Bill Text

Bill Information

PDF |Add To My Favorites |Track Bill | print page

SB-1046 Insurance: mental illness: developmental disabilities: coverage: penalties.(2013-2014)

SHARE THIS:share this bill in Facebookshare this bill in Twitter
SB1046:v97#DOCUMENT

Enrolled  August 05, 2014
Passed  IN  Senate  May 05, 2014
Passed  IN  Assembly  August 04, 2014
Amended  IN  Senate  April 08, 2014

CALIFORNIA LEGISLATURE— 2013–2014 REGULAR SESSION

Senate Bill No. 1046


Introduced by Senator Beall

February 18, 2014


An act to add Section 10144.53 to the Insurance Code, relating to insurance.


LEGISLATIVE COUNSEL'S DIGEST


SB 1046, Beall. Insurance: mental illness: developmental disabilities: coverage: penalties.
Existing law requires that health insurance policies provide coverage for the diagnosis and medically necessary treatment of severe mental illnesses of a person of any age and of serious emotional disturbances of a child, under the same terms and conditions applied to other medical conditions, as specified. Existing law requires health insurance policies to provide benefits for specified conditions, including coverage for behavioral health treatment, as defined, for pervasive developmental disorder or autism, as specified.
This bill would give the Insurance Commissioner the authority to assess administrative penalties for any violations of the above provisions, including any rules or orders adopted or issued based on violations of those provisions. The bill would also give the commissioner authority to assess a penalty for each patient harmed by a violation of the above provisions, including any rules or orders adopted or issued based on violations of those provisions, as a separate and distinct violation. The penalties would not exceed $2,500 for each violation, or for an ongoing and continuous violation, the penalty would not exceed $2,500 per day for as long as the violation continues.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 10144.53 is added to the Insurance Code, to read:

10144.53.
 (a) In addition to any other remedy permitted by law, the commissioner shall have the authority to assess administrative penalties as specified in this section against insurers for violations of Sections 10144.5 and 10144.51.
(b) Any person who violates Section 10144.5 or 10144.51, or who violates any rules or orders adopted or issued pursuant to this chapter based on a violation of Section 10144.5 or 10144.51, shall be liable for a penalty not to exceed two thousand five hundred dollars ($2,500) for each violation or, for a violation that is ongoing and continuous, not to exceed two thousand five hundred dollars ($2,500) for each day that the violation continues.
(c) Each patient harmed by a violation of Section 10144.5 or 10144.51, or any rules or orders adopted or issued pursuant to this chapter based upon a violation of Section 10144.5 or 10144.51, constitutes a separate and distinct violation subject to the penalties set forth in this section.
(d) The remedies provided by this section and by other sections of this code are not exclusive, and may be sought and employed in any combination to enforce this chapter.
(e) A penalty imposed pursuant to this section shall be imposed and determined by the commissioner in a proceeding conducted in accordance with Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code.