Senate Bill 25-010 Engrossed

A Bill for an Act

• Page 1, Line 101Concerning electronic communications in health care.

Bill Summary

(Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov.)

Subject to specific requirements, the bill allows a notice to a party or other document required by law in an insurance transaction or that is to serve as evidence of health insurance coverage to be delivered, stored, and presented by electronic means if the electronic means meet the requirements of the "Uniform Electronic Transactions Act". The delivery of a notice or document by electronic means is considered the equivalent to and has the same effect as any other delivery method required by law. The bill requires health insurance carriers to deliver paper communications to individuals that may not have consistent access to the internet and to any individuals that may elect to receive paper communications upon request.

An insurance producer is not subject to civil liability for any harm or injury that occurs because of a party's election to receive any notice or document by electronic means or by a carrier's failure to deliver or a party's failure to receive a notice or document by electronic means.

A carrier may mail, deliver, or, if the carrier obtains separate, specific consent, post on the carrier's website a health coverage plan and an endorsement that does not contain personal identifying information. If the carrier elects to post a health coverage plan and an endorsement on the carrier's website in lieu of mailing or delivering the health coverage plan and endorsement, the carrier shall comply with certain conditions.

The commissioner of insurance is required to adopt rules to implement the bill.

• Page 2, Line 1Be it enacted by the General Assembly of the State of Colorado:

• Page 2, Line 2SECTION 1.  In Colorado Revised Statutes, 10-16-135, amend (1)(a) introductory portion, (1)(b), (1)(c); and add (1)(d), as follows:

• Page 2, Line 310-16-135.  Health coverage plan information cards - rules -

• Page 2, Line 4standardization - contents. (1) (a)  The commissioner shall adopt rules

• Page 2, Line 5requiring every carrier providing a health benefit plan to issue to covered

• Page 2, Line 6persons to whom a health benefit plan identification card is issued a

• Page 2, Line 7standardized, printed, electronic card containing plan information. To

• Page 2, Line 8the extent possible, the rules shall incorporate and not conflict with the

• Page 2, Line 9requirements of section 10-16-124 regarding prescription information

• Page 2, Line 10cards. The commissioner shall adopt initial rules by October 31, 2008,

• Page 2, Line 11that describe the format of a standardized, printed card to be issued by

• Page 2, Line 12carriers to persons covered under a health benefit plan to whom health

• Page 2, Line 13benefit plan identification cards are issued. The rules establishing the

• Page 2, Line 14format for the printed or electronic card shall include a standard size,

• Page 2, Line 15shall require the card to be legible and photocopied, and shall delineate

• Page 2, Line 16the information to be contained on the card, including but not limited to the following information, as applicable:

• Page 3, Line 1(b)  The rules adopted pursuant to paragraph (a) of this subsection

• Page 3, Line 2(1) shall require all carriers to A carrier shall issue a standardized,

• Page 3, Line 3printed, or electronic card to a covered person to whom a health

• Page 3, Line 4benefit plan identification card is issued upon the purchase or renewal of

• Page 3, Line 5or enrollment in a plan. on or after July 1, 2009. No later than July 1,

• Page 3, Line 62010, all carriers shall issue the standardized, printed card to covered persons to whom health benefit plan identification cards are issued

• Page 3, Line 7(c)  Nothing in this section shall preclude a carrier from including

• Page 3, Line 8information on the standardized, printed, or electronic cards that is in

• Page 3, Line 9addition to the information required to be included on the card pursuant to rules adopted pursuant to this section.

• Page 3, Line 10(d)  A carrier shall provide a printed card to a covered person upon request.

