1.1                          A bill for an act 
  1.2             relating to insurance; the comprehensive health 
  1.3             association; changing benefits; changing the 
  1.4             association's enrollment freeze date; amending 
  1.5             Minnesota Statutes 1994, sections 62E.12; and 62Q.18, 
  1.6             subdivision 8. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 1994, section 62E.12, is 
  1.9   amended to read: 
  1.10     62E.12 [MINIMUM BENEFITS OF COMPREHENSIVE HEALTH INSURANCE 
  1.11  PLAN.] 
  1.12     The association through its comprehensive health insurance 
  1.13  plan shall offer policies which provide the benefits of a number 
  1.14  one qualified plan and a number two qualified plan, except that 
  1.15  the maximum lifetime benefit on these plans shall be $1,000,000, 
  1.16  and an extended basic plan and a basic Medicare plan as 
  1.17  described in sections 62A.31 to 62A.44 and 62E.07.  The 
  1.18  requirement that a policy issued by the association must be a 
  1.19  qualified plan is satisfied if the association contracts with a 
  1.20  preferred provider network and the level of benefits for 
  1.21  services provided within the network satisfies the requirements 
  1.22  of a qualified plan.  If the association uses a preferred 
  1.23  provider network, payments to nonparticipating providers must 
  1.24  meet the minimum requirements of section 72A.20, subdivision 
  1.25  15.  They shall offer health maintenance organization contracts 
  1.26  in those areas of the state where a health maintenance 
  2.1   organization has agreed to make the coverage available and has 
  2.2   been selected as a writing carrier.  Notwithstanding the 
  2.3   provisions of section 62E.06 and unless those charges are billed 
  2.4   by a provider that is part of the association's preferred 
  2.5   provider network, the state plan shall exclude coverage of 
  2.6   services of a private duty nurse other than on an inpatient 
  2.7   basis and any charges for treatment in a hospital located 
  2.8   outside of the state of Minnesota in which the covered person is 
  2.9   receiving treatment for a mental or nervous disorder, unless 
  2.10  similar treatment for the mental or nervous disorder is 
  2.11  medically necessary, unavailable in Minnesota and provided upon 
  2.12  referral by a licensed Minnesota medical practitioner.  
  2.13     Sec. 2.  Minnesota Statutes 1994, section 62Q.18, 
  2.14  subdivision 8, is amended to read: 
  2.15     Subd. 8.  [COMPREHENSIVE HEALTH ASSOCIATION.] Effective 
  2.16  July 1, 1997 on the date specified by law enacted after January 
  2.17  1, 1995, pursuant to subdivision 9, the comprehensive health 
  2.18  association created in section 62E.10 shall not accept new 
  2.19  applicants for enrollment, except for Medicare-related coverage 
  2.20  described in section 62E.12 and for coverage described in 
  2.21  section 62E.18.