1. The aggregate number of children and adult beneficiaries of state-funded services who have or have had private health insurance at any time while they are receiving or have received state-funded services and the aggregate amount of state dollars expended for those services; and

2. The aggregate number of children who have received the eligibility option under the Katie Beckett program for mental health services after denial of coverage by their families' private health insurers.

The departments shall submit a report containing the information required by this section to the Department of Professional and Financial Regulation, Bureau of Insurance by November 1, 2001; and be it further

Sec. 2. Private health insurance; claims denials for coverage of mental illness. Resolved: That the Department of Professional and Financial Regulation, Bureau of Insurance shall collect the following information related to claims denials for coverage of mental illness for the years 1995 to 2000:

1. The number of claims denials for coverage of mental health services and the general reasons for those claims denials for each health insurer doing business in Maine; and

2. The number of complaints and grievances filed with health insurers and the Bureau of Insurance for denial of coverage for mental health services and the resolution of those complaints and grievances; and be it further

Sec. 3. Bureau of Insurance report. Resolved: That the Department of Professional and Financial Regulation, Bureau of Insurance shall submit the report required pursuant to the Maine Revised Statutes, Title 24-A, section 2752 evaluating the proposed mandated health insurance benefit for parity coverage of mental illness and mental disorders, eating disorders and substance abuse to the Joint Standing Committee on Banking and Insurance by January 15, 2002. The report submitted by the bureau must include the information required under sections 1 and 2 of this resolve; and be it further

Sec. 4. Allocation. Resolved: That the following funds are allocated from Other Special Revenue funds to carry out the purposes of this resolve.

2001-02

PROFESSIONAL AND FINANCIAL

REGULATION, DEPARTMENT OF

Bureau of Insurance

All Other $2,400

Allocates funds to compile information related to claims denials for coverage of mental illness from 1995 to 2000 and to prepare the required report.

Emergency clause. In view of the emergency cited in the preamble, this resolve takes effect when approved.

FISCAL NOTE

2001-02

APPROPRIATIONS/ALLOCATIONS

Other Funds $2,400

REVENUES

Other Funds $2,400

The additional costs associated with submitting a report to the Bureau of Insurance can be absorbed by the Department of Corrections, the Department of Human Services and the Department of Mental Health, Mental Retardation and Substance Abuse Services utilizing existing budgeted resources.

The Department of Education will require additional General Fund appropriations of an indeterminate amount in fiscal year 2001-02 to collect certain information from 3,834 students and their families who are expected to be affected by this legislation.

This resolve includes an Other Special Revenue funds allocation of $2,400 in fiscal year 2001-02 for the Bureau of Insurance within the Department of Professional and Financial Regulation to compile the required information and submit the report by January 15, 2002.

SUMMARY

This resolve is reported out pursuant to joint order by the Joint Standing Committee on Banking and Insurance. The resolve requires the Department of Mental Health, Mental Retardation and Substance Abuse Services, the Department of Human Services, the Department of Education and the Department of Corrections to study the cost savings to the state budget that may result from legislation requiring parity coverage for mental illness and mental disorders, eating disorders and substance abuse. The resolve also requires the Department of Professional and Financial Regulation, Bureau of Insurance to collect information relating to the denial of claims for coverage of mental illness over the last 5 years. The resolve requires the Bureau of Insurance to compile this information on cost savings and claims denials in a report to the Joint Standing Committee on Banking and Insurance by January 15, 2002.

The resolve is an emergency and takes effect when approved.

The resolve also includes an allocation section and a fiscal note.