• Page 3, Line 11SECTION 2.  In Colorado Revised Statutes, add 10-16-170 as follows:

• Page 3, Line 1210-16-170.  Delivery of notices and documents by electronic

• Page 3, Line 13means - definitions - consent required - withdrawal of consent -

• Page 3, Line 14employers - immunity from liability - posting of plans and

• Page 3, Line 15endorsements on carrier website - applicability - rules. (1)  As used in this section, unless the context otherwise requires:

• Page 3, Line 16(a)  "Delivered by electronic means" means:

• Page 3, Line 17(I)  Delivery to an electronic mail address at which a party has consented to receive notices or documents; or

• Page 3, Line 18(II)  Posting on an electronic network, site, or consumer

• Page 3, Line 19portal accessible via the internet, a mobile application, a

• Page 3, Line 20computer, a mobile device, a tablet, or any other electronic

• Page 4, Line 1device, together with separate notice of the posting provided by

• Page 4, Line 2electronic mail to the address at which the party has consented

• Page 4, Line 3to receive notice or by any other delivery method that has been

• Page 4, Line 4consented to by the party. The separate notice of the posting

• Page 4, Line 5must contain the internet address at which the documents are

• Page 4, Line 6posted, and delivery is effective upon the posting or the actual

• Page 4, Line 7delivery of the separate notice of the posting, whichever occurs later.

• Page 4, Line 8(b)  "Party" means a recipient of a notice or document

• Page 4, Line 9required as part of an insurance transaction, including an

• Page 4, Line 10applicant for health insurance coverage, a covered person, a policyholder, or an annuity contract holder.

• Page 4, Line 11(2) (a)  Notwithstanding any provision of this article 16 to

• Page 4, Line 12the contrary, subject to the requirements of this section, a

• Page 4, Line 13notice to or from a party or other document required by law in

• Page 4, Line 14an insurance transaction that is related to a provision in a

• Page 4, Line 15health insurance contract or that is to serve as evidence of

• Page 4, Line 16health insurance coverage may be delivered by a carrier or to

• Page 4, Line 17a carrier, stored, and presented by electronic means if the

• Page 4, Line 18electronic means meet the requirements of the "Uniform Electronic Transactions Act", article 71.3 of title 24.

• Page 4, Line 19(b)  The delivery of a notice or document in accordance

• Page 4, Line 20with this section is considered the equivalent to and has the

• Page 4, Line 21same effect as any delivery method required by law, including

• Page 4, Line 22delivery by first-class mail, first-class mail with postage

• Page 4, Line 23prepaid, certified mail, certificate of mail, or certificate of

• Page 4, Line 24mailing.

• Page 5, Line 1(c)  A carrier shall establish a consumer portal or other

• Page 5, Line 2accessible means for policyholders to submit requests, notices,

• Page 5, Line 3or responses to the carrier by electronic means, including the

• Page 5, Line 4ability to confirm that the communication by electronic means has been received by the carrier.

• Page 5, Line 5(d)  A carrier shall not require policyholders to submit

• Page 5, Line 6requests, notices, or responses by facsimile or non-electronic

• Page 5, Line 7means, unless the consumer chooses submission by facsimile or nonelectronic means.

• Page 5, Line 8(3)  A notice or document may be delivered by electronic means by a carrier to a party pursuant to this section if:

• Page 5, Line 9(a)  The party has affirmatively consented electronically,

• Page 5, Line 10or confirmed consent electronically, in a manner that

• Page 5, Line 11reasonably demonstrates that the party can access information

• Page 5, Line 12in the electronic form that will be used for notices or

• Page 5, Line 13documents delivered by electronic means to which the party has

• Page 5, Line 14given consent, and the party has not withdrawn the consent; and

• Page 5, Line 15(b)  Before the party consents, the carrier provides the party a clear and conspicuous statement informing the party of:

• Page 5, Line 16(I)  The hardware and software requirements for access

• Page 5, Line 17to and retention of a notice or document delivered by electronic means;

• Page 5, Line 18(II)  The types of notices and documents to which the party's consent applies;

• Page 5, Line 19(III)  The right of the party to withdraw consent at any

• Page 5, Line 20time, at no charge, and any conditions or consequences to be imposed in the event consent is withdrawn;

• Page 6, Line 1(IV)  The procedures a party must follow to withdraw

• Page 6, Line 2consent, which procedures must be no more burdensome than the

• Page 6, Line 3procedures required to provide consent, to have a notice or

• Page 6, Line 4document delivered by electronic means, or to update the party's electronic mail address; and

• Page 6, Line 5(V)  The party's right to have any notice or document delivered in paper form upon request.

