Health care coverage: rate review.

Existing law, the Knox-Keene Health Care Service Plan Act of 1975, provides for the licensure and regulation of health care service plans by the Department of Managed Health Care. Existing law provides for the regulation of health insurers by the Department of Insurance. Existing law requires that health care service plans and health insurers submit rates to their regulating entity for review and to demonstrate the impact of any changes in the rate of growth of health care costs resulting from health care cost targets. This bill would require the Department of Managed Health Care and the Department of Insurance, in collaboration with the Office of Health Care Affordability, to each conduct an enhanced rate review to determine if health care premiums are affordable for individual and group purchasers.