An Act amending Title 40 (Insurance) of the Pennsylvania Consolidated Statutes, in preliminary provisions relating to health insurance markets oversight, further providing for definitions; and, in State-based exchange, further providing for powers and duties of exchange authority and for reports.

Pennsylvania Senate Bill 1439 tightens oversight of the state's health insurance exchange by requiring insurers to provide documentary proof of residency and legal status for every enrollee. The bill mandates that the exchange authority respond to insurer requests to cancel policies within one business day and make a final decision within five business days. Additionally, it requires the creation of an Office of Fraud Prevention within 180 days to investigate complaints, standardize reporting forms, and ensure staff receive annual anti-fraud training. The exchange authority must also submit an annual report to state legislators detailing fraud statistics, financial impacts, and implemented procedures.