PRINTER'S NO. 1176
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
961
Session of
2015
INTRODUCED BY LONGIETTI, HARKINS, COHEN, KOTIK, McNEILL, THOMAS,
BRADFORD AND MURT, APRIL 10, 2015
REFERRED TO COMMITTEE ON INSURANCE, APRIL 10, 2015
AN ACT
Amending the act of December 15, 1982 (P.L.1291, No.292),
entitled "An act to provide for the reasonable
standardization and minimum loss ratios of coverage and
simplification of terms and benefits of group medicare
supplement accident and health insurance policies or group
subscriber contracts of health plan corporations and
nonprofit health service plans; to facilitate public
understanding and comparison of such policies; to eliminate
provisions contained in such policies which may be misleading
or confusing in connection with the purchase thereof or with
the settlement of claims; and to provide for full disclosure
in the sale of such coverages to persons eligible for
medicare by reason of age," providing for the return of
premium funds under certain circumstances.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 8 of the act of December 15, 1982
(P.L.1291, No.292), known as the Medicare Supplement Insurance
Act, is amended to read:
Section 8. Requirements for replacement.
(a) Application or enrollment forms shall include a question
designed to elicit information as to whether a certificate to be
issued under a medicare supplement policy is intended to replace
any other accident and health insurance presently in force. A
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supplementary application or other form to be signed by the
applicant containing such a question may be used.
(b) Upon determining that a sale will involve replacement,
an insurer, other than a direct response insurer, or its agent,
shall furnish the applicant, prior to issuance or delivery of
the certificate, a notice designed to inform the applicant of
the essential differences in coverage on a form consistent with
the then current model notification form adopted by the National
Association of Insurance Commissioners. One copy of such notice
shall be retained by the applicant and an additional copy signed
by the applicant shall be retained by the insurer. A direct
response insurer shall deliver the notice to the applicant upon
issuance of the certificate.
(c) An insurer shall refund the balance of any premium paid
under a Medicare supplement policy upon receipt of proof from
the insured that other insurance coverage was obtained.
Section 2. This act shall take effect immediately.
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