SENATE BILL 385

50th legislature - STATE OF NEW MEXICO - first session, 2011

INTRODUCED BY

Timothy Z. Jennings

AN ACT

RELATING TO HEALTH INSURANCE; ENACTING NEW SECTIONS OF THE HEALTH CARE PURCHASING ACT, THE HEALTH MAINTENANCE ORGANIZATION LAW AND THE NEW MEXICO INSURANCE CODE TO REQUIRE COVERAGE FOR ORALLY ADMINISTERED ANTICANCER MEDICATIONS.

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] COVERAGE FOR ORALLY ADMINISTERED ANTICANCER MEDICATIONS.--

          A. Group health coverage, including any form of self-insurance, offered, issued or renewed under the Health Care Purchasing Act that provides coverage for cancer treatment shall provide coverage for a prescribed, orally administered anticancer medication that is used to kill or slow the growth of cancerous cells on a basis no less favorable than intravenously administered or injected cancer medications that are covered as medical benefits by the plan.

          B. This section does not prohibit a group health plan from requiring prior authorization for an orally administered anticancer medication. If an orally administered anticancer medication is authorized, the enrollee's out-of- pocket costs shall not be greater than the out-of-pocket costs for an intravenously administered anticancer medication."

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

     "[NEW MATERIAL] COVERAGE FOR ORALLY ADMINISTERED ANTICANCER MEDICATIONS.--

          A. An individual or group health insurance policy, health care plan or certificate of health insurance that is delivered, issued for delivery or renewed in this state and that provides coverage for cancer treatment shall provide coverage for a prescribed, orally administered anticancer medication that is used to kill or slow the growth of cancerous cells on a basis no less favorable than intravenously administered or injected cancer medications that are covered as medical benefits by the plan.

          B. This section does not prohibit an individual or group health insurance policy, health care plan or certificate of health insurance from requiring prior authorization for an orally administered anticancer medication. If an orally administered anticancer medication is authorized, the covered individual's out-of-pocket costs shall not be greater than the out-of-pocket costs for an intravenously administered anticancer medication."

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

     "[NEW MATERIAL] COVERAGE FOR ORALLY ADMINISTERED ANTICANCER MEDICATIONS.--

          A. A blanket or group health insurance policy or contract that is delivered, issued for delivery or renewed in this state and that provides coverage for cancer treatment shall provide coverage for a prescribed, orally administered anticancer medication that is used to kill or slow the growth of cancerous cells on a basis no less favorable than intravenously administered or injected cancer medications that are covered as medical benefits by the plan.

          B. This section does not prohibit a blanket or group health insurance policy or contract from requiring prior authorization for an orally administered anticancer medication. If an orally administered anticancer medication is authorized, the covered individual's out-of-pocket costs shall not be greater than the out-of-pocket costs for an intravenously administered anticancer medication."

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

     "[NEW MATERIAL] COVERAGE FOR ORALLY ADMINISTERED ANTICANCER MEDICATIONS.--

          A. An individual or group health maintenance organization contract that is delivered, issued for delivery or renewed in this state and that provides coverage for cancer treatment shall provide coverage for a prescribed, orally administered anticancer medication that is used to kill or slow the growth of cancerous cells on a basis no less favorable than intravenously administered or injected cancer medications that are covered as medical benefits by the plan.

          B. This section does not prohibit a health maintenance organization from requiring prior authorization for an orally administered anticancer medication. If an orally administered anticancer medication is authorized, the covered individual's out-of-pocket costs shall not be greater than the out-of-pocket costs for an intravenously administered anticancer medication."

     SECTION 5. A new section of Chapter 59A, Article 47 NMSA 1978 is enacted to read:

     "[NEW MATERIAL] COVERAGE FOR ORALLY ADMINISTERED ANTICANCER MEDICATIONS.--

          A. An individual or group health insurance policy, health care plan or certificate of health insurance that is delivered, issued for delivery or renewed in this state and that provides coverage for cancer treatment shall provide coverage for a prescribed, orally administered anticancer medication that is used to kill or slow the growth of cancerous cells on a basis no less favorable than intravenously administered or injected cancer medications that are covered as medical benefits by the plan.

          B. This section does not prohibit a nonprofit health plan from requiring prior authorization for an orally administered anticancer medication. If an orally administered anticancer medication is authorized, the covered individual's out-of-pocket costs shall not be greater than the out-of-pocket costs for an intravenously administered anticancer medication."

     SECTION 6. APPLICABILITY.--The provisions of this act apply to insurance policies that provide coverage for cancer treatment and that are delivered, issued for delivery, amended, renewed or continued in this state on or after January 1, 2012.

     SECTION 7. EFFECTIVE DATE.--The effective date of the provisions of this act is June 17, 2011.

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