72nd Legislative Session -- 1997
Committee: Senate Commerce
Thursday, February 13, 1997
P - Present
E - Excused
A - Absent
Roll Call
P
Daugaard
P
Lawler
P
Olson
P
Staggers
P
Valandra
P
Munson (David), Vice-Chair
P
Shoener, Chair
OTHERS PRESENT: See Original Minutes
The meeting was called to order by Senator Shoener
MOTION:
TO APPROVE THE MINUTES OF Meeting on 11, 1997
Moved by:
Senator Olson
Second by:
Senator Valandra
Action:
Prevailed by voice vote.
MOTION:
REMOVE SB 165 FROM TABLE
Moved by:
Senator Munson (David)
Second by:
Senator Lawler
Action:
Prevailed by voice vote.
SB 221:
to exempt snowmobiles from uninsured and underinsured motorist
coverage.
Proponents:
Senator Bill Johnson
John Brown, Independent Insurances Agents of SD
Darla Lyons, Division of Insurance
Leonard Stengel, SD Insurance Alliance
Darla Rogers, PIA
Ron Schmidt,American Insurance A
MOTION:
DO PASS SB 221
Moved by:
Senator Daugaard
Second by:
Senator Olson
Action:
Prevailed by roll call vote.
(6-0-1-0)
Voting yes:
Daugaard, Olson, Staggers, Valandra, Munson (David), Shoener
Excused:
Lawler
MOTION:
PLACE SB 221 ON CONSENT
Moved by:
Senator Olson
Second by:
Senator Munson (David)
Action:
Prevailed by voice vote.
SB 208:
to revise the requirements for individual and group health insurance
availability, portability, and renewability.
Proponents:
Darla Lyon, Div of Insurance
Randy Moses, Div of Insurance
Rew Hanson, AARP
Bob O'Connell, Blue Cross and Blue Shield
Craig Matson,State Farm Ins. Co.
Darla Rogers,PIA
MOTION:
AMEND SB 208
j-208
On page
1
,
line
7 of the printed bill
,
delete "
of January 1, 1997
"
and insert "
adopted by the
director pursuant to chapter 1-26
"
.
On page
1
,
line
15
,
delete "
of January 1, 1997
"
and insert "
adopted by the director pursuant to
chapter 1-26
"
.
On page
3
,
line
18
,
after "
individuals
"
insert "
. In such instances, the director shall assist the
affected persons in finding replacement coverage
"
.
On page
3
,
line
22
,
delete "
a
"
and insert "
one or more
"
.
On page
3
,
line
22
,
delete "
association
"
and insert "
associations
"
.
On page
3
,
line
23
,
after "
association
"
insert "
(on the basis of which the coverage is provided)
"
.
On page
4
,
overstrike lines
17
and
18
.
On page
6
,
line
4
,
delete "
Generic
"
and insert "
Genetic
"
.
On page
6
,
line
23
,
after "
coverage.
"
insert "
In addition to the plan which equals or exceeds the
basic coverage, the carrier shall also offer to the eligible person, the standard plan of benefits adopted
pursuant to
§
58-18B-32.
"
.
On page 7, delete lines 10 to 14, inclusive, and insert:
"(1)
The applicant's qualifying previous coverage is from a self-insured employer which does
not have plan provisions consistent with
§
§
58-18-42 to 58-18-51, inclusive;
"
On page
10
,
line
5
,
overstrike "
a health benefit plan
"
and insert "
the basic plan pursuant to
chapter 58-18B
"
.
On page
10
,
line
7
,
delete "
amended
"
and insert "
adopted by the director pursuant to chapter 1-
26
"
.
On page
10
,
line
8
,
delete "
to January 1, 1997
"
.
On page
12
,
line
23
,
after "
contribution
"
insert "
or participation
"
.
On page
13
,
line
15
,
delete "
a
"
and insert "
one or more
"
.
