subsection and a clause to read:
30 Section 612-A. Insurance Department.--(a) The Insurance
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1 Department is authorized to charge fees for the following
2 purposes and in the following amounts:
3 (1) Insurance companies, associations or
4 exchanges:
5 * * *
6 (xviii) Copy of any paper filed with
7 [department on a per/page basis... .25]
8 department on a per/page basis... 1.00
9 * * *
10 (9) Financial Solvency of Insurers:
11 (i) Every domestic and foreign insurance
12 company, association or exchange, title
13 insurance company, fraternal benefit
14 society, hospital plan corporation,
15 professional health service plan
16 corporation, health maintenance
17 organization, preferred provider
18 organization or other entity licensed
19 to transact the business of insurance
20 in Pennsylvania shall pay within sixty
21 (60) days of billing date an annual
22 financial regulation fee for analysis of
23 its financial condition.............. $.0018
24 per thousand
25 dollars of
26 total admit-
27 ted assets
28 or $250,
29 whichever
30 amount is
19930S1016B1439 - 3 -
1 greater
2 (b) Beginning July 1, 1993, and thereafter, all moneys
3 collected by the Insurance Department under subsection (a)(9)(i)
4 shall be paid into the Insurance Monitoring and Activities
5 Augmentation Account, which is hereby established and which
6 shall be a special restricted account within the General Fund.
7 Moneys in the Insurance Monitoring and Activities Augmentation
8 Account are hereby appropriated upon approval by the Governor to
9 the Insurance Department on a continuing basis and shall be used
10 to support the activities of the Insurance Department relating
11 to monitoring and solvency activities related to insurers.
12 Assessments made under subsection (a)(9)(i) shall not be
13 considered burdens and prohibitions under section 212 of the act
14 of May 17, 1921 (P.L.789, No.285), known as "The Insurance
15 Department Act of 1921."
16 Section 2. This act shall take effect immediately. <--
17 SECTION 3. THIS ACT SHALL TAKE EFFECT AS FOLLOWS: <--
18 (1) THE ADDITION OF SECTION 610-A.1 OF THE ACT SHALL
19 TAKE EFFECT IN 60 DAYS.
20 (2) THE AMENDMENT OF SECTION 612-A OF THE ACT SHALL TAKE
21 EFFECT IMMEDIATELY.
22 (3) THIS SECTION SHALL TAKE EFFECT IMMEDIATELY.
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