NEW JERSEY Health Insurance : EasyToInsureME : worsening fiscal situation

NEW JERSEY Health Insurance : Citing a worsening fiscal situation, Governor Jon Corzine last week proposed an additional $1 billion in cuts to the current fiscal year budget. Over the next 45 days, the governor and legislature will have to balance shortfalls in the current year's budget and seek $2 billion in new cuts or revenue enhancements for the next fiscal year, beginning July 1. In the legislature, the Senate took up proposed legislation that directs the Department of Banking and Insurance to promulgate regulations setting out a schedule for charges associated with maternity services executed prior to child birth. Similar legislation passed in the Assembly last year. Despite health plans' opposition to the bill, it received unanimous support in the Senate Commerce Committee. However, the bill was amended to delay the immediate effective date for one year. This bill now heads to the Senate floor for a vote.