• Page 6, Line 6(4) (a)  Notwithstanding subsection (3) of this section, an

• Page 6, Line 7employer offering a health coverage plan may, on behalf of a

• Page 6, Line 8covered person enrolled in the plan, provide consent to the

• Page 6, Line 9mailing of all communications related to the plan by electronic

• Page 6, Line 10means if, before consenting on behalf of a covered person, an employer has:

• Page 6, Line 11(I)  Confirmed that the covered person routinely uses

• Page 6, Line 12electronic communications during the normal course of

• Page 6, Line 13employment and is able to access and retain electronic communications that may be delivered by the carrier; and

• Page 6, Line 14(II)  Informed the covered person that the consent will be

• Page 6, Line 15provided and notices and documents related to the plan may be

• Page 6, Line 16delivered to the covered person's work electronic mail address

• Page 6, Line 17unless the covered person affirmatively opts out of delivery by

• Page 6, Line 18electronic means or provides an alternative electronic mail address.

• Page 6, Line 19(b)  The carrier for the health coverage plan shall:

• Page 6, Line 20(I)  Provide the covered person with a clear and

• Page 6, Line 21conspicuous statement informing the covered person of:

• Page 7, Line 1(A)  The types of notices and documents that may be delivered to the covered person by electronic means;

• Page 7, Line 2(B)  The right of the covered person to withdraw consent

• Page 7, Line 3to have a notice or document delivered by electronic means at any time without charge;

• Page 7, Line 4(C)  The procedures the covered person must follow to

• Page 7, Line 5withdraw consent to have a notice or document delivered by

• Page 7, Line 6electronic means and to update the covered person's electronic mail address; and

• Page 7, Line 7(D)  The right of the covered person to have any notice or

• Page 7, Line 8document delivered, upon request, in paper form free of charge; and

• Page 7, Line 9(II)  Provide the covered person an opportunity to opt out of delivery by electronic means.

• Page 7, Line 10(5)  A carrier that receives a party's consent for the

• Page 7, Line 11delivery of notices or documents by electronic means shall

• Page 7, Line 12ensure that the applicable provisions of the conditions under

• Page 7, Line 13the "Uniform Electronic Transactions Act", article 71.3 of title 24, are satisfied, as required by subsection (2)(a) of this section.

• Page 7, Line 14(6) (a)  When a notice or document is provided

• Page 7, Line 15electronically to a party pursuant to this section, a carrier

• Page 7, Line 16shall apprise the party of the significance of the notice or

• Page 7, Line 17document, when it is not otherwise reasonably evident, and of

• Page 7, Line 18the right to request and obtain a paper version of the notice or document.

• Page 7, Line 19(b)  A carrier shall take all reasonable measures to

• Page 7, Line 20ensure that delivery by electronic means pursuant to this section results in the party's receipt of the notice or document.

• Page 8, Line 1(7)  After a party gives consent for the delivery of notices

• Page 8, Line 2and documents by electronic means, if a change in the hardware

• Page 8, Line 3or software requirements needed to access or retain a notice or

• Page 8, Line 4document creates a material risk that the party will not be

• Page 8, Line 5able to access or retain a notice or document to which the

• Page 8, Line 6consent applies, the carrier shall not deliver the notice or

• Page 8, Line 7document by electronic means unless the carrier complies with

• Page 8, Line 8subsection (3) of this section and provides the party a statement that describes:

• Page 8, Line 9(a)  The revised hardware and software requirements for

• Page 8, Line 10access to and retention of a notice or document delivered by electronic means; and

• Page 8, Line 11(b)  The right of the party to withdraw consent without

• Page 8, Line 12the imposition of any condition or consequence that was not disclosed at the time of initial consent.

• Page 8, Line 13(8) (a)  This section does not affect requirements related

• Page 8, Line 14to the content or timing of any notice or document required by any other applicable law.

