California Health and Safety Code

§ 1374.21

HSC § 1374.21 Effective Jan 1, 2020Div. 2 · Ch. 2.2 · Art. 5.5

Statute text

(a)(1) A change in premium rates or changes in coverage stated in a small group health care service plan contract shall not become effective unless the plan has delivered in writing a notice indicating the change or changes at least 60 days prior to the contract renewal effective date.

(2)A change on premium rates or changes in coverage stated in a large group health care service plan contract shall not become effective unless the plan has delivered a written notice indicating the change or changes at least 120 days before the contract renewal effective date. The notice for large group health plans shall include the following information:

(A)Whether the rate proposed to be in effect is greater than the average rate increase for individual market products negotiated by the California Health Benefit Exchange for the most recent calendar year for which the rates are final.

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Legislative history

Amended by Stats. 2019, Ch. 807, Sec. 1. (AB 731) Effective January 1, 2020.