ACT NO. 54
This act makes a number of changes to Vermont laws regulating the formation, conversion, and operation of health insurance companies, Blue Cross and Blue Shield, and health maintenance organizations. Standards and procedures are established in the event that Vermont Blue Cross and Blue Shield proposes to reorganize itself. The prudent investor rule is established for Blue Cross and Blue Shield investments. The Department of Banking, Insurance, Securities and Health Care Administration is required to report a 10 year projection of health care costs beginning in January 1, 1999. The Commissioner of the Department of Banking, Insurance, Securities and Health Care Administration is authorized to disapprove any proposed mutual holding company formation, and is required to report to the General Assembly by December 1, 1997, with her recommendations relating to mutual holding company reorganizations.
Effective Date: On passage, June 26, 1997.