SB 17-198

Senate Bill 17-198, which has been signed into law, updates Colorado’s rules for when a company wants to take over another health insurance company based in the state. It requires the state’s insurance commissioner to make more information public if there's evidence that the takeover might not follow fair competition laws. The bill also sets aside money and staff time to help enforce these new requirements. This affects anyone involved with or interested in Colorado’s health insurance market, as it aims to ensure transparency and adherence to competitive standards during significant changes within companies.

Official Summary

Current law requires an opportunity for public notice and a hearing for proposed transactions that would result in the acquisition of control of a domestic insurer, which is one that is incorporated or formed pursuant to Colorado law. Section 1 of the bill expands the public notice for acquisition of a domestic insurer that offers health plans by requiring the commissioner of insurance to make certain information available for public inspection if the application presents prima facie evidence of a violation of the competitive standards established by law. Section 2 appropriates $9,505 from the division of insurance cash fund, which is reappropriated to the department of law for implementation of the act along with 0.1 FTE.(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

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