CONTINUE HEALTH COVERAGE FOR STUDENTS

ON LEAVE DUE TO ILLNESS OR INJURY

House Bills 5815 and 5816

Sponsor:  Rep. Phil Pavlov

Committee:  Insurance

Complete to 6-14-06

A REVISED SUMMARY OF HOUSE BILLS 5815 AND 5816 AS INTRODUCED 3-2-06

The bills would require that health care coverage for dependent children who are full-time or part-time students be continued in the event the covered student takes a leave of absence from school due to illness or injury.  Coverage would continue for 12 months from the last day of attendance in school or until the dependent reaches the age at which coverage would otherwise terminate, whichever is shorter.

The dependent student's physician would need to certify in writing to the insurer, health maintenance organization, or to Blue Cross Blue Shield of Michigan that the leave of absence is medically necessary.  Coverage would have to be provided at the same rate as charged when the student was enrolled.  The dependent child would have to meet all other eligibility requirements.

House Bill 5815 would amend the Insurance Code (MCL 500.2264a) to apply to commercial health insurers. House Bill 5816 would amend the Nonprofit Health Care Corporation Reform Act (MCL 550.1409a) to apply to Blue Cross Blue Shield of Michigan.

FISCAL IMPACT:

There is no significant fiscal impact on the State of Michigan or its local units of government.

                                                                                           Legislative Analyst:   Chris Couch

                                                                                                  Fiscal Analyst:   Richard Child

■ This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.