COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.: 1219-01
Bill No.: SB 289
Subject: Business and Commerce; Employees - Employers; Health Care; Insurance - Medical
Type: Original
Date: February 5, 2001
FISCAL SUMMARY
FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
None | |||
Total Estimated
Net Effect on All State Funds |
$0 | $0 | $0 |
FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
None | |||
Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
*Unknown income and expenditures annually would net to $0.
FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
Local Government | $0 | $0 | $0 |
Numbers within parentheses: ( ) indicate costs or losses.
This fiscal note contains 3 pages.
ASSUMPTION
Officials from the Department of Conservation and the Department of Transportation assume this proposal would not fiscally impact their agencies.
Missouri Consolidated Health Care Plan (HCP) officials state that anytime a group is up for rebid, insurers are able to produce claims reports to re-evaluate the group's rates. HCP states that insurers usually provide a copy to the group to seek other bids as well. HCP further states that insurers currently have the capability of producing claims reports so no fiscal impact is anticipated.
Officials from the Department of Insurance (INS) state that market conduct staff would include proposal in review of company files during examinations. INS anticipates that implementation of this proposal can be absorbed by existing staff.
Department of Social Services - Division of Medical Services (DMS) officials state that DMS would be affected by this proposal because it administers a managed care program which contracts with health maintenance organizations (HMOs) for the purpose of providing health care services through capitated rates. These HMOs would be subject to the regulations in this proposal. DMS assumes that any additional cost incurred by managed care contractors because of mandated Federal or State laws would increase the administrative costs included in future bids with the Medicaid program.
Oversight assumes that the HMOs have the capability of producing claims reports and there would be no fiscal impact.
Officials from the Department of Public Safety - Missouri State Highway Patrol did not respond to our fiscal impact request.
FISCAL IMPACT - State Government | FY 2002
(10 Mo.) |
FY 2003 | FY 2004 |
$0 | $0 | $0 |
FISCAL IMPACT - Local Government | FY 2002
(10 Mo.) |
FY 2003 | FY 2004 |
$0 | $0 | $0 |
FISCAL IMPACT - Small Business
Small businesses (insurance companies and HMOs) would expect to be fiscally impacted to the extent that they would incur additional administrative costs as a result of the requirements of this proposal.
DESCRIPTION
This proposal would require insurers to provide annual claims reports to group policyholders.
This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.
SOURCES OF INFORMATION
Department of Transportation
Department of Social Services
Missouri Consolidated Health Care Plan
Department of Insurance
Department of Conservation
NOT RESPONDING: Department of Public Safety - Missouri State Highway Patrol
Jeanne Jarrett, CPA
Director
February 5, 2001