HB00017WMS

HOUSE WAYS AND MEANS COMMITTEE SUBSTITUTE FOR

HOUSE BILL 17

52nd legislature - STATE OF NEW MEXICO - first session, 2015

AN ACT

RELATING TO HEALTH COVERAGE; ENACTING NEW SECTIONS OF THE HEALTH CARE PURCHASING ACT, THE NEW MEXICO INSURANCE CODE, THE HEALTH MAINTENANCE ORGANIZATION LAW AND THE NONPROFIT HEALTH CARE PLAN LAW TO ESTABLISH HEALTH CARE COVERAGE IDENTIFICATION CARD REQUIREMENTS.

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

SECTION 1. A new section of the Health Care Purchasing Act is enacted to read:

"[NEW MATERIAL] IDENTIFICATION CARDS--REQUIREMENTS--TIMELY ISSUANCE AND RENEWAL--RULEMAKING.--

A. A group health plan offering coverage pursuant to this section shall make available or provide an identification card to the primary insured. The group health plan may also make available or provide identification cards to individuals covered under the primary insured's coverage. The identification card shall contain the following data:

(1) the card issuer identifier;

(2) the name of the cardholder;

(3) the cardholder's identification number; and

(4) the group health plan number.

B. A group health plan shall provide each primary insured a new identification card issued pursuant to this section according to the following schedule:

(1) within thirty days of a group health plan's effective date; and

(2) no later than thirty days after the group health plan receives notice of a change in any information that an identification card is required to contain pursuant to Subsection A of this section.

C. By July 1, 2016, the secretary of general services shall consult with the superintendent of insurance and adopt and promulgate rules, that are identical to the rules adopted by the office of superintendent of insurance pursuant to Sections 2, 3, 4 and 5 of this 2015 act, to establish standards for identification cards issued pursuant to this section. In adopting these rules, the secretary shall consider the following factors:

(1) state and national industry standards for machine readability of identification cards;

(2) the cost associated with issuing machine-readable identification cards;

(3) the feasibility of issuing machine-readable identification cards; and

(4) the projected utilization of the machine-readable portions of identification cards.

D. The provisions of this section shall not apply to group health coverage intended to supplement major medical group-type coverage such as medicare supplement, long-term care, disability income, specified disease, accident-only, hospital indemnity or any other limited-benefit health insurance policy.

E. As used in this section, "identification card" means a card or other machine-readable format or medium, including bar codes or other electronic coding, that contains the information required pursuant to this section."

SECTION 2. A new section of Chapter 59A, Article 22 NMSA 1978 is enacted to read:

"[NEW MATERIAL] IDENTIFICATION CARDS--REQUIREMENTS--TIMELY ISSUANCE AND RENEWAL--RULEMAKING.--

A. An insurer that delivers, issues for delivery or renews an individual health insurance policy, health care plan or certificate of health insurance in this state shall make available or provide an identification card to the primary insured. The insurer may also make available or provide identification cards to individuals covered under the primary insured's coverage. The identification card shall contain the following data:

(1) the card issuer identifier;

(2) the name of the cardholder;

(3) the cardholder's identification number; and

(4) the policy, plan or certificate number.

B. An insurer shall provide each primary insured a new identification card issued pursuant to this section according to the following schedule:

(1) within thirty days of a health insurance policy's, health care plan's or certificate of health insurance's effective date; and

(2) no later than thirty days after the insurer receives notice of a change in any information that an identification card is required to contain pursuant to Subsection A of this section.

C. By July 1, 2016, the superintendent shall adopt and promulgate rules, that are identical to the rules that the secretary of general services adopts pursuant to Section 1 of this 2015 act, to establish standards for identification cards issued pursuant to this section. In adopting these rules, the superintendent shall consider the following factors:

(1) state and national industry standards for machine readability of identification cards;

(2) the cost associated with issuing machine- readable identification cards;

(3) the feasibility of issuing machine-readable identification cards; and

(4) the projected utilization of the machine- readable portions of identification cards.

D. The provisions of this section shall not apply to individual health insurance policies, plans or certificates intended to supplement major medical group-type coverage such as medicare supplement, long-term care, disability income, specified disease, accident-only, hospital indemnity or any other limited-benefit health insurance policy, plan or certificate.

