HB 24-1258 Summary

• Requires new health insurance carriers to credit out-of-pocket expenses (deductibles and out-of-pocket maximums) paid by covered persons under a previous plan when that carrier exits the market mid-plan year.

• Defines out-of-pocket expenses as deductibles and out-of-pocket maximums for medical services and prescription drugs, but excludes premium payments.

• Limits credit to the amount of out-of-pocket expenses required by the new plan; carriers are not required to apply excess amounts.

• Allows new carriers to recoup credited expenses over a reasonable time period through surcharges reported separately in rate filings, or to file claims against the insolvent carrier's estate.

• Effective January 1, 2025, subject to voter approval if a referendum petition is filed within 90 days after legislative adjournment.