NOTE: As provided in LFC policy, this report is intended for use by the standing finance committees of the legislature.  The Legislative Finance Committee does not assume responsibility for the accuracy of the information in this report when used in any other situation.



Only the most recent FIR version, excluding attachments, is available on the Intranet. Previously issued FIRs and attachments may be obtained from the LFC office in Suite 101 of the State Capitol Building North.





F I S C A L I M P A C T R E P O R T





SPONSOR: Maes DATE TYPED: 03/06/01 HB
SHORT TITLE: Minimum Health Care Protection Act SB 439/aSFL#1
ANALYST: Valenzuela


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY01 FY02 FY01 FY02
NFI



(Parenthesis ( ) Indicate Expenditure Decreases)



SOURCES OF INFORMATION



Public Regulation Commission (PRC)

Health Policy Commission (HPC)

Attorney General's Office (AG)



SUMMARY



Synopsis of SFl#1 Amendment



SB439/aSFL#1 deletes the section of the bill that does not allow a carrier, agent or broker to enroll an individual or group member in the comprehensive insurance pool (CHIP) or the health insurance alliance if that person is eligible for a policy under the Minimum Healthcare Protection Act.



SB 439/aSFL#1 will allow a person who needs the higher level of health care benefits to acquire it if they can afford to do so.



Synopsis of Original Bill



SB 439 eliminates the six-month waiting period of the Minimum Healthcare Protection Act and clarifies the criteria to apply for small group rate and renewability.



SB 439 prohibits New Mexico insurance carriers, agents or brokers from allowing a group, or an individual, to enroll in an individual policy or plan through the NM Comprehensive Health Insurance Pool or NM Health Insurance Alliance if these people would be eligible under a group policy under this act.







SB 439 also does the following:



Significant Issues



The industry supports SB 439 and claims that it will allow them to offer coverage to more consumers. The consumer groups claim that this bill will not affect the number of people who are uninsured, but will increase the number who are "under insured."



RELATIONSHIP



Relates to HB275, Small Employers Catastrophic Group Health



OTHER SUBSTANTIVE ISSUES



The HPC provided the following:

POSSIBLE QUESTIONS



Why does SB 439 not allow a group or an individual to enroll in a plan through the CHIPs or Alliance programs if they are eligible for a group policy under SB 439? The CHIPs and Alliance programs may be better coverage and more suited to the consumer's need.



MV/ar