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HB 239: "An Act relating to the annual report by the director of insurance; relating to the duty of the director of insurance to inform the public; relating to insurer filings for premium rates charged for an individual health care insurance plan; relating to investigatory hearings on insurer filings for premium rates charged for an individual health care insurance plan; relating to the duties and powers of the attorney general; and providing for an effective date."

00                             HOUSE BILL NO. 239                                                                          
01 "An Act relating to the annual report by the director of insurance; relating to the duty                                
02 of the director of insurance to inform the public; relating to insurer filings for premium                              
03 rates charged for an individual health care insurance plan; relating to investigatory                                   
04 hearings on insurer filings for premium rates charged for an individual health care                                     
05 insurance plan; relating to the duties and powers of the attorney general; and providing                                
06 for an effective date."                                                                                                 
07 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
08    * Section 1. The uncodified law of the State of Alaska is amended by adding a new section                          
09 to read:                                                                                                                
10       LEGISLATIVE INTENT. It is the intent of the legislature that, in implementing                                     
11 AS 21.51.405(f), added by sec. 6 of this Act, as a cost savings measure, the division of                                
12 insurance use software already in use by the Regulatory Commission of Alaska, or other state                            
13 agency, to publish nonconfidential filings.                                                                             
01    * Sec. 2. AS 21.06.110 is amended to read:                                                                         
02            Sec. 21.06.110. Director's annual report. As early in each calendar year as is                             
03       reasonably possible, the director shall prepare and deliver an annual report to the                               
04       commissioner, who shall notify the legislature that the report is available, showing,                             
05       with respect to the preceding calendar year,                                                                      
06                 (1)  a list of the authorized insurers transacting insurance in this state,                             
07       with a summary of their financial statement as the director considers appropriate;                                
08                 (2)  the name of each insurer whose certificate of authority was                                        
09       surrendered, suspended, or revoked during the year and the cause of surrender,                                    
10       suspension, or revocation;                                                                                        
11                 (3)  the name of each insurer authorized to do business in this state                                   
12       against which delinquency or similar proceedings were instituted and, if against an                               
13       insurer domiciled in this state, a concise statement of the facts with respect to each                            
14       proceeding and its present status;                                                                                
15                 (4)  a statement in regard to examination of rating organizations,                                      
16       advisory organizations, joint underwriters, and joint reinsurers as required by                                   
17       AS 21.39.120;                                                                                                     
18                 (5)  the receipt and expenses of the division for the year;                                             
19                 (6)  recommendations of the director as to amendments or                                                
20       supplementation of laws affecting insurance or the office of director;                                            
21                 (7)  statistical information regarding health insurance, including the                                  
22       number of individual and group policies sold or terminated in the state; this paragraph                           
23       does not authorize the director to require an insurer to release proprietary information;                         
24                 (8)  the annual percentage of health claims paid in the state that meets                                
25       the requirements of AS 21.36.495(a) and (d);                                                                      
26                 (9)  the total amount of contributions reported and the total amount of                                 
27       credit claimed under AS 21.96.070 and 21.96.075; [AND]                                                            
28                 (10)  the total number of public comments received under                                            
29       AS 21.51.405(b) and (e) and the director's efforts to improve public access to                                
30       information and facilitate public comment on individual health insurance rate                                 
31       filings before they become effective; and                                                                     
01                 (11)  other pertinent information and matters the director considers                                
02       proper.                                                                                                           
03    * Sec. 3. AS 21.06.115 is amended to read:                                                                         
04            Sec. 21.06.115. Duty to inform public. The director shall regularly inform the                             
05       public of matters concerning the purchase, price, coverage, benefits, rate increases,                         
06       and rights of insurance marketed in this state and make available information on                                  
07       availability of the services of the division of insurance and the opportunity for                             
08       public comment. The director shall prepare, publish, and revise as it becomes useful                          
09       or necessary to do so, an information pamphlet on insurance and the rights of a                                   
10       consumer of insurance and on how to take advantage of the right to public comment                           
11       and the services of the division of insurance.                                                                
12    * Sec. 4. AS 21.51.405(b) is amended to read:                                                                      
13            (b)  An insurer shall file with the director the premium rates charged for an                                
14       individual health care insurance plan before using them. A premium rate or premium                                
15       rate change must be on file with the director for a waiting period of at least 45 days                            
16       before the effective date of the premium rate. That period may be extended by the                                 
17       director or the insurer for an additional 15 days if, during the initial 45-day waiting                           
18       period, notice is given stating that additional time for consideration of the filing is                           
19       needed. The director shall provide public notice of a filing, and the public may                              
20       submit comments during the 45-day waiting period. Except as provided in (d) of                                
21       this section, a [A] filing may become effective at the end of the waiting period unless                       
22       disapproved by the director during the waiting period. If an insurer fails to provide                             
23       information requested by the director during the waiting period, the filing is                                    
24       considered withdrawn by the insurer, and the premium rate does not become effective.                              
25    * Sec. 5. AS 21.51.405(c) is amended to read:                                                                      
26            (c)  The director shall adopt regulations                                                                    
27                 (1)  establishing procedures for filing and use of rates; [AND]                                         
28                 (2)  specifying information that must be submitted in a filing required                                 
29       under (b) of this section; and                                                                                
30                 (3)  establishing procedures for investigatory hearings under (d)                                   
31       and (e) of this section.                                                                                      
01    * Sec. 6. AS 21.51.405 is amended by adding new subsections to read:                                               
02            (d)  The director shall hold an investigatory hearing under AS 21.06.170 -                                   
03       21.06.230 if an insurer seeks to increase the premium rate charged for an individual                              
04       health care insurance plan by 10 percent or more in a filing required under (b) of this                           
05       section. A filing that requires an investigatory hearing under this section may become                            
06       effective when an order is issued unless earlier disapproved by the director. If an                               
07       insurer fails to provide information requested by the director during the investigatory                           
08       hearing, the filing is considered withdrawn by the insurer, and the premium rate does                             
09       not become effective.                                                                                             
10            (e)  In setting and during an investigatory hearing under (d) of this section, the                           
11       director shall                                                                                                    
12                 (1)  provide public notice of the hearing by posting on the Alaska                                      
13       Online Public Notice System (AS 44.62.175);                                                                       
14                 (2)  invite the attorney general to participate on behalf of the public;                                
15                 (3)  allow the attorney general access to confidential information or                                   
16       records obtained by the director as part of the investigatory hearing;                                            
17                 (4)  invite public comment;                                                                             
18                 (5)  provide copies of all public comments received under (4) of this                                   
19       subsection to all parties to the hearing;                                                                         
20                 (6)  publish nonconfidential information relating to the investigatory                                  
21       hearing for the public.                                                                                           
22            (f)  The director shall make all nonconfidential information under this section                              
23       available online, including any nonconfidential filings made as part of an investigatory                          
24       hearing under (d) of this section.                                                                                
25            (g)  In this section, "nonconfidential information" means any information or                                 
26       record not designated as confidential under AS 21.06.060 or other state or federal law.                           
27    * Sec. 7. AS 44.23.020 is amended by adding a new subsection to read:                                              
28            (i)  The attorney general may participate as a party in an investigatory hearing                             
29       under AS 21.51.405(d) when the attorney general determines that participation is in                               
30       the public interest.                                                                                              
31    * Sec. 8. This Act takes effect January 1, 2017.