ACT 62: Community Health Reinvestment Activities
Act 62 of 2008 added a provision to the Insurance Company Law of 1921 (the "Act"), requiring all hospital plan corporations and professional health services plan corporations (“Plan”) to report their community health reinvestment activities. Community health reinvestment activities are community health services and projects that improve health care or make health care more accessible. On or before March 30 of every year, each Plan is required to submit to the Insurance Department (PID) its proposal for the manner in which they will provide anticipated community health reinvestment activities during the next fiscal year, including an itemization of the individual community health reinvestment activities and the cost of each activity.
Under Section 2501 of the Act, community health reinvestment activities include:
Funding, subsidization or provision of health care coverage for people unable to pay for coverage;
Health care services for people who are uninsured and unable to pay for services; and
Programs for the prevention and treatment of disease or injury, including mental retardation, mental disorders, mental health counseling or the promotion of health or wellness.
Under Section 2501 of the Act, community health reinvestment activities do NOT include:
Expenditures for advertising or public relations;
Administrative costs associated with State health care programs;
Programs provided as an employee benefit;
Use of facilities for meetings held by community groups; or
Expenses for in-service training, continuing education, orientation or mentoring of employees.