California Senate Committee Passes Bill to Let Insurance Commissioner Review Insurance Rate Hikes

The California Senate Appropriations Committee passed a measure 6-3 that would give the state's insurance commissioner the authority to modify or reject "excessive" health insurance rate increases, according to an Insurance News Net report.

The bill met opposition last week when the State Department of Finance announced that the first year of the bill's implementation would cost approximately $57.7 million. Most of those expenses would stem from actuarial, legal, information technology and administration staff costs.

According to the report, California could receive up to $6.2 million in federal grants to implement rate review provisions required by the Affordable Care Act. The Senate Health Committee advanced the bill last month, and the legislature now has until the end of the session on Sept. 9 to pass it. If the legislature passes the bill, California Gov. Jerry Brown will have 30 days to sign it.

Related Articles on Billing, Coding and Collections:
Health Reform Law to Drastically Cut Number of Uninsured Wisconsin Residents
LA Times: California Should Have Power to Modify, Reject Insurance Premium Increases
Outsourcing Key Areas of Your Business Office: Q&A With Pinnacle III Executives

Copyright © 2024 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.

 

Featured Webinars

Featured Whitepapers

Featured Podcast