DAR File No. 27191

Insurance, Administration

R590-204

Adoption Indemnity Benefit

NOTICE OF PROPOSED RULE

DAR File No.: 27191
Filed: 05/28/2004, 12:40
Received by: NL

RULE ANALYSIS

Purpose of the rule or reason for the change:

Due to a change in the law, this rule is no longer needed. H.B. 85, Health Insurance Mandate Amendments, passed in the 2004 Legislative Session, set the benefit amount and eliminated the requirement for the department to have a rule or determine if the benefit amount should be changed every other year. (DAR NOTE: H.B. 85 (2004) is found at UT L 2004 Ch 98, and was effective 05/03/2004.)

Summary of the rule or change:

Due to a change in the law, this rule is no longer needed. H.B. 85 set the benefit amount and eliminated the requirement for the department to have a rule or determine if the benefit amount should be changed every other year. This rule is repealed in its entirety.

State statutory or constitutional authorization for this rule:

Sections 31A-2-201 and 31A-22-610.1

Anticipated cost or savings to:

the state budget:

The elimination of this rule will have no financial impact on the insurance industry or the public since the law supercedes the rule and therefore has left the rule powerless.

local governments:

This rule has no effect on local government since it deals only with the relationship between the department, and their licensees, health insurers, and the benefits provided in their insurance policies that we regulate.

other persons:

The elimination of this rule will have no financial impact on the insurance industry or the public since the law supercedes the rule and therefore has left the rule powerless.

Compliance costs for affected persons:

The elimination of this rule will have no financial impact on the insurance industry or the public since the law supercedes the rule and therefore has left the rule powerless.

Comments by the department head on the fiscal impact the rule may have on businesses:

The elimination of this rule will have no financial impact on the insurance industry in Utah.

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Direct questions regarding this rule to:

Jilene Whitby at the above address, by phone at 801-538-3803, by FAX at 801-538-3829, or by Internet E-mail at jwhitby@utah.gov

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

07/15/2004

This rule may become effective on:

07/16/2004

Authorized by:

Jilene Whitby, Information Specialist

RULE TEXT

R590. Insurance, Administration.

[R590-204. Adoption Indemnity Benefit.

R590-204-1. Authority.

The requirements of this rule are authorized under Subsections 31A-2-201(3) and 31A-22-610.1(1)(c).

R590-204-2. Purpose.

The purpose of this rule is to:

(1) provides for the establishment and review of the adoption indemnity benefit amount; and

(2) provide reasonable adjustment every two years, taking into account all available data, including the average insurance cost of an uncomplicated birth.

R590-204-3. Scope and Applicability.

This rule shall apply to all insurance policies governed by the Utah Insurance Code that provide coverage for maternity benefits to any insured on the date of any adoptive placement.

R590-204-4. Definitions.

Terms used in this rule are defined in Sections 31A-1-301 and 31A-22-610.1.

R590-204-5. Current Level of Indemnity Benefit.

Considering all relevant factors, the current amount of the adoption indemnity benefit is set at $3,155.

R590-204-6. Severability.

If any provision or clause of this rule or its application to any person or situation is held to be invalid, that invalidity shall not affect any other provision or application of this rule which can be given effect without the invalid provision or application, and to this end the provisions of this rule are declared to be severable.

KEY: insurance benefits

February 9, 2001

31A-2-201

31A-22-610.1]

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For questions regarding the content or application of this rule, please contact Jilene Whitby at the above address, by phone at 801-538-3803, by FAX at 801-538-3829, or by Internet E-mail at jwhitby@utah.gov

For questions about the rulemaking process, please contact the Division of Administrative Rules (801-538-3764). Please Note: The Division of Administrative Rules is NOT able to answer questions about the content or application of these administrative rules.