INSURANCE PREMIUM DISCOUNTS H.B. 4466 (S-3): FLOOR ANALYSIS
House Bill 4466 (Substitute S-3 as reported by the Committee of the Whole) Sponsor: Representative Gerald Law
House Committee: Insurance
Senate Committee: Financial Services
The bill would amend the Insurance Code to provide that, if uniformly applied to all its insureds, an insurer could establish and maintain a premium discount plan using factors in addition to those currently permitted by the Code, if the plan were consistent with the purposes of the Insurance Code and reflected reasonably anticipated reductions in losses or expenses. An insurer would have to provide written notification of a premium discount plan’s provisions, including any limitations on the insured’s ability to select health care providers, facilities, or materials. (The written notice could be included in the insured’s policy.)
The bill would not affect the Code’s requirement that an insurer pay all reasonable charges. Proposed MCL 500.2110a Legislative Analyst: P. Affholter
The bill would not affect the regulatory workload of the Department of Commerce or have a fiscal impact on the State or local governmental units.
Date Completed: 11-8-95 Fiscal Analyst: K. Lindquist
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This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.