DAR File No. 44177

Insurance, Administration

Section R590-233-2

Purpose and Scope

Notice of Proposed Rule

(Amendment)

DAR File No.: 44177
Filed: 11/01/2019 11:26:08 AM

RULE ANALYSIS

Purpose of the rule or reason for the change:

This change is being made to exempt from Rule R590-233 policy forms that are subject to R590-277, Managed Care Health Benefit Plan Policy Standards.

Summary of the rule or change:

This change clarifies that an insurance policy form that is subject to Rule R590-277, Managed Care Health Benefit Plan Policy Standards, is not subject to this rule.

Statutory or constitutional authorization for this rule:

• Subsection 31A-2-201(3)(a)

Anticipated cost or savings to:

the state budget:

There are no anticipated costs or savings to state budget because insurers are already complying with the provisions of this rule.

local governments:

There is no anticipated cost or savings for local governments because the only affected persons are insurers, and they are already complying with the provisions of this rule.

small businesses:

There is no anticipated cost or savings for small businesses because the only affected persons are insurers, and they are already complying with the provisions of this rule.

persons other than small businesses, businesses, or local governmental entities:

There is no anticipated cost or savings for any other persons because the only affected persons are insurers, and they are already complying with the provisions of this rule.

Compliance costs for affected persons:

There are no anticipated compliance costs for any affected persons because the only affected persons are insurers, and they are already complying with the provisions of this rule.

Comments by the department head on the fiscal impact the rule may have on businesses:

After conducting a thorough analysis, it was determined that this proposed rule change will not result in a fiscal impact to businesses.

Todd E. Kiser, Commissioner

The full text of this rule may be inspected, during regular business hours, at the Office of Administrative Rules, or at:

Insurance
Administration
Room 3110 STATE OFFICE BLDG
450 N MAIN ST
SALT LAKE CITY, UT 84114-1201

Direct questions regarding this rule to:

• Steve Gooch at the above address, by phone at 801-538-3803, by FAX at 801-538-3829, or by Internet E-mail at sgooch@utah.gov

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

12/16/2019

This rule may become effective on:

12/23/2019

Authorized by:

Steve Gooch, Information Specialist

Appendix 1: Regulatory Impact Summary Table*

Fiscal Costs	FY 2020	FY 2021	FY 2022
State Government	$0	$0	$0
Local Government	$0	$0	$0
Small Businesses	$0	$0	$0
Non-Small Businesses	$0	$0	$0
Other Person	$0	$0	$0
Total Fiscal Costs:	$0	$0	$0
Fiscal Benefits
State Government	$0	$0	$0
Local Government	$0	$0	$0
Small Businesses	$0	$0	$0
Non-Small Businesses	$0	$0	$0
Other Persons	$0	$0	$0
Total Fiscal Benefits:	$0	$0	$0
Net Fiscal Benefits:	$0	$0	$0

 

*This table only includes fiscal impacts that could be measured. If there are inestimable fiscal impacts, they will not be included in this table. Inestimable impacts for State Government, Local Government, Small Businesses and Other Persons are described in the narrative. Inestimable impacts for Non - Small Businesses are described in Appendix 2.

 

Appendix 2: Regulatory Impact to Non - Small Businesses

While this rule does affect non-small businesses, this rule change is not expected to have any fiscal impacts on non-small businesses' revenues or expenditures. This is because the non-small businesses in question,health insurers,are already complying with the provisions of the rule.

 

The head of the Insurance Department, Todd E. Kiser, has reviewed and approved this fiscal analysis.

 

 

R590. Insurance, Administration.

R590-233. Health Benefit Plan Insurance Standards.

R590-233-2. Purpose and Scope.

(1) Purpose. The purpose of this rule is to provide reasonable standardization and simplification of terms and coverages of insurance policies in order to facilitate public understanding and comparison and to prohibit provisions which may be misleading or confusing in connection either with the purchase of such coverages or with the settlement of claims, and to provide for full disclosure in the sale of such insurance.

(2) Scope.

(a) Except as excluded under (b), this regulation applies to all individual and group health benefit plan policies, including policies issued to associations, trusts, discretionary groups, or other similar groupings.

(b) This rule shall not apply to employer group health benefit plans.

(c) This rule does not apply to a health benefit plan subject to R590-277, Managed Care Health Benefit Plan Policy Standards.

(3) The requirements contained in this regulation shall be in addition to any other applicable regulations previously adopted.

 

KEY: health insurance

Date of Enactment or Last Substantive Amendment: [July 30, 2007]2019

Notice of Continuation: December 4, 2015

Authorizing, and Implemented or Interpreted Law: 31A-2-201; 31A-2-202; 31A-22-605; 31A-22-623; 31A-22-626; 31A-23a-402; 31A-23a-412; 31A-26-301