Requires commercial insurers to make available an option to parents/guardians to cover their mentally or physically challenged dependents

BILL NUMBER:S114

Title of bill

An act to amend the insurance law, in relation to insurance coverage for mentally or physically disabled dependents

Purpose or general idea of bill

This bill expands access to health insurance by amending the Insurance Law to allow mentally and or physically challenged people, regardless of age, to be covered under a parent's group health insurance policy.

Summary of specific provisions

Section 1 Amends Section 4304(1)(A) of the Insurance Law. Requires commercial insurers to make available an option for parents/guardians purchasing family health insurance policies through their employers to cover their mentally and or physically challenged dependents. There is no age limitation for such dependent. This bill would allow parents to extend their current health insurance coverage provided by an employer for the care of a person that is dependent on a parent/guardian due to attributable disabilities. The young adult must not be eligible for coverage under their own employer sponsored insurance and they must be determined to be mentally and or physically challenged to the point where that person is unable, regardless of age, to work, live independently, and provide medical insurance for oneself. It negates limiting age of any manner when dealing with people that have been determined to meet the above mentioned criteria. The option must be extended at policy inception and at the first anniversary date following the effective date of the provisions. This approach to working with high needs people/children can also reduce state expenditures to those government funded facilities. This bill is not intended to meet the needs of all people diagnosed with specific conditions. It does not relieve Mental Health Departments from providing the necessary services to those individuals that have been deemed to have a mental condition such as depression, manic depression, and/or been diagnosed with bi-polar syndrome or any condition that can be treated, or controlled through the use of medication. In other words, people with such conditions that can and should be treated through medications that permit a person the capability to function normally, live on their own, and hold a job will not be covered by this bill.

Section 2 - Effective Date

Existing law

This legislation amends existing law to require group insurance policies to provide health insurance for physically and mentally disabled children, regardless of age, under their parent's employer-sponsored health insurance.

Justification

This bill helps to mainstream disabled people into the community while insuring their health and safety. It also reduces the need for New York State to provide housing for those individuals that would be provided for by the parent or guardian. Furthermore, the longer a mentally or physically challenged person/child is allowed to stay in a familiar environment the better it is for the person/child and family. This bill allows parents an option to continue allowing their disabled child the opportunity to live at home with them and in so doing prevents placing that child in state run facilities such as group homes, hospitals, or halfway houses. Providing this type of care also keeps the family structure and support mechanisms in place.

Prior legislative history

2010: S.6768 - Referred to Insurance/A.9408 - Referred to Insurance

Fiscal implications

No cost to the state or local governments.

Effective date

This act shall take effect immediately.