LEGISLATIVE FISCAL ESTIMATE

[First Reprint]

ASSEMBLY, No. 5785

STATE OF NEW JERSEY

221st LEGISLATURE

 

DATED: DECEMBER 22, 2025

 

 

SUMMARY

 

Synopsis:

Requires certain preventive services to be provided on calendar year basis.

Type of Impact:

Potential annual expenditure increase to the State and participating local government employers.

Agencies Affected:

Division of Pensions and Benefits in the Department of the Treasury; certain local government employers.

 

 

Office of Legislative Services Estimate

Fiscal Impact

 

Annual

 

 

Potential State Expenditure Increase

 

Indeterminate

 

 

Potential Local Expenditure Increase

 

Indeterminate

 

 

 

·         The Office of Legislative Services (OLS) determines that requiring every contract purchased by the State Health Benefits Commission and the School Employees’ Health Benefits Commission to provide coverage for preventive services recommended on an annual basis at least once per calendar year without requiring any waiting period, except as necessary to ensure the safety of those services, may result in annual indeterminate expenditure increases to the State and participating local government employers if such requirements increase the frequency or utilization of such services beyond current levels.

 

BILL DESCRIPTION

 

      This bill requires health insurers, including the State Health Benefits Program, and the School Employees’ Health Benefits Program, to provide coverage for preventive services that are recommended on an annual basis at least once per calendar year, without requiring any waiting period.

      Nothing within the bill requires coverage of duplicative services unless a provider determines those services are clinically indicated.  An insurer under the bill may also require a waiting period if it is medically necessary to ensure the safety of the services.

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

        None received.

 

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS determines that requiring every contract purchased by the State Health Benefits Commission and the School Employees’ Health Benefits Commission to provide coverage for preventive services recommended on an annual basis at least once per calendar year without requiring any waiting period, except as necessary to ensure the safety of those services, may result in annual indeterminate expenditure increases to the State and participating local government employers if such requirements increase the frequency or utilization of such services beyond current levels.

 

Section:

State Government

Analyst:

Anna Harris

Associate Fiscal Analyst

Approved:

Thomas Koenig

Legislative Budget and Finance Officer

 

This legislative fiscal estimate has been produced by the Office of Legislative Services due to the failure of the Executive Branch to respond to our request for a fiscal note.

 

This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).