Senate Bill S928

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                   928

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                            January 21, 2009
                               ___________

Introduced  by  Sen.  KRUGER -- read twice and ordered printed, and when
  printed to be committed to the Committee on Insurance

AN ACT to amend the insurance law, in relation to notice of public hear-
  ings concerning rate  increases  for  non-profit  medical  and  dental
  indemnity, or health and hospital service corporation

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Paragraphs 2 and 3 of subsection (c) of section 4308 of the
insurance law, paragraph 3 as amended by chapter  520  of  the  laws  of
1999, are amended to read as follows:
  (2)  Prior  to  any  such  filing  or application by or on behalf of a
corporation for an increase or decrease in premiums for such  contracts,
such  corporation,  when directed by the superintendent, shall conduct a
public hearing with respect to the terms of such filing or  application.
Notice  of  such  hearing shall be published on [three] SEVEN successive
days in at least two newspapers having general  circulation  within  the
territory  or  district wherein such corporation seeking approval of the
filing is authorized to do business.  The date specified for the hearing
shall be not less than ten nor more than thirty days from  the  date  of
the  first publication of the hearing. The notice of hearing shall state
the purpose thereof, the time when and the place where the public  hear-
ing  will  be  held.  The  public  hearing  shall  be held at a time and
location deemed by the superintendent  to  be  most  convenient  to  the
greatest  number of persons affected by such filing. At such hearing any
person may be heard in favor of, or against, the terms of the filing  or
application.
  (3)  Following  the  public  hearing held pursuant to paragraph two of
this subsection, a transcript of the testimony therein shall be  submit-
ted  together  with a rate filing or application, to the superintendent.
Upon receipt of such filing or application by or on behalf of  a  corpo-
ration,  the  superintendent  shall  order that a public hearing be held

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06579-01-9
              

S. 928                              2

with respect to the terms of such filing or application. Notice of  such
hearing  shall be published on [three] SEVEN successive days in at least
two newspapers  having  general  circulation  within  the  territory  or
district  wherein  such  corporation  seeking  approval of the filing or
application is authorized to do business. For a corporation writing more
than three billion dollars in  premiums  as  of  December  thirty-first,
nineteen  hundred ninety-six and whose service territory is greater than
ten counties, such notice is to be published in at least  one  newspaper
having  general  circulation in each county where persons in the service
territory are affected by the proposed change. The  date  specified  for
the  hearing  shall  be not less than ten nor more than thirty days from
the date of the last publication of the hearing. The notice  of  hearing
shall  also state the purpose thereof, the time when and the place where
the public hearing will be held. For  those  corporations  writing  more
than  three  billion  dollars  in  premiums as of December thirty-first,
nineteen hundred ninety-six, and whose territory  is  greater  than  ten
counties,  the  notice of hearing shall also state the changes proposed,
the contracts to be affected and the time when such changes  would  take
effect. The notice of hearing shall state, in prominent display, a toll-
free  telephone number of the insurance department that may be contacted
to receive additional information on the subject rate  application.  The
public hearing shall be held at a time and location deemed by the super-
intendent  to  be  most  convenient  to  the  greatest number of persons
affected by such filing or application. A copy of such notice of hearing
shall be forwarded by the superintendent by registered or certified mail
to the principal address of the corporation  seeking  approval  of  such
filing  or  application.  The hearing may be continued or adjourned from
day to day within the discretion of the superintendent.  At such hearing
any person may be heard in favor of, or against, the terms of the filing
or application. After conclusion of the public hearing  the  superinten-
dent  shall  render a written decision determining whether the filing or
application shall become effective as filed, shall become  effective  as
modified,  or  shall  be disapproved. If, subsequent to the hearing, but
prior to the issuing of the superintendent's written decision on a  rate
increase  request,  the corporation increases its requested rate for any
contract by two percent or more, a re-hearing shall be held.  The  time,
location,  and  notice  requirements for such re-hearing shall be deter-
mined by the superintendent.
  S 2. This act shall take effect immediately.