08/31/2010 - Governor Arnold Schwarzenegger today issued the following statement after the legislature passed SB 1163 by Senator Mark Leno (D-San Francisco) to provide greater consumer protections and transparency in health insurance rates:
"This legislation will not only create greater transparency in health insurance rates, it will also lead to better consumer choices, more competitive plans and better overall cost-containment in our health care system. I applaud Senator Leno for his hard work on this important legislation."
The Governor first announced the state's medical insurance rate review proposal to make costs more transparent and ensure greater consumer protection earlier this year. SB 1163 embodies the Governor's proposal by requiring all premium filings be reviewed and certified by an independent actuary to ensure premium costs are accurately calculated and all proposed rate increases be posted on both department and insurer websites making costs more transparent. These consumer protections exceed what federal law requires under federal health care reform.