Session of 1998
                   
SENATE BILL No. 509
         
By Committee on Financial Institutions and Insurance
         
1-27
            9             AN ACT relating to accident and health insurance; providing coverage
10             for durable medical equipment; amending K.S.A. 1997 Supp. 40-19c09
11             and repealing the existing section; also repealing K.S.A. 1997 Supp.
12             40-1909.
13            
14       Be it enacted by the Legislature of the State of Kansas:
15           New Section 1. (a) Any individual or group health insurance policy,
16       medical service plan, contract, hospital service corporation contract, hos-
17       pital and medical service corporation contract, fraternal benefit society
18       or health maintenance organization which provides coverage for accident
19       and health services and which is delivered, issued for delivery, amended
20       or renewed on or after July 1, 1998, also, shall provide coverage for du-
21       rable medical equipment in the amount of at least $10,000 per individual
22       per year. Power equipment, including powered wheelchairs and scooters,
23       shall be covered when prescribed by a physician.
24           (b) The benefits provided in this act shall be subject to the same
25       annual deductible or co-insurance established for all other covered ben-
26       efits within a given policy.
27           (c) As used this section, ``durable medical equipment'' means:
28           (1) Any item, piece of equipment or product system, whether bought
29       off the shelf, modified or customized, that:
30           (A) Is capable of withstanding repeated use;
31           (B) is used to correct or accommodate a physiological condition or
32       physical disability; and
33           (C) allows the user to regain, maintain, increase or improve cognitive
34       or physical functions which are prevented or restricted due to disability
35       (such functions include, but are not limited to, ambulating from place to
36       place independently, reading, comprehending spoken language or envi-
37       ronmental sounds, expressive communications, counting, memorizing or
38       gathering thoughts. Examples of such equipment shall include, but not
39       limited to, manual wheelchairs, motorized wheelchairs, motorized scoot-
40       ers and other aides that enhance the mobility of an individual, low vision
41       devices, CCTVs, hearing aides and augmentative communication devices;
42       or
43           (2) any services which directly assist in the selection, acquisition or

SB 509

2

  1       use of durable medical equipment.
  2           Sec. 2. K.S.A. 1997 Supp. 40-19c09 is hereby amended to read as
  3       follows: 40-19c09. (a) Corporations organized under the nonprofit med-
  4       ical and hospital service corporation act shall be subject to the provisions
  5       of the Kansas general corporation code, articles 60 to 74, inclusive, of
  6       chapter 17 of the Kansas Statutes Annotated, applicable to nonprofit cor-
  7       porations, to the provisions of K.S.A. 40-214, 40-215, 40-216, 40-218, 40-
  8       219, 40-222, 40-223, 40-224, 40-225, 40-226, 40-229, 40-230, 40-231, 40-
  9       235, 40-236, 40-237, 40-247, 40-248, 40-249, 40-250, 40-251, 40-252,
10       40-254, 40-2,100, 40-2,101, 40-2,102, 40-2,103, 40-2,104, 40-2,105, 40-
11       2,116, 40-2,117, 40-2a01 et seq., 40-2111 to 40-2116, inclusive, 40-2215
12       to 40-2220, inclusive, 40-2221a, 40-2221b, 40-2229, 40-2230, 40-2250,
13       40-2251, 40-2253, 40-2254, 40-2401 to 40-2421, inclusive, and 40-3301
14       to 40-3313, inclusive, K.S.A. 1997 Supp. 40-2,153, 40-2,154, 40-2,160 and
15       40-2,161, and amendments thereto, and section 1, except as the context
16       otherwise requires, and shall not be subject to any other provisions of the
17       insurance code except as expressly provided in this act.
18           (b) No policy, agreement, contract or certificate issued by a corpo-
19       ration to which this section applies shall contain a provision which ex-
20       cludes, limits or otherwise restricts coverage because medicaid benefits
21       as permitted by title XIX of the social security act of 1965 are or may be
22       available for the same accident or illness.
23           (c) Violation of subsection (b) shall be subject to the penalties pre-
24       scribed by K.S.A. 40-2407 and 40-2411, and amendments thereto.
25           Sec. 3. K.S.A. 1997 Supp. 40-1909 and 40-19c09 are hereby re-
26       pealed.
27           Sec. 4. This act shall take effect and be in force from and after its
28       publication in the statute book.
29