FISCAL NOTE
FUND(S):
2180
Sources of Revenue:
Special Fund
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The purpose of this bill is to require insurance coverage of spouses and dependents for pregnancy and contraceptive services.
Presently the Public Employees Insurance Agency (PEIA) health care benefit does not include providing maternity coverage for dependents other than the spouse of PEIA members.
Age Enrollment
16 1,257
17 1,256
18 1,382
19 1,338
20 1,305
21 1,257
22 1,081
23 857
24 691
25 425
26 16
Total 10,865
16-19 Assumption 0.45
20-26 Assumption 0.85
16-19 Females 5,233
20-26 Females 5,632
Sexually active 7,142.05
Contraceptive take up rate 0.4
Projected users of contraceptives 2,856.82
Annual cost of contraceptives $338.88
Projected contraceptive cost $968,119.16
Fertility rate 16-19 0.00496
Fertility rate 20-26 0.111
Age Deliveries
16 6.23472
17 6.22976
18 6.85472
19 6.63648
20 144.855
21 139.527
22 119.991
23 95.127
24 76.701
25 47.175
26 1.776
Total 651.10768
Cost per delivery $3,788
Projected maternity cost $2,466,395.89
Total Cost $3,434,515.05
Trend Assumption 1.07
Projected FY-2012 Cost $3,674,931.11
Assumption will be made that passage of this legislation will only impact dependent children ranging to age 26. For purpose of this projection it is estimated that there will be 26 births in the 16-19 age category and 625 births in the 20-26 age category. It is also estimated that there will be 2,856 contraceptive users.
The total expected increase in medical health care costs trended at 7% for the next three fiscal years is anticipated to be $12,641,554. This breaks down to $3,563,394 for contraceptives and $9,078,160 for pregnancy. The costs to cover this additional benefit would either have to come from the General Revenue Fund in the form of an appropriation or by increasing premium to both employees and employers.
FY-2013 $3,932,176
FY-2014 $4,207,429
FY-2015 $4,501,949
TOTAL $12,641,554
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2012
Increase/Decrease
(use"-") |
2013
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
0 |
0 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
Memorandum
Person submitting Fiscal Note: Chip Myers
Email Address: clifford.m.myers@wv.gov