2022 Pennsylvania Consolidated & Unconsolidated Statutes
Act 94 - THE INSURANCE COMPANY LAW OF 1921 - CONTRACTS AND COVERAGE PACKAGES

Session of 2022

No. 2022-94

SB 1235

AN ACT

Amending the act of May 17, 1921 (P.L.682, No.284), entitled "An act relating to insurance; amending, revising, and consolidating the law providing for the incorporation of insurance companies, and the regulation, supervision, and protection of home and foreign insurance companies, Lloyds associations, reciprocal and inter-insurance exchanges, and fire insurance rating bureaus, and the regulation and supervision of insurance carried by such companies, associations, and exchanges, including insurance carried by the State Workmen's Insurance Fund; providing penalties; and repealing existing laws," in comprehensive health care for uninsured children, further providing for contracts and coverage packages.

The General Assembly of the Commonwealth of Pennsylvania hereby enacts as follows:

Section 1.  Section 2304-A(b)(2) and (c) of the act of May 17, 1921 (P.L.682, No.284), known as The Insurance Company Law of 1921, are amended to read:

Section 2304-A.  Contracts and coverage packages.

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(b)  Solicitation of contracts.--The department must solicit bids and award contracts through a competitive procurement process in accordance with the following:

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(2)  To the fullest extent practicable, the department must require that a contractor comply with all procedures relating to coordination of health care services as required by the department or the Insurance Department. The following apply:

(i)  The department may not develop or utilize bidding or service zones that limit a health service corporation or hospital plan corporation contractor from submitting a bid.

(ii)  If a health service corporation or hospital plan corporation is only able to service certain counties in this Commonwealth, the department shall solicit and accept bids from any health service corporation or hospital plan corporation for those counties in which it provides services.

(iii)  The department may not exclude or limit a health service corporation or hospital plan corporation from submitting a bid to service a county in this Commonwealth.

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(c)  Bidding.--Upon receipt of a solicitation from the department, each health service corporation and hospital plan corporation [or their] shall directly, or at the corporation's discretion through their affiliated entities doing business in this Commonwealth [shall], submit a bid or proposal to the department to carry out the purposes of this article in the area serviced by the corporation. If a health service corporation or hospital plan corporation directly submits a bid or proposal, the bid or proposal shall be for those counties in which it is permitted to offer its products.

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Section 2.  This act shall take effect immediately.

APPROVED--The 11th day of July, A.D. 2022.

TOM WOLF