SEARCH SITE
VIRGINIA LAW PORTAL
- Code of Virginia
- Virginia Administrative Code
- Constitution of Virginia
- Charters
- Authorities
- Compacts
- Uncodified Acts
- RIS Users (account required)
SEARCHABLE DATABASES
- Bills & Resolutions
session legislation - Bill Summaries
session summaries - Reports to the General Assembly
House and Senate documents - Legislative Liaisons
State agency contacts
ACROSS SESSIONS
- Subject Index: Since 1995
- Bills & Resolutions: Since 1994
- Summaries: Since 1994
Developed and maintained by the Division of Legislative Automated Systems.
1998 SESSION
SB 248 Insurance; financial regulation of certain insurers.
Introduced by: Richard J. Holland | all patrons ... notes | add to my profiles
SUMMARY:
Insurance; financial regulation of certain insurers. Establishes specific net worth requirements for entities seeking licensure as health maintenance organizations (HMOs), and applies minimum net worth requirements to all HMOs. Additionally, the bill authorizes the SCC to issue notices of financial impairment to HMOs, requiring them to eliminate the impairment within 90 days and prohibiting the issuance of new HMO contracts during the impairment's pendency. A phase-in period for the new minimum capitalization requirements is provided in the bill.
The bill broadens HMOs' investment authority and makes their investments subject to SCC oversight and regulation under Chapter 14 (§ 38.2-1400 et seq.) of the insurance title. HMOs are also brought under provisions of Article 5 (§ 38.2-1322 et seq.) of Chapter 13, governing insurance holding companies. These provisions, already applicable to other insurers, (i) require the disclosure of affiliated relationships and (ii) authorize specific SCC regulatory oversight of material transactions within the holding company system.
The bill also subjects HMOs to current law requiring prior approval of controlling management and exclusive agency contracts. This amendment also extends the application of this provision to premium finance companies, and to dental and optometric service plans, while clarifying its application to legal services plans.
FULL TEXT
- 01/16/98 Senate: Presented & ordered printed 983784845 pdf
- 02/23/98 Senate: Bill text as passed Senate and House (SB248ER) pdf
- 03/13/98 Governor: Acts of Assembly Chapter text (CHAP0042) pdf
HISTORY
- 01/16/98 Senate: Presented & ordered printed 983784845
- 01/16/98 Senate: Referred to Committee on Commerce and Labor
- 01/26/98 Senate: Reported from Commerce and Labor (15-Y 0-N)
- 01/27/98 Senate: Constitutional reading dispensed (40-Y 0-N)
- 01/27/98 Senate: VOTE: CONST. RDG. DISPENSED R (40-Y 0-N)
- 01/28/98 Senate: Read second time and engrossed
- 01/29/98 Senate: Read third time and passed Senate (39-Y 0-N 1-A)
- 01/29/98 Senate: VOTE: PASSAGE R (39-Y 0-N 1-A)
- 01/29/98 Senate: Communicated to House
- 01/30/98 House: Placed on Calendar
- 02/02/98 House: Read first time
- 02/02/98 House: Referred to Committee on Corporations, Insurance and Banking
- 02/19/98 House: Reported from Corp., Ins. & Banking (26-Y 0-N)
- 02/20/98 House: Read second time
- 02/23/98 House: Read third time
- 02/23/98 House: Passed House (Block Vote) (96-Y 0-N)
- 02/23/98 House: VOTE: BLOCK VOTE PASSAGE (96-Y 0-N)
- 02/23/98 Senate: Bill text as passed Senate and House (SB248ER)
- 03/02/98 Senate: Enrolled
- 03/02/98 House: Signed by Speaker
- 03/04/98 Senate: Signed by President
- 03/11/98 Governor: Approved by Governor-Chapter 42 (effective 7/1/98)
- 03/13/98 Governor: Acts of Assembly Chapter text (CHAP0042)