H*3539(Rat #0242, Act #0165 of 1991)  General Bill, By R.S. Corning
 A Bill to amend Act 466 of 1988, relating to the Long-Term Care Insurance Act,
 approval of regulations, terms, and conditions applicable to long-term care
 insurance policy and group policy, and advertising restrictions, so as to
 require all insurers issuing long-term care insurance policies to offer an
 optional benefit which provides that when an insured meets the requirements
 under the policy that care in a nursing home or community residential care
 facility is necessary, the insured has the option of receiving necessary care
 in the home or community with daily benefits at a certain level and to permit
 insurers issuing long-term insurance policies to offer a home health care
 benefit which provides benefits when care in the home only is necessary; to
 provide that the above provisions apply to insurance policies issued on or
 after the effective date of this Act; and to provide that three years
 following the effective date of this Act, and two years thereafter, the
 Commission on Aging, in cooperation with the Joint Legislative Committee on
 Aging and the Department of Insurance, shall evaluate the effects of this Act
 and make a report to the General Assembly.-amended title

   02/19/91  House  Introduced and read first time HJ-5
   02/19/91  House  Referred to Committee on Labor, Commerce and
                     Industry HJ-5
   04/25/91  House  Committee report: Favorable with amendment Labor,
                     Commerce and Industry HJ-56
   05/08/91  House  Amended HJ-52
   05/08/91  House  Debate adjourned until Tuesday, May 14, 1991 HJ-53
   05/14/91  House  Debate adjourned until Wednesday, May 15, 1991 HJ-1
   05/15/91  House  Debate adjourned until Tuesday, May 21, 1991 HJ-20
   05/22/91  House  Debate adjourned until Thursday, May 23, 1991 HJ-15
   05/23/91  House  Debate adjourned until Tuesday, May 28, 1991 HJ-18
   05/28/91  House  Read second time HJ-19
   05/30/91  House  Read third time and sent to Senate HJ-69
   06/04/91  Senate Introduced, read first time, placed on calendar
                     without reference SJ-9
   06/05/91  Senate Read second time SJ-93
   06/05/91  Senate Unanimous consent for third reading on next
                     legislative day
   06/06/91  Senate Read third time and enrolled SJ-28
   06/06/91         Ratified R 242
   06/12/91         Signed By Governor
   06/12/91         Effective date 01/01/92
   06/12/91         Act No. 165
   07/02/91         Copies available

AN ACT TO AMEND ACT 466 OF 1988, RELATING TO THE LONG-TERM CARE INSURANCE ACT, APPROVAL OF REGULATIONS, TERMS, AND CONDITIONS APPLICABLE TO LONG-TERM CARE INSURANCE POLICY AND GROUP POLICY, AND ADVERTISING RESTRICTIONS, SO AS TO REQUIRE ALL INSURERS ISSUING LONG-TERM CARE INSURANCE POLICIES TO OFFER AN OPTIONAL BENEFIT WHICH PROVIDES THAT WHEN AN INSURED MEETS THE REQUIREMENTS UNDER THE POLICY THAT CARE IN A NURSING HOME OR COMMUNITY RESIDENTIAL CARE FACILITY IS NECESSARY, THE INSURED HAS THE OPTION OF RECEIVING NECESSARY CARE IN THE HOME OR COMMUNITY WITH DAILY BENEFITS AT A CERTAIN LEVEL AND TO PERMIT INSURERS ISSUING LONG-TERM CARE INSURANCE POLICIES TO OFFER A HOME HEALTH CARE BENEFIT WHICH PROVIDES BENEFITS WHEN CARE IN THE HOME ONLY IS NECESSARY; TO PROVIDE THAT THE ABOVE PROVISIONS APPLY TO INSURANCE POLICIES ISSUED ON OR AFTER THE EFFECTIVE DATE OF THIS ACT; AND TO PROVIDE THAT THREE YEARS FOLLOWING THE EFFECTIVE DATE OF THIS ACT, AND TWO YEARS THEREAFTER, THE COMMISSION ON AGING, IN COOPERATION WITH THE JOINT LEGISLATIVE COMMITTEE ON AGING AND THE DEPARTMENT OF INSURANCE, SHALL EVALUATE THE EFFECTS OF THIS ACT AND MAKE A REPORT TO THE GENERAL ASSEMBLY.

Be it enacted by the General Assembly of the State of South Carolina:

Long-term care insurance, optional benefit, etc.

SECTION 1. Section 6 of Act 466 of 1988 is amended by adding:

"(I) All insurers issuing long-term care insurance policies must offer, at time of application, an optional benefit which provides that when an insured meets the requirements under the policy that care in a nursing home or community residential care facility is necessary, the insured shall have the option of receiving necessary care in the home or community, with daily benefits at the same level that would have been paid for care in a nursing home or community residential care facility. This optional coverage may be provided by rider to the policy or included as part of the policy.

Notwithstanding the foregoing, insurers issuing long-term care insurance policies may offer a home health care benefit which would provide benefits when care in the home only is necessary. This home health care benefit may provide lesser benefits than that provided by the policy for care in a nursing home or community residential care facility and may be provided either by rider to the policy or included as part of the policy."

Insurance policies affected

SECTION 2. The provisions of subsection (I) of Section 6 of Act 466 of 1988, as added pursuant to Section 1 of this act, apply to insurance policies issued on or after the effective date of this act.

Evaluation and report

SECTION 3. Three years following the effective date of this act, and two years thereafter, the Commission on Aging, in cooperation with the Joint Legislative Committee on Aging and the Department of Insurance, shall evaluate the effects of this act and report those evaluations to the General Assembly.

Time effective

SECTION 4. This act takes effect January 1, 1992.

Approved the 12th day of June, 1991.