On page
13
,
line
15
,
delete "
association
"
and insert "
associations
"
.
On page
13
,
line
16
,
after "
association
"
insert "
(on the basis of which the coverage is provided)
"
.
On page
19
,
line
14
,
after "
plan.
"
insert "
Nothing in this section prohibits a group health plan,
and a health insurance issuer offering group health insurance coverage, from establishing premium
discounts or rebates or modifying otherwise applicable copayments or deductibles in return for
adherence to programs of health promotion or disease prevention.
"
.
On page
21
,
line
2
,
remove the overstrikes from "
on an underwritten basis
"
and insert "
unless
specifically prohibited by rules adopted by the director pursuant to chapter 1-26
"
.
On page
22
,
line
4
,
overstrike "
At least every five years, the Legislature shall study the
"
.
On page
22
,
line
5
,
overstrike "
necessity for adjusting the lifetime maximum benefit.
"
.
On page
26
,
after line
1
,
insert:
"
Section 24. That chapter 58-18 be amended by adding thereto a NEW SECTION to read as
follows:
The provisions of
§
§
58-18-42 to 58-18-49, inclusive, apply to health benefit plans which
provide health coverage on a self-funded basis through nonfederal government employers and church
plans. The self-funded nonfederal government employer plans are subject to the provisions of
§
§
58-
18-42 to 58-18-49, inclusive, whether or not it is a single employer plan, a pooled arrangement, a
cooperative, through a joint powers agreement, or other similar mechanism for providing health
coverage.
Section 25. That chapter 58-18 be amended by adding thereto a NEW SECTION to read as
follows:
If any federal standards are in place which require additional steps to meet those standards
beyond what is required by this chapter, the director may promulgate rules pursuant to chapter 1-26
to require the offering of health insurance plans, the underwriting criteria that may be utilized for
such health insurance plans, the type and scope of preexisting waiting periods and creditable
coverage, the standards for nonrenewability of coverage, and other requirements related to the
availability of health insurance to employers and their employees and dependents in this state in
order to minimally meet the federal standards.
"
Moved by:
Senator Olson
Second by:
Senator Munson (David)
Action:
Prevailed by voice vote.
MOTION:
DO PASS SB 208 AS AMENDED
Moved by:
Senator Olson
Second by:
Senator Munson (David)
Action:
Prevailed by roll call vote.
(6-0-1-0)
Voting yes:
Daugaard, Olson, Staggers, Valandra, Munson (David), Shoener
Excused:
Lawler
SB 216:
to revise certain insurance investment provisions.
Proponents:
Dick Gregerson, Industry and Commerce Assn
John Fromelt,Midland Insurance
Darla Lyon, Div of Insurance
MOTION:
AMEND SB 216
j-216
On page
8
,
line
19 of the printed bill
,
after "
section
"
insert "
,
"
.
On page
14
,
line
7
,
delete "
marketed
"
and insert "
marked
"
.
On page
21
,
line
11
,
delete "
interest
"
and insert "
interests
"
.
Moved by:
Senator Olson
Second by:
Senator Daugaard
Action:
Prevailed by voice vote.
MOTION:
DO PASS SB 216 AS AMENDED
Moved by:
Senator Munson (David)
Second by:
Senator Olson
Action:
Prevailed by roll call vote.
(6-0-1-0)
Voting yes:
Daugaard, Olson, Staggers, Valandra, Munson (David), Shoener
Excused:
Lawler
MOTION:
Senator Shoener, Chair, deferred SB 126 to January 18, 1997
Moved by:
None
Second by:
None
Action:
Died for a lack of a second
SB 270:
to create an administrative hearing process before the Division of
Insurance for certain insureds and beneficiaries.
Proponents:
Darla Lyon, Div of Insurance
MOTION:
TO TABLE SB 270
Moved by:
Senator Munson (David)
Second by:
Senator Olson
Action:
Prevailed by roll call vote.
