The New York State Department of Financial Services has issued a circular letter warning life, disability and long-term care insurers against discriminating when underwriting policies for New Yorkers who use HIV-prevention medications.
The department also issued a letter warning health insurers that certain short-term health insurance plans envisioned by the Trump administration in a proposed federal rule are illegal in New York state.
Following a probe of reports that some insurers may have been denying applications for policies to individuals who were taking PrEP prophylaxis medication to help prevent infection with the virus that causes AIDS, Superintendent Maria Vullo on Friday issued a letter to all insurers underwriting life, disability and long-term care policies in New York warning that "the department concludes that adverse underwriting decisions based solely on an applicant's use of PrEP are inconsistent with the Insurance Law" prohibiting unfair discrimination.
"Issuers may underwrite for increased health risk if based on sound actuarial principles or if related to actual or reasonably anticipated experience. However, practices that rely solely on the use of PrEP to identify and underwrite a higher risk of HIV infection are contrary to the Insurance Law," the letter stated.