SB2344 Summary: Health Insurance Rate Fairness and Affordability Act

• Requires health insurance issuers to file premium rates with the Director of Insurance and obtain prior approval before issuing or delivering policies, with rates subject to disapproval if benefits are unreasonable or rates are excessive, inadequate, unjustified, or unfairly discriminatory.

• Establishes a 60-day approval timeline (extendable by up to 60 additional days) for the Director to approve or disapprove premium rate filings, with rate changes taking effect no sooner than 30 days after written approval is mailed.

• Requires rate filings to include actuarial certification, clear disclosure of percentage changes from previously filed rates and rates in effect 12 months prior, and notification to the Director when policy forms are closed for sale.

• Permits health insurance issuers and policyholders (at least 1% or 25 covered lives, whichever is greater) to appeal the Director's decisions by requesting a hearing within 30 days, with rate changes stayed if a hearing request is timely filed.

• Applies identical premium rate filing and prior approval requirements to health maintenance organizations by incorporating these provisions into the Health Maintenance Organization Act, effective January 1, 2014.