• Page 8, Line 15(b)  If another applicable law expressly requires a

• Page 8, Line 16confirmation of receipt of a notice or document, the notice or

• Page 8, Line 17document may be delivered by electronic means only if the

• Page 8, Line 18method used provides for active confirmation of receipt by the recipient.

• Page 8, Line 19(c)  This section does not apply to a notice or document

• Page 8, Line 20that a carrier delivered by electronic means before the

• Page 8, Line 21effective date of this section to a party who, before that date,

• Page 9, Line 1consented to receive the notice or document by electronic means as otherwise allowed by law.

• Page 9, Line 2(d)  The legal effectiveness, validity, or enforceability of

• Page 9, Line 3any contract or policy of insurance executed by a party shall

• Page 9, Line 4not be denied solely because of the failure of the carrier to

• Page 9, Line 5obtain or confirm the party's consent for the delivery of notices

• Page 9, Line 6or documents by electronic means so long as the notice or document is delivered in paper form.

• Page 9, Line 7(9) (a)  A party's withdrawal of consent does not affect

• Page 9, Line 8the legal effectiveness, validity, or enforceability of a notice

• Page 9, Line 9or document that is delivered by electronic means to the party before the party's withdrawal of consent is effective.

• Page 9, Line 10(b)  A withdrawal of consent by a party shall be effective

• Page 9, Line 11within a reasonable period of time after receipt of the withdrawal by the carrier.

• Page 9, Line 12(c)  A carrier's failure to comply with subsection (3) or (4)

• Page 9, Line 13of this section may be treated, at the election of a party, as a withdrawal of the party's consent for purposes of this section.

• Page 9, Line 14(10)  If the consent of a party to receive notices or

• Page 9, Line 15documents by electronic means is on file with a carrier before

• Page 9, Line 16the effective date of this section, and a carrier intends to

• Page 9, Line 17deliver additional notices or documents to the party by

• Page 9, Line 18electronic means pursuant to this section, then prior to

• Page 9, Line 19delivering the additional notices or documents by electronic

• Page 9, Line 20means, the carrier shall comply with subsection (2) of this section and shall provide the party a statement that describes:

• Page 9, Line 21(a)  The notices or documents to be delivered by electronic

• Page 10, Line 1means that were not previously delivered by electronic means; and

• Page 10, Line 2(b)  The party's right to withdraw consent to have notices

• Page 10, Line 3or documents delivered by electronic means, without the

• Page 10, Line 4imposition of any condition or consequence that was not disclosed at the time of initial consent.

• Page 10, Line 5(11) (a)  A carrier shall deliver a notice or document by

• Page 10, Line 6any other delivery method permitted by law other than by electronic means if:

• Page 10, Line 7(I)  The carrier attempts to deliver the notice or document

• Page 10, Line 8by electronic means and reasonably believes that the notice or document has not been received by the party; or

• Page 10, Line 9(II)  The carrier becomes aware that the electronic mail address provided by the party is no longer valid.

• Page 10, Line 10(b)  A party's consent to have notices or documents

• Page 10, Line 11delivered by electronic means does not preclude the carrier

• Page 10, Line 12from delivering a notice or document by any other delivery method permitted by law.

• Page 10, Line 13(12)  An insurance producer licensed pursuant to part 4 of

• Page 10, Line 14article 2 of this title 10 is not subject to civil liability for any

• Page 10, Line 15harm or injury that occurs because of a party's election to

• Page 10, Line 16receive any notice or document by electronic means or by a

• Page 10, Line 17carrier's failure to deliver or a party's failure to receive a notice or document by electronic means.

