2005 Senate Bill 88 / Public Act 306

Impose HMO co-pay caps

Introduced in the Senate

Jan. 26, 2005

Introduced by Sen. Bill Hardiman (R-29)

To repeal a prohibition on HMO copayments contract be “nominal,” but cap anenrollee's out-of-pocket costs to $5,000 per year for an individual, $10,000 for a family, and twice these amounts if the services are provided by a nonaffiliated provider.

Referred to the Committee on Health Policy

Nov. 1, 2005

Reported without amendment

With the recommendation that the substitute (S-2) be adopted and that the bill then pass.

Nov. 2, 2005

Substitute offered

To replace the previous version of the bill with one that does not include the specific dollar-amount copayment caps.

The substitute passed by voice vote

Nov. 3, 2005

Passed in the Senate 38 to 0 (details)

To allow a health maintenance organization (HMO) contract to include coinsurance and to offer healthy lifestyle programs. It would remove the restriction requiring copayments to be "nominal" and would also require the commissioner of the Office of Financial Services (OFIS) to determine annually the bill's impact on the number of employers providing HMO services to their employees and the number of employees receiving those services.

Received in the House

Nov. 3, 2005

Referred to the Committee on Health Policy

Nov. 29, 2005

Reported without amendment

Without amendment and with the recommendation that the bill pass.

Dec. 7, 2005

Passed in the House 86 to 17 (details)

To allow a health maintenance organization (HMO) contract to include coinsurance and to offer healthy lifestyle programs. It would remove the restriction requiring copayments to be "nominal" and would also require the commissioner of the Office of Financial Services (OFIS) to determine annually the bill's impact on the number of employers providing HMO services to their employees and the number of employees receiving those services.

Signed by Gov. Jennifer Granholm

Dec. 20, 2005