Associated Press: Bill to regulate state health insurance rates stalls

Bill to regulate health insurance rates pulled

By ADAM WEINTRAUB

The Associated Press

Published: Wednesday, August 31, 2011 15:52 PDT
© 2011 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

SACRAMENTO

A bill that would have given California regulators the power to reject health insurance rate increases has been pulled from consideration.

Democratic Assemblyman Mike Feuer of Los Angeles decided Wednesday there were too few votes in the Senate to pass AB52 this year. Senate Democrats were divided on the bill, which passed the Assembly in June.

With just a week remaining in this year's session, Feuer said in a statement that he will try again next year.

The bill would have given the state insurance commissioner and other regulators authority to reject rate increases deemed excessive. Supporters said it would help California families afford insurance.

Groups representing insurers, hospitals and doctors lobbied against the bill, saying the regulations would add bureaucracy and do nothing to address high medical costs.