OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http: //www.cga.ct.gov/ofa

sSB-11

AN ACT CONCERNING THE RATE APPROVAL PROCESS FOR CERTAIN HEALTH INSURANCE POLICIES.

AMENDMENT

LCO No.: 8187

File Copy No.: 203

Senate Calendar No.: 157

OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 12 $

FY 13 $

Insurance Department

IF - Reduces Cost in Bill

See Below

See Below

Note: IF=Insurance Fund

Municipal Impact: None

Explanation

The amendment strikes the underlying bill and its estimated cost of $2.25 million.

The amendment results in additional annualized costs related to new actuarial rate reviews and rate symposiums. Assuming 15 additional rate reviews and 15 additional rate symposiums (the cap included in the amendment) this will result in an annualized cost of approximately $181, 800 to the Department of Insurance (DOI) for personnel, fringe benefits and other expenses.

Section 9 of the amendment changes section 7 of PA 11-6 (the biennial budget act) to appropriate to DOI the costs noted above.

The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely for the purposes of information, summarization and explanation and does not represent the intent of the General Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.