(6-0-1-0)
Voting yes:
Daugaard, Olson, Staggers, Valandra, Munson (David), Shoener
Excused:
Lawler
SB 149:
to resolve certain conflicting provisions regarding workers' compensation
and health insurance coverage.
Proponents:
Senator Staggers, Prime Sponsor
Deb Bowman, Office of the Governor
James Marsh, Dept. Of Labor
Dick Gregerson, Industry and Commerce Assoc. Of SD
Opponents:
Dick Tieszen, State Farm Insurance
Dennis Duncan, Dakota Care
Ron Schmidt,American Insurance Assoc.
MOTION:
AMEND SB 149
j-149
On the printed bill,
Delete everything after the enacting clause and insert:
"
Section
1.
That
§
62-1-1.3
be amended to read as follows:
62-1-1.3.
If an
injury is determined not to be
employer denies coverage of a claim on the basis
that the injury is not
compensable under this title due to the provisions of subsections 62-1-1(7)(a),
(b), or (c), such injury is presumed to be nonwork related for other insurance purposes.
If a dispute
exists as to whether an employee's injury is compensable under this title and the employee is also
covered by an insurer for medical or disability claims that are not otherwise compensable under this
title, the Department of Labor may, after notice to the parties, issue a temporary order that the
employer or insurer pay any medical costs incurred by the employee for the injury up to the limits
of the applicable coverage, and shall make any disability payments otherwise payable by the insurer
in the absence of or in addition to worker's compensation liability. The temporary order may
establish the priority of claims among employers and insurers, subject to a final determination in the
appropriate forum. After a final judicial or administrative order is entered establishing the liabilities
of the parties, the employer or insurers found to be liable shall be ordered to reimburse the parties
that are not liable for all payments made in excess of the amounts specified in the order, including
interest at the Category B rate specified in
§
54-3-16, regardless of the type or amount of any
settlement. If the employer pays more for medical costs than is required by
§
62-7-8, the medical
provider shall reimburse the employer for the excess. The Department of Labor may promulgate
rules pursuant to chapter 1-26 to implement this section.
"
Moved by:
Senator Staggers
Second by:
Senator Valandra
Action:
Prevailed by voice vote.
MOTION:
DO PASS SB 149 AS AMENDED
Moved by:
Senator Munson (David)
Second by:
Senator Daugaard
Action:
Prevailed by roll call vote.
(6-1-0-0)
Voting yes:
Daugaard, Lawler, Staggers, Valandra, Munson (David), Shoener
Voting no:
Olson
SB 231:
to permit certain charges and increase late payment charges in small loan
contracts.
Proponents:
Senator Staggers, Prime Sponsor
John Brown, Consumer Finance Assoc.
MOTION:
DO PASS SB 231
Moved by:
Senator Staggers
Second by:
Senator Munson (David)
Action:
Prevailed by roll call vote.
(6-1-0-0)
Voting yes:
Daugaard, Lawler, Staggers, Valandra, Munson (David), Shoener
Voting no:
Olson
MOTION:
DEFER SB 206 UNTIL THE 41ST LEGISLATIVE DAY
Moved by:
Senator Valandra
Second by:
Senator Olson
Action:
Prevailed by roll call vote.
(7-0-0-0)
Voting yes:
Daugaard, Lawler, Olson, Staggers, Valandra, Munson (David), Shoener
MOTION:
REMOVE HB 1049 FROM TABLE
Moved by:
Senator Olson
Second by:
Senator Munson (David)
Action:
Prevailed by roll call vote.
(6-1-0-0)
Voting yes:
Daugaard, Lawler, Olson, Staggers, Munson (David), Shoener
Voting no:
Valandra
MOTION:
ADJOURN
Moved by:
Senator Olson
Second by:
Senator Staggers
Action:
Prevailed by voice vote.
Doris J. Donner
_________________________________
Committee Secretary
Jerry J. Shoener, Chair
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