TRENTON, New Jersey, December 3 — Governor Phil MurphyD-New Jerseyissued the following press release on December 1, 2022:
The New Jersey Department of Banking and Insurance announced that it has published a study on access to comprehensive reproductive health care that revealed the need for regulatory action to require coverage of abortion services under health benefit plans regulated by the department, and began the formal process of developing rules to implement the requirement. The department conducted this study as part of the implementation of the landmark Reproductive Freedom of Choice Act signed by Governor Phil Murphy earlier this year, which codifies the constitutional right to reproductive choice in New Jersey.
“The results of the Directorate of Banks and Insurance study confirms what we have known for a long time – that rights without access mean nothing,” said Governor Murphy. “In light of the study’s findings, the Department has begun the process of establishing a requirement that will ensure access to abortion services without exceptions that limit coverage. vote to finalize the earliest date in order to ensuring that more of our residents can access the care they need and deserve as soon as possible.”
“In conducting this study, the department considered a variety of considerations, such as medical evidence, cost impacts, practices in other states, social impacts, and the regulatory environment,” said Commissioner. Marlene Caride. “Based on the study’s findings, there is a need for clear regulations to ensure abortion coverage under state-regulated health benefit plans. The department has begun the formal process developing rules to establish the coverage requirement and ensure comprehensive insurance coverage for reproductive care across all plans in the department’s regulated markets, and instructed insurers in the retail and small employer markets to implement the change as quickly as possible. We are encouraged by the steps taken and look forward to the implementation of the change for 2023.”
Under the Administrative Procedures Act rules process, the requirement could come into effect the next plan year, the January 1, 2024. However, the department requested that individual market insurance companies, which include those offering plans through Get Covered New Jersey, the state utility Official health insurance marketout-of-market and small-employer market, implement the change as soon as possible to make coverage for abortion services, without exception, effective by the start of plan year 2023 on January 1, 2023.
At the request of the department, the Individual Health Coverage Program Board voted yesterday to propose the change, beginning the process of implementing the change. The Small Employer Health Program Board also voted today to start the process. After a 20-day public comment period, the two councils are expected to hold a final vote in late December to pass the change to make the requirement effective. January 1, 2023.
Currently, health insurance coverage for abortion services in regulated markets is neither explicitly prohibited nor required by federal or state law. However, in the most regulated markets, the personal and small employer markets, all insurers currently offer some type of abortion coverage. Carriers in these markets may choose to limit this coverage to cases of rape, incest or the life of the woman.
Regulation requiring full and uniform coverage of abortion in regulated markets is consistent with the rights protected under the Reproductive Choice Act. The ministry’s study found that requiring abortion insurance coverage, with no exceptions that limit coverage, will not increase premiums significantly, will contribute to access to the full range of reproductive health care, will increase transparency and be consistent with measures taken in other states. .
As part of its study under the Act, the ministry requested specific information and conducted an analysis of available data on the cost and possible impacts on insurance coverage if abortion coverage were required. in regulated markets. Consumer and small business market carriers New Jersey were asked to provide the impact of covering all abortions as part of their 2023 rate filings. Carriers estimated a zero impact range at 0.1% of premium. Therefore, the adoption of an abortion coverage requirement should not have a significant impact on insurance prices in regulated markets.
The law also recognizes the right of certain religious employers to request an exclusion under a health insurance contract if the required coverage conflicts with the religious employer’s genuine religious beliefs and practices. Therefore, the regulation proposed by the department would incorporate such an exception.
In preparation for the study, the department accepted public input on access to comprehensive reproductive care, coverage of reproductive services, and related health impacts. In response, hundreds of comments were submitted and reviewed by the department.
The New Jersey State exercises regulatory authority in certain health insurance markets. Specifically, the Department regulates markets for fully insured personal, small employer, and large employer health insurance, often referred to as “regulated markets.” The individual market includes plans offered in the market, through Get Covered New Jersey, the Official health insurance marketand out of market.
The ministry began the regulatory process on November 23 advancing the requirement that state-regulated plans cover abortion services without exceptions that limit coverage, by beginning the pre-notification process that makes public and solicits comments on the proposal before it is published in the New Jersey Registry, which provides for a 60-day public comment period. Simultaneously, the Individual health coverage and advice from the Small Employer Health Benefits Program moving forward with implementing the requirement for the individual and small employer markets, effective January 1, 2023. The requirement would come into effect in the large employer market after the completion of the regulatory process under the Administrative Procedure Act in 2023.
The study can be found here: https://nj.gov/dobi/PL2021c.375report.pdf.
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Original text here: https://nj.gov/governor/news/news/562022/approved/20221201b.shtml