SECTION 3. A new section of Chapter 59A, Article 23 NMSA 1978 is enacted to read:

"[NEW MATERIAL] IDENTIFICATION CARDS--REQUIREMENTS--TIMELY ISSUANCE AND RENEWAL--RULEMAKING.--

A. An insurer that delivers, issues for delivery or renews a group or blanket health insurance policy, health care plan or certificate of health insurance in this state shall make available or provide an identification card to the primary insured. The insurer may also make available or provide identification cards to individuals covered under the primary insured's coverage. The identification card shall contain the following information in a readily identifiable format on the face of the card and via electronic coding associated with the card:

(1) the card issuer identifier;

(2) the name of the cardholder;

(3) the cardholder's identification number; and

(4) the policy, plan or certificate number.

B. An insurer shall provide each primary insured a new identification card issued pursuant to this section according to the following schedule:

(1) within thirty days of a health insurance policy, health care plan or certificate of health insurance becoming effective; and

(2) no later than thirty days after the insurer receives notice of a change in any information that an identification card is required to contain pursuant to Subsection A of this section.

(1) state and national industry standards for machine readability of identification cards;

(2) the cost associated with issuing machine- readable identification cards;

(3) the feasibility of issuing machine- readable identification cards; and

(4) the projected utilization of the machine- readable portions of identification cards.

D. The provisions of this section shall not apply to a group or blanket policy, plan or contract intended to supplement major medical coverage such as medicare supplement, long-term care, disability income, specified disease, accident-only, hospital indemnity or any other limited-benefit health insurance policy.

SECTION 4. A new section of the Health Maintenance Organization Law is enacted to read:

"[NEW MATERIAL] IDENTIFICATION CARDS--REQUIREMENTS--TIMELY ISSUANCE AND RENEWAL--RULEMAKING.--

A. A carrier that delivers, issues for delivery or renews an individual or group health maintenance organization contract in this state shall make available or provide an identification card to the primary enrollee. The carrier may also make available or provide identification cards to individuals covered under the primary enrollee's coverage. The identification card shall contain the following data:

(1) the card issuer identifier;

(2) the name of the cardholder;

(3) the cardholder's identification number; and

(4) the health maintenance organization plan or contract number.

B. A carrier shall provide each primary enrollee a new identification card issued pursuant to this section according to the following schedule:

(1) within thirty days of a health maintenance organization contract's effective date; and

(2) no later than thirty days after the carrier receives notice of a change in any information that an identification card is required to contain pursuant to Subsection A of this section.

(1) state and national industry standards for machine readability of identification cards;

(2) the cost associated with issuing machine- readable identification cards;

(3) the feasibility of issuing machine- readable identification cards; and

(4) the projected utilization of the machine- readable portions of identification cards.

D. The provisions of this section shall not apply to an individual or group health maintenance organization contract intended to supplement major medical coverage such as medicare supplement, long-term care, disability income, specified disease, accident-only, hospital indemnity or any other limited-benefit health insurance contract.

SECTION 5. A new section of the Nonprofit Health Care Plan Law is enacted to read:

"[NEW MATERIAL] IDENTIFICATION CARDS--REQUIREMENTS--TIMELY ISSUANCE AND RENEWAL--RULEMAKING.--

A. An individual or group health care plan shall make available or provide an identification card to the primary subscriber. The health care plan may also make available or provide identification cards to individuals covered under the primary subscriber's coverage. The identification card shall contain the following data:

(1) the card issuer identifier;

(2) the name of the cardholder;

(3) the cardholder's identification number; and

(4) the health care plan number.

B. A health care plan shall provide each primary subscriber a new identification card issued pursuant to this section according to the following schedule:

(1) within thirty days of a health care plan's effective date; and

(2) no later than thirty days after the health care plan receives notice of a change in any information that an identification card is required to contain pursuant to Subsection A of this section.

(1) state and national industry standards for machine readability of identification cards;

(2) the cost associated with issuing machine- readable identification cards;

(3) the feasibility of issuing machine- readable identification cards; and

(4) the projected utilization of the machine- readable portions of identification cards.

D. The provisions of this section shall not apply to an individual or group health care plan intended to supplement major medical coverage such as medicare supplement, long-term care, disability income, specified disease, accident-only, hospital indemnity or any other limited-benefit health insurance health care plan.

SECTION 6. EFFECTIVE DATE.--The effective date of the provisions of this act is January 1, 2016.

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