Senate Commerce Committee Statement to Senate, No. 2535 — State of New Jersey (November 3, 2022)

Summary

A Senate Commerce Committee statement to the Senate on Senate Bill No. 2535, State of New Jersey, dated November 3, 2022, reporting the bill favorably with committee amendments. As amended, the bill amends P.L.2008, c.126, "Grace's Law," so that health insurers cover hearing aid expenses for covered persons 21 years old or younger instead of 15 years old or younger. Insurers may limit coverage to one hearing aid for each hearing-impaired ear every 24 months, and benefits must cover treatment related to cochlear implants. The bill requires the School Employees' Health Benefits Commission to meet the same requirements, and the amendments remove a provision on out-of-network parts and accessories.

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SENATE COMMERCE COMMITTEE

STATEMENT TO

SENATE, No.
2535

with
committee amendments

STATE
OF NEW JERSEY

DATED: NOVEMBER
3, 2022

The Senate Commerce Committee reports favorably and
with committee amendments Senate Bill No. 2535.

As amended, th is bill, which amends P.L.2008, c.126, “Grace’s Law,” removes the
specification that health insurers (health, hospital, and medical service
corporations, commercial individual and group health insurers, health
maintenance organizations, health benefits plans issued pursuant to the New
Jersey Individual Health Coverage and Small Employer Health Benefits Programs,
the State Health Benefits Program, and the NJ FamilyCare Program) provide
coverage for expenses incurred in the purchase of a hearing aid only for
covered persons who are 15 years old or younger, and providing instead that
they provide coverage for those expenses for covered persons who are 21 year
old or younger. The bill allows a health insurer to limit the coverage of a
hearing aid to one hearing aid for each hearing-impaired ear every 24 months.

The
bill also requires that benefits provide coverage of the cost of treatment
related to cochlear implants, including procedures for the implantation of
cochlear devices and costs for any parts, attachments, or accessories of the
device.

In
addition, the bill supplements P.L.2007, c.103 (C.52:14-17.46.1 et seq.) to
require the School Employees’ Health Benefits Commission to ensure that every
contract purchased by the commission meets the same requirements for hearing
aid and cochlear implant coverage as “Grace’s Law.”

COMMITTEE AMENDMENTS:

The committee amended the bill to:

1) clarify that insurers may limit the benefit
provided for in the bill to one hearing aid per hearing-impaired ear every 24
months; and

2) remove, from each section, the provision requiring
a contract to cover a part, attachment, or accessory when purchased from an
out-of-network provider, if the contract does not have a provider in its
network to provide the part, attachment or accessory, and to impose cost
sharing as if the out-of-network provider were part of the provider network.

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