What's happening
This bill changes the repeal date for certain insurance laws on catastrophic or reinsurance coverage for small groups from nine to six years.
Why it matters
Accelerates the phase-out of specific insurance provisions. By shortening the repeal period from nine to six years, the bill speeds up when certain catastrophic and reinsurance coverage options for small groups will no longer be available, potentially impacting businesses and insurers relying on these mechanisms.
Signals a shift in legislative or regulatory priorities. The decision to end these insurance provisions earlier than originally planned suggests lawmakers may be reconsidering the ongoing need or appropriateness of these special coverages, possibly due to changes in the insurance market, cost concerns, or evolving policy goals.
Creates potential uncertainty for small group policyholders and insurers. Small businesses and insurance providers affected by these laws will have less time to adapt to the upcoming change, which could influence renewal decisions, product offerings, and long-term planning for health coverage and risk management.
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Who cares
Headline styles
Extend Small Group Insurance
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Signed chap.202
- Delivered to governor
- Returned to senate
- Passed assembly
- Ordered to third reading cal.296
- Substituted for A4947
- Referred to insurance
- Delivered to assembly
- Passed senateVote 60–0
- Ordered to third reading cal.45
- Referred to rules
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Extend Small Group Coverage
Assembly Floor Calendar · Sponsor Vivian Cook
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2043
2019-2020 Regular Sessions
IN SENATE
January 18, 2019
Introduced by Sen. SEWARD -- read twice and ordered printed, and when printed to be committed to the Committee on Rules
AN ACT to amend chapter 589 of the laws of 2015, amending the insurance law relating to catastrophic or reinsurance coverage issued to certain small groups, in relation to the effectiveness thereof; and to amend chapter 588 of the laws of 2015, amending the insurance law relating to catastrophic or reinsurance coverage issued to certain small groups, in relation to the effectiveness thereof
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 5 of chapter 589 of the laws of 2015, amending the insurance law relating to catastrophic or reinsurance coverage issued to certain small groups, as amended by a chapter of the laws of 2018 amending chapter 589 of the laws of 2015 relating to catastrophic or reinsurance coverage issued to certain small groups, as proposed in legislative bills numbers S. 8995 and A. 11014, is amended to read as follows:
§ 5. This act shall take effect on the same date and in the same manner as a chapter of the laws of 2015 amending the insurance law relating to catastrophic or reinsurance coverage issued to certain small groups, as proposed in legislative bills numbers S.5928-A and A.8134-A, takes effect and shall be deemed repealed [nine] six years thereafter.
§ 2. Section 5 of chapter 588 of the laws of 2015, amending the insurance law relating to catastrophic or reinsurance coverage issued to certain small groups, as amended by a chapter of the laws of 2018 amending chapter 589 of the laws of 2015 relating to catastrophic or reinsurance coverage issued to certain small groups, as proposed in legislative bills numbers S. 8995 and A. 11014, is amended to read as follows:
§ 5. This act shall take effect immediately; and shall be deemed repealed [9] 6 years after it shall have become a law.
§ 3. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07032-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend chapter 589 of the laws of 2015, amending the insurance law relating to catastrophic or reinsurance coverage issued to certain small groups, in relation to the effectiveness thereof; and to amend chapter 588 of the laws of 2015, amending the insurance law relating to catastrophic or reinsurance coverage issued to certain small groups, in relation to the effectiveness thereof
Purpose
This is a chapter amendment that makes changes to provisions of L.2018, c.457, to extend provisions of law .relating to catastrophic or reinsur- ance coverage issued to certain small groups and to exempt certain municipal corporations from small group rating standards.
Summary of provisions
Section one of the chapter amendment would extend for an additional two years the provisions of chapter, 589 of the laws of 2015, as amended thereafter, which provided that small groups between the size of 51-100 who had reinsurance policies in effect on 1/1/2015 may continue to be eligible to renew such policy or purchase re-insurance between 1/1/2016 and 1/1/2017 and renew such policy thereafter, and which also exempted municipal corporations with member employers with 100 or fewer employees from small group rating standards.
Section two of the bill would extend for an additional two years the provisions of chapter 588 of the laws of 2015, as amended thereafter, which provided that small, groups between the size of 51-100 who had reinsurance policies in effect on 1/1/2015 may continue to be eligible to renew such policy or purchase reinsurance between 1/1/2016 and 1/1/2017 and renew such policy thereafter, and which also exempted municipal corporations with member employers with 100 or fewer employees from small group rating standards.
Section three of the bill provides the effective date.
Existing law
Section 5 of Chapter 589 of the laws of 2015 and Section 5 of Chapter 588 of the laws of 2015 amended the insurance law relating to catastrophic or reinsurance coverage issued to certain small groups, to allow an extension Of the ability of those certain small groups to purchase re-insurance coverage, and exempted certain municipal corpo- rations from small group rating standards. Chapter 457 of the law of 2018 would repeal such provisions after nine years.
Justification
Concern was raised that the original bill which repealed the small group extensions after five more years (for nine years in total) of an exten- sion provided too long of an extension. At the same time, it was recog- nized that additional time may be necessary to transition the impacted small groups into the small group market. Accordingly, two year was
agreed-upon as the chapter amendment, as opposed to the five-year exten- sion that S.8995 and A.11014 initially contemplated.
Legislative history
Chapter amendment to Chapter 457 of the Laws of 2018. S.8995 and A.11014 passed both the Senate and Assembly in June of 2018.
Fiscal implications
Unknown
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.