NY A10801

Establishes the New York State Small Business Affordable Health Care Insurance Act allowing insurers to issue limited-benefit health insurance policies to small businesses with 50 or fewer employees.

Requires small business health insurance policies to cover core benefits including at least 30 days hospital confinement, minimum six physician office visits annually, maternity care, newborn care, emergency services, and mammography screening, with annual deductibles capped at $1,200 for individuals and $2,000 for families.

Exempts small business health insurance policies from most state-mandated health coverage requirements, allowing policies to include cost-control provisions such as utilization review, preferred provider networks, and annual/lifetime benefit maximums.

Phases out the health care surcharge assessments on hospitals and third-party payers under Public Health Law sections 2807-j and 2807-t, reducing percentages to zero by April 1, 2015, with operational costs to be funded through the Executive Budget instead.

Repeals Tax Law section 1502-b regarding captive insurance company tax computations and extends the sunset date of related health care reform provisions from December 31, 2014 to December 31, 2015.