74th OREGON LEGISLATIVE ASSEMBLY--2007 Regular Session
 
HA to HB 2221
 
LC 573/HB 2221-2
 
                       HOUSE AMENDMENTS TO
                         HOUSE BILL 2221
 
               By COMMITTEE ON CONSUMER PROTECTION
 
                             April 4
 
  On page 1 of the printed bill, line 8, delete '(1)(a)' and
insert '(1)'.
  In line 11, after 'the' delete the rest of the line and insert
'plan member access to providers'.
  In line 12, delete 'vider facilities'.
  In line 13, delete 'service'.
  Delete lines 14 through 17 and insert:
  ' (2) 'Discount medical plan organization' means a person that
contracts on behalf of plan members with a provider, a provider
network or another discount medical plan organization for access
to medical and ancillary services at a discounted rate and
determines what plan members will pay as a fee, service or
subscription charge, dues or other consideration for a discount
medical plan.'.
  In line 21, after 'means' insert ', except when administered by
or under contract with the State of Oregon,'.
  In line 24, after the first comma insert 'audiology services,'.
  On page 2, line 2, delete 'a person that' and insert 'an
individual who'.
  In line 4, delete 'Service'.
  In line 6, after 'charges' insert a period and delete the rest
of the line and delete lines 7 and 8.
  In line 9, delete 'Service'.
  Delete lines 16 through 27 and insert:
  ' (7) 'Provider network' means a person that negotiates
directly or indirectly with a discount medical plan organization
on behalf of more than one provider that provides medical or
ancillary services to plan members.
  '  { +  SECTION 3. + }  { + (1) A person may not conduct
business as or purport to conduct business as a discount medical
plan organization unless the person first obtains a license to
operate as a discount medical plan organization from the Director
of the Department of Consumer and Business Services in accordance
with section 5 of this 2007 Act.
  ' (2) The license requirement set forth in subsection (1) of
this section does not apply to an insurer that offers a discount
medical plan. + } ' .
  In line 29, delete 'service' in both places.
  In line 31, delete 'service'.
  In line 34, delete 'service'.
  In line 35, delete 'subject to' and insert 'included in'.
  In line 36, delete 'service' in both places.
  In line 39, delete 'service'.
  In line 40, delete 'service'.
  In line 41, delete 'service'.
  Delete lines 42 through 45.
  On page 3, delete lines 1 through 5 and insert:
  ' (3) The contract or other agreement between a discount
medical plan organization and a provider network, or between an
entity and a provider network when the entity contracts with or
enters into an agreement with a provider network on the
organization's behalf, shall require the provider network to have
written agreements with providers that, in addition to meeting
the requirements of subsection (2) of this section:
  ' (a) Authorize the provider network to contract with or enter
into an agreement with the discount medical plan organization or
the entity on behalf of the provider; and'.
  In line 6, delete 'service' in both places.
  In line 7, delete 'service'.
  Delete lines 12 and 13.
  In line 14, delete '(2)' and insert '  { +  SECTION 5. + }
(1)'.
  Delete lines 30 and 31.
  In line 32, delete '(h)' and insert '(g)' and delete ' service'
in all places.
  In line 33, after 'network' insert 'that provide services in
this state'.
  In line 34, delete the period and insert 'or the Internet
address of a website that lists the providers and services
offered.
  ' (h) A list of the persons that the applicant has authorized
or intends to authorize to market a discount medical plan in this
state under a name that is different from the applicant's name.'.
  Delete lines 39 through 41 and insert:
  ' (j) A statement that discloses:'.
  In line 42, delete the semicolon and insert 'involving the
applicant, a member of the board of directors or an officer of
the applicant and any person owning or having the right to
acquire 10 percent or more of the voting securities of the
applicant; and'.
  In line 44, delete '; and' and insert a period.
  Delete line 45.
  On page 4, delete line 1.
  Delete lines 7 and 8 and insert:
  ' (m) Other information the director may require that enables
the director, after reviewing all of the information submitted
under this subsection, to determine whether the applicant:
  ' (A) Is financially responsible;
  ' (B) Has adequate experience and expertise to operate a
discount medical plan organization; and
  ' (C) Is of good character.'.
  In line 9, delete '(3)' and insert '(2)'.
  In line 11, delete '(4)' and insert '(3)'.
  In line 13, after 'applicant' insert a period and delete the
rest of the line and delete lines 14 and 15.
  In line 16, delete '(4)' and insert '(3)'.
  In line 18, after the semicolon insert 'or'.
  In line 22, after 'profession' insert a period and delete the
rest of the line and delete lines 23 and 24.
  In line 25, delete '(5)' and insert '(4)'.
  In line 33, delete 'information the licensee' and insert '
name, address or contact information of the discount medical plan
organization'.
  In line 34, delete 'an' and insert 'the'.
  In line 36, delete 'the length' and insert 'one year, or for a
longer period if'.
  In line 37, delete 'of time' and after 'Services' insert ' so'.
  On page 5, line 1, before the period insert ', except that the
discount medical plan organization may retain the amount of any
one-time processing fee that is less than an amount established
by the Director of the Department of Consumer and Business
Services by rule'.
  In line 7, delete ', each of which enables' and insert '.  The
toll-free telephone line must enable'.
  In line 9, delete 'service' in both places.
  Delete lines 12 through 15 and insert:
  ' (4) Disclosures, in writing in a font not less than 12 points
in size and on the first content page of advertisements,
marketing materials or brochures made available to the public and
relating to a discount medical plan, that:'.
  In line 16, after the semicolon insert 'and'.
  Delete line 17.
  In line 18, delete '(c)' and insert '(b)'.
  In line 19, delete 'service'.
  Delete lines 20 through 26 and insert:
  '  { +  SECTION 9. + } (1) A person may not use or disseminate
in marketing, advertising, promotional, sales or plan documents
or other informational materials for discount medical plans or in
communications with plan members or prospective plan members:
  ' (a) Misleading, deceptive or false statements; or
  ' (b) The terms 'health plan,' 'coverage,' 'copay, ' '
copayments,' 'deductible,' 'preexisting condition,' 'guaranteed
issue,' 'premium,' 'preferred provider organization' or other
terms in a manner that could reasonably mislead an individual
into believing that the discount medical plan is insurance.'.
  After line 33, insert:
  ' (3) A person may not represent in any marketing, advertising,
promotional, sales or plan documents or other informational
materials for a discount medical plan or in communications with
plan members or prospective plan members that the State of Oregon
reviews or approves the discount medical plan.
  ' (4) Before a person uses an advertisement, a brochure, a
discount card or promotional or marketing material for marketing,
promoting, selling or distributing a discount medical plan, the
discount medical plan organization shall approve the material in
writing.
  ' (5) At the request of the Director of the Department of
Consumer and Business Services, a discount medical plan
organization shall submit to the director an advertisement, a
brochure, a discount card or promotional or marketing material
used for marketing, promoting, selling or distributing a discount
medical plan.'.
  On page 6, line 5, after the semicolon insert 'or'.
  Delete lines 6 and 7.
  In line 8, delete '(d)' and insert '(c)'.
  On page 7, line 21, delete 'January' and insert 'July'.
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