Policy Pick: Bill Would Require Insurance Companies to Cover Maternity Care

"Pregnant women whose insurance does not cover maternal care are at an increased risk of delivering a baby with negative health outcomes," Hernandez said. "In addition, the state ends up covering the cost of delivery and postpartum care, costing millions each year to taxpayers."

AB 185, which First 5 LA supports, defines maternity services as prenatal care; labor, delivery and postpartum care; inpatient hospital care; neonatal care and complications arising out of pregnancy.

The new federal Patient Protection and Affordable Care Act will require health insurers to cover maternity services by 2014. Hernandez's bill would require insurance companies that currently offer plans to develop a revised maternity services coverage plan by March 1, 2012. It also would require that maternity services be included on new insurance forms submitted by Jan. 1 to the state Department of Insurance.

Currently, HMOs, regulated by the California Department of Managed Healthcare, must cover maternity services. However, individual and group policies, regulated by the Department of Insurance, are not required to cover these services.

More and more women are purchasing policies that do not include maternity coverage. When less people buy into these plans, coverage costs increase. According to an article in Ms. Magazine, if all insurance policies covered maternity services, premiums would only increase by $7 to $8 per month.

Women who face pregnancy without healthcare coverage can become big burdens on the public health system, and often end up receiving state-funded health insurance. By providing them care, the insurance industry would ultimately save taxpayers' dollars.

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