HB 4377 Text

H. B. 4377

(By Mr. Speaker, Mr. Kiss, and Delegates Staton, Varner,
Mahan, Doyle, Browning and Hrutkay)

[Introduced February 10, 2004; referred to the
Committee the Judiciary then Finance.]

A BILL to amend and reenact §33-20F-7 of the code of West Virginia, 1931, as amended, relating to the assessment of a penalty on those physicians who fail to pay the special assessment.

Be it enacted by the Legislature of West Virginia:
That §33-20F-7 of the code of West Virginia, 1931, as amended, be amended and reenacted, to read as follows:
ARTICLE 20F. PHYSICIANS' MUTUAL INSURANCE COMPANY.

§33-20F-7. Initial capital and surplus; special assessment; failure to pay assessment; disposition of civil penalty collected

(a) There is hereby created in the state treasury a special revenue account designated as the "Board of Risk and Insurance Management Physicians' Mutual Insurance Company Account" solely for the purpose of receiving moneys transferred from the West Virginia Tobacco Medical Trust Fund pursuant to sub- section (c), section two, article eleven-a, chapter four of this code for the company's use as initial capital and surplus.
(b) On the first day of July, two thousand three, a special one-time assessment, in the amount of one thousand dollars, shall be imposed on every physician licensed by the board of medicine or by the board of osteopathy for the privilege of practicing medicine in this state: Provided, That the following physicians shall be exempt from the assessment:
(1) A faculty physician who meets the criteria for full-time faculty under subsection (f), section one, article eight, chapter eighteen-b of this code, who is a full-time employee of a school of medicine or osteopathic medicine in this state, and who does not maintain a private practice;
(2) A resident physician who is a graduate of a medical school or college of osteopathic medicine enrolled and who is participating in an accredited full- time program of post-graduate medical education in this state;
(3) A physician who has presented suitable proof that he or she is on active duty in armed forces of the United States and who will not be reimbursed by the armed forces for the assessment;
(4) A physician who receives more than fifty percent of his or her practice income from providing services to federally qualified health center as that term is defined in 42 U.S.C. § 1396d(l)(2); and
(5) A physician who practices solely under a special volunteer medical license authorized by section ten-a, article three or section twelve-b, article fourteen, chapter thirty of this code. The assessment is to be imposed and collected by the board of medicine and the board of osteopathy on forms prescribed by each licensing board.
(c) The entire proceeds of the special assessment collected pursuant to subsection (b) of this section shall be dedicated to the company. The board of medicine and the board of osteopathy shall promptly pay over to the company all amounts collected pursuant to this section to be used as policyholder surplus for the company.
(d) Any physician who applies to purchase insurance from the company and who has not paid the assessment pursuant to subsection (b) of this section shall pay one thousand dollars to the company as a condition of obtaining insurance from the company.
(e) A physician who failed to pay the special one-time assessment imposed on the first day of July, two thousand three, pursuant to subsection (b) of this section is subject to a civil penalty in the amount of three thousand dollars payable to either the board of medicine or the board of osteopathy. Furthermore, and notwithstanding any provision of chapter thirty to the contrary, the board of medicine or the board of osteopathy shall:(1) immediately suspend the license to practice medicine or podiatry of any physician who failed to pay the special assessment by the first day of July, two thousand three, and whose license was renewed on the first day of July, two thousand three; or (2) thirty days after the enactment of this section, suspend the license of any physician who failed to pay the special assessment by the first day of July, two thousand three, and whose license is renewable on the first day of July, two thousand four: Provided, That within fifteen days of the enactment of the section, the board of medicine or the board of osteopathy shall give written notice of the impending suspension, by certified mail, return receipt requested. Any license to practice medicine or podiatry suspended pursuant to this section shall remain suspended until both the special assessment and the civil penalty are paid in full.
(f) The entire proceeds of the civil penalty collected pursuant to subsection (e) of this section shall be dedicated to the company. The board of medicine and the board of osteopathy shall promptly pay over to the company all amounts collected pursuant to subsection (e) of this section to be used as policyholder surplus for the company.

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