2400 Department of Managed Health Care
Major Program Changes
  • The Governor's Budget proposes 13 positions and $1.8 million for the Department of Managed Health Care (DMHC) to ensure health care plans implement requirements of the federal Patient Protection and Affordable Care Act (PPACA) that take effect in 2011-12. These include requirements that health care plans abide by minimum medical loss ratios and offer dependent care coverage until age 26. Beginning in 2011-12 the PPACA also will prohibit health plans from imposing lifetime benefits limits, imposing cost-sharing for preventive services, and failing to provide coverage to dependents under age 19 due to pre-existing conditions.

  • The Governor's Budget includes two positions and $1 million for the DMHC to ensure health care plans abide by PPACA requirements governing the imposition of unreasonable rate increases. Included is $600,000 to contract for actuarial services to aid in the review of rate increases.