• Page 10, Line 18(13) (a)  A health coverage plan and an endorsement that

• Page 10, Line 19does not contain personal identifying information may be

• Page 10, Line 20mailed, delivered, or, if the carrier obtains separate, specific

• Page 11, Line 1consent, posted on the carrier's website. If the carrier elects to

• Page 11, Line 2post a covered person's health coverage plan and an

• Page 11, Line 3endorsement on the carrier's website in lieu of mailing or

• Page 11, Line 4delivering the health coverage plan and endorsement to the

• Page 11, Line 5covered person, the carrier shall comply with the following conditions:

• Page 11, Line 6(I)  The health coverage plan and endorsement must be

• Page 11, Line 7accessible to the covered person and producer of record and remain accessible while the health coverage plan is in force;

• Page 11, Line 8(II)  After the expiration of the health coverage plan, the carrier shall either:

• Page 11, Line 9(A)  Make the expired health coverage plan and

• Page 11, Line 10endorsement available upon request, for a period of five years; or

• Page 11, Line 11(B)  If the carrier continues to make the expired health

• Page 11, Line 12coverage plan or endorsement available on its website, continue

• Page 11, Line 13to allow the covered person to access the health coverage plan and endorsement for at least five years;

• Page 11, Line 14(III)  The carrier shall post the health coverage plan and

• Page 11, Line 15endorsement in a manner that enables the covered person and

• Page 11, Line 16producer of record to print and save the health coverage plan

• Page 11, Line 17and endorsement using a program or application that is widely available on the internet and free to use;

• Page 11, Line 18(IV)  The carrier shall provide the following information

• Page 11, Line 19in, or simultaneous with, each declaration page provided at the

• Page 11, Line 20time of issuance of the initial health coverage plan and any

• Page 11, Line 21renewals of the health coverage plan:

• Page 12, Line 1(A)  A description of the exact health coverage plan and endorsement form applicable to the covered person;

• Page 12, Line 2(B)  A description of the covered person's right to receive,

• Page 12, Line 3upon request and without charge, an electronic and a paper copy of the health coverage plan and endorsement; and

• Page 12, Line 4(C)  The internet address at which the health coverage plan and endorsement are posted;

• Page 12, Line 5(V)  The carrier, upon a covered person's request and

• Page 12, Line 6without charge following receipt of the initial copy, shall mail

• Page 12, Line 7a paper copy of the health coverage plan and endorsement to

• Page 12, Line 8the covered person; except that the carrier may charge a fee for subsequent mailings of paper copies; and

• Page 12, Line 9(VI)  The carrier shall provide notice, either electronically or in writing at the covered person's option, of:

• Page 12, Line 10(A)  Any change to the forms or endorsement;

• Page 12, Line 11(B)  The covered person's right to obtain, upon request and

• Page 12, Line 12once without charge following receipt of the initial copy, a paper copy of the forms or endorsement; and

• Page 12, Line 13(C)  The internet address at which the forms or endorsement is posted.

• Page 12, Line 14(b)  This subsection (13) does not affect the timing or

• Page 12, Line 15content of any disclosure or document required to be provided or made available to any covered person under applicable law.

• Page 12, Line 16(14)  On or before January 1, 2026, the commissioner shall

• Page 12, Line 17adopt rules to implement this section, including rules that require each carrier that provides a health coverage plan to:

• Page 12, Line 18(a)  Issue a standardized written or electronic card

• Page 13, Line 1containing necessary plan information to each covered person; and

• Page 13, Line 2(b)  Issue a written version of the card containing the

• Page 13, Line 3required information to a covered person upon the covered person's request.

• Page 13, Line 4SECTION 3.  Act subject to petition - effective date -

• Page 13, Line 5applicability. (1)  This act takes effect January 1, 2026; except that, if a

• Page 13, Line 6referendum petition is filed pursuant to section 1 (3) of article V of the

• Page 13, Line 7state constitution against this act or an item, section, or part of this act

• Page 13, Line 8within the ninety-day period after final adjournment of the general

• Page 13, Line 9assembly, then the act, item, section, or part will not take effect unless

• Page 13, Line 10approved by the people at the general election to be held in November

• Page 13, Line 112026 and, in such case, will take effect January 1, 2026, or on the date of

• Page 13, Line 12the official declaration of the vote thereon by the governor, whichever is later.

• Page 13, Line 13(2)  This act applies to conduct occurring on or after the applicable effective date of this act.