New law protects disabled Medicare beneficiaries from insurance discrimination          Send a link to a friend

New tax return checkoffs for research on lung cancer and autoimmune disease

[August 28, 2007]  SPRINGFIELD -- Gov. Rod R. Blagojevich signed a law Monday to protect disabled individuals under Medicare from being overcharged by insurers. Senate Bill 873 will end insurance discrimination against disabled patients by ensuring this population has more options to choose from, while dramatically lowering the cost of policies. Medicare supplemental insurance policies provide much-needed wraparound coverage for beneficiaries with disabilities.

"Every day, disabled individuals face challenges many of us wouldn't think twice about. Things most of us take for granted -- like shopping, filling our cars with gas, even owning our own homes -- are more difficult for them. But quality health care at an affordable rate should not be one of those challenges," said Blagojevich. "I am happy to sign a law to help make sure that disabled people have equal access to what is a fundamental right."

The bill was sponsored by state Sen. Maggie Crotty, D-Oak Forest, and state Rep. Elaine Nekritz, D-Des Plaines.

Prior to this legislation, these policies were not subject to any premium or rate regulation, the result being that companies were allowed to charge higher premiums based simply on the individual's disability. Currently the average premium for a Medicare supplemental policy for those under 65 is $6,158. Because of this legislation, the highest average premium for individuals with disabilities will be $2,801.

Senate Bill 873 becomes effective June 1, 2008.

On Monday, the governor also signed into law two bills that create checkoffs to be added to the Illinois individual income tax return next year. Senate Bill 796 creates a new checkoff for lung cancer research, and Senate Bill 797 creates a checkoff for autoimmune disease research.

Senate Bill 796, sponsored by state Sen. John J. Cullerton, D-Chicago, and state Rep. Fred Crespo, D-Streamwood, adds lung cancer research to the causes for which taxpayers can donate when filing their state income tax return and creates the Lung Cancer Research Fund to collect money received from the checkoff. The Illinois Department of Public Health is designated to make grants to public and private not-for-profit entities for the purpose of lung cancer research.

According to 2003 data from the U.S. Center for Disease Control, lung cancer is the third-most prevalent form of cancer in Illinois. Last month, Blagojevich signed the Smoke-Free Illinois Act to protect millions of Illinoisans from the dangers of lung cancer by imposing a statewide ban on smoking in all public places, including bars, restaurants, public buildings and work places.

The new legislation becomes effective immediately.

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Senate Bill 797, sponsored by state Sen. Deanna Demuzio, D-Carlinville, and state Rep. Gary Hannig, D-Gillespie, will add autoimmune disease research to causes for which taxpayers can donate when filing their state tax returns and creates the Autoimmune Disease Research Fund, which will collect the money received from the checkoff. The Department of Public Health is designated as the agency to make grants to public or private entities for the purpose of research for the treatment and cure of autoimmune diseases.

Autoimmune disease refers to any disease that results from an aberrant immune response, including rheumatoid arthritis, lupus and scleroderma. According to the National Institutes of Health Autoimmune Disease Coordinating Committee, autoimmune diseases afflicted 5 percent to 8 percent of the U.S. population in 2002.

"Although autoimmune diseases are prevalent in our society, they often get forgotten in the list other medical causes to support. This checkoff will bring much-needed money to research to increase the quality of life for those suffering from one of these diseases," said bill sponsor Demuzio.

The legislation becomes effective immediately.

Lung cancer and autoimmune disease will be added to the list of checkoffs on the Illinois individual income tax return, which also includes 13 other causes, such as wildlife preservation, child abuse prevention, Alzheimer's disease research and assistance to the homeless.

To prevent the list of checkoffs from becoming too long and overwhelming taxpayers, Senate Bill 797 also limits the number of checkoffs on the Illinois individual income tax return to no more than 15 at any one time. Checkoffs have to raise $100,000 in a fiscal year for their cause in order to be included on the next year's tax return.

[Text from file received from the Illinois Office of Communication and Information]

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