SENATE BILL 418

47th legislature - STATE OF NEW MEXICO - first session, 2005

INTRODUCED BY

Carlos R. Cisneros

AN ACT

RELATING TO HEALTH CARE; PROVIDING FOR MIDWIFE RISK INSURANCE COVERAGE; AMENDING AND ENACTING SECTIONS OF THE NMSA 1978.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     Section 1. A new section of Chapter 15, Article 7 NMSA 1978 is enacted to read:

     "[NEW MATERIAL] MIDWIFE RISK INSURANCE COVERAGE.--

          A. Two or more midwives may create or enter into an association, cooperative or mutual alliance to voluntarily purchase risk insurance coverage offered pursuant to Section 15-7-3 NMSA 1978.

          B. A separate account shall be maintained for an association, cooperative or mutual alliance that voluntarily elects to purchase risk insurance coverage pursuant to Section 15-7-3 NMSA 1978.

          C. As used in this section, "midwife" means a licensed midwife who is licensed through the department of health or a certified nurse-midwife licensed through the board of nursing and the department of health."

     Section 2. Section 15-7-2 NMSA 1978 (being Laws 1978, Chapter 166, Section 7, as amended) is amended to read:

     "15-7-2. RISK MANAGEMENT DIVISION.--

          A. There is established a "risk management division" of the general services department. The director of the risk management division shall be appointed by the secretary of general services. The director shall be knowledgeable and experienced in general insurance practices. The director shall be responsible for the acquisition and administration of all insurance purchased by the state. Except as provided by this section, no state agency may procure any kind of insurance other than through the risk management division.

          B. The risk management division shall apportion to each state agency, association, cooperative or mutual alliance as referenced in Section 1 of this 2005 act its contributions toward the purchase of insurance or for the providing of coverage for any risk not insured. The amount of contribution by each agency, association, cooperative or mutual alliance as referenced in Section 1 of this 2005 act shall be determined by the risk management division and shall reflect the respective risks of each agency, association, cooperative or mutual alliance as referenced in Section 1 of this 2005 act. All contributions toward the purchase of insurance or for the coverage of any risk not insured shall be paid into the public liability fund, the workers' compensation retention fund, the public property reserve fund or the group self-insurance fund, as appropriate. The department of finance and administration may collect or transfer funds from each agency, association, cooperative or mutual alliance as referenced in Section 1 of this 2005 act to cover insurance or other costs, pursuant to the risk management division's instructions.

          C. The director, upon a finding that efficiency and economy so require, may authorize any state agency to purchase insurance for, or otherwise cover, vision, dental, any group or individual health, life, accidental death and dismemberment or disability coverage. Any authorization granted shall be conditioned upon the prior approval by the director of any policy to be purchased and the premium to be paid by the agency."

- 3 -