Proposed Extension of Information Collection Request Submitted for Public Comment and Recommendations; Notice of Pre-Existing Condition Exclusion, Health Insurance Portability for Group Health Plans

[Federal Register Volume 64, Number 248 (Tuesday, December 28, 1999)]
[Notices]
[Pages 72697-72698]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-33600]


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DEPARTMENT OF LABOR

Pension and Welfare Benefits Administration


Proposed Extension of Information Collection Request Submitted 
for Public Comment and Recommendations; Notice of Pre-Existing 
Condition Exclusion, Health Insurance Portability for Group Health 
Plans

ACTION: Notice.

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SUMMARY: The Department of Labor, as part of its continuing effort to 
reduce paperwork and respondent burden, provides the general public and 
Federal agencies with an opportunity to comment on proposed and/or 
continuing collections of information in accordance with the Paperwork 
Reduction Act of 1995 (PRA 95) ( 44 U.S.C. 3506(c)(2)(A)). This program 
helps to ensure that requested data can be provided in the desired 
format, reporting burden (time and financial resources) is minimized, 
collection instruments are clearly understood and the impact of 
collection requirements on respondents can be properly assessed, 
Currently, the Pension and Welfare Benefits Administration is 
soliciting comments concerning the proposed extension of a currently 
approved collection of information, Notice of Pre-Existing Condition 
Exclusion. A copy of the proposed information collection request (ICR) 
can be obtained by contacting the addressee identified below.

DATES: Written comments must be submitted on or before February 28, 
2000.

ADDRESSES: Gerald B. Lindrew, Department of Labor, Pension and Welfare 
Benefits Administration, 200 Constitution Avenue, NW, Washington, DC 
20210, (202) 219-4782, FAX (202) 219-4745 (not toll-free numbers).

SUPPLEMENTARY INFORMATION: 

Background

    Subtitle B of title 1 of ERISA, Part 7, section 707, added by the 
Health Care Portability and Accountability Act of 1996 (Pub. L. 104-
191, Aug. 31, 1996) (HIPAA) authorizes the Secretary of Labor, in 
coordination with the Secretary of Health and Human Services (HHS) and 
the Secretary of the Treasury, to promulgate such regulations as may be 
necessary or appropriate to carry out the provisions of the statute. 
Accordingly, Interim Rules implementing the Portability Requirement for 
Group Health Plans were published on April 8, 1997 (62 FR

[[Page 72698]]

16920 through 16923) (April 8 Interim Rules).
    In order to meet HIPAA's goal of improving portability of health 
care coverage, participants need to understand their right to 
demonstrate prior creditable coverage when entering a group health plan 
that imposes pre-existing condition exclusion provisions. In addition, 
participants entering plans that use an alternative method of 
determining creditable coverage also need to be informed of the plan's 
provisions. Therefore, the Department has determined that plans that 
contain these provisions must disclose that fact to new participants, 
as well as inform individual participants of the extent to which a pre-
existing condition exclusion applies to them.

Review Focus

    The Department of Labor (Department) is particularly interested in 
comments which:
    •  Evaluate whether the proposed collection of information is 
necessary for the proper performance of the functions of the agency, 
including whether the information will have practical utility;
    •  Evaluate the accuracy of the agency's estimate of the 
burden of the proposed collection of information, including the 
validity of the methodology and assumptions used;
    •  Enhance the quality, utility, and clarity of the 
information to be collected; and
    •  Minimize the burden of the collection of information on 
those who are to respond, including through the use of appropriate 
automated, electronic, mechanical, or other technological collection 
techniques or other forms of information technology, e.g., permitting 
electronic submissions of responses.
    Current Actions: The Department has not modified the ICR 
incorporated in the April 8 Interim Rules, but intends to submit the 
ICR to OMB for continued clearance. Comments received in response to 
this notice will be incorporated in the submission of OMB. The existing 
collection of information should be continued because it implements 
disclosure requirements mandated by the portability provisions enacted 
in section 701 of HIPAA. Under the April 8 Interim Final Rules, a group 
health plan or health insurance issuer may not impose any pre-existing 
condition exclusions on a participant unless the participant has been 
notified in writing that the plant contains preexisting condition 
exclusions, that a participant has a right to demonstrate any period of 
prior creditable coverage, and that the plan or issuer will assist the 
participant in obtaining a certificate of prior coverage from any prior 
plan or issuer, if necessary. Plans that use the alternative method of 
crediting coverage must disclose their method at the time of enrollment 
in the plan.
    In addition, the April 8 Interim Rules require that before a plan 
or issuer imposes a preexisting condition exclusion on a particular 
participant, it must first disclose that determination in writing, 
including the basis of the decision, and an explanation of any appeal 
procedure established by the plan or issuer.
    Agency: Department of Labor, Pension and Welfare Benefits 
Administration.
    Title: Notice of Pre-Existing Exclusion.
    Type of Review: Extension of a currently approved collection.
    OMB Number: 1210-0102.
    Affected Public: Business or other for-profit, Not-for-profit 
institutions, Individuals or households.
    Frequency of Response: On occasion.
    Respondents: 6,900.
    Responses: 1,612,750.
    Total Estimated Burden Hours: 6,875.
    Total Burden Cost (Operating and Maintenance): $710,000.
    Comments submitted in response to this notice will be summarized 
and/or included in the request for Office of Management and Budget 
approval of the information collection request; they will also become a 
matter of public record.

    Dated: December 22, 1999.
Gerald B. Lindrew,
Deputy Director, Office of Policy and Research, Pension and Welfare 
Benefits Administration.
[FR Doc. 99-33600 Filed 12-27-99; 8:45 am]
BILLING CODE 4510-29-M