Re: MINIMUM BENEFIT LIMIT UNDER AS 21.42.365
The Legislature in 1988 enacted AS 21.42.365, Coverage for Treatment of Alcoholism or Drug Abuse. This law took effect January 1, 1989. Subsection (b) requires that the director adjust the minimum benefits to correspond with the change in the medical care component of the consumer price index for all urban consumers in the Anchorage metropolitan area as compiled by the Bureau of Labor Statistics, U.S. Department of Labor.
The base year for the director's computation is the first full calendar year for which insurance was obtainable under AS 21.42.365. Because the law took effect January 1, 1989, the first full year in which policies, new or renewed, would have the required coverage would have been calendar year 1990. The three years after which the director is to establish new minimum limits would be 1990, 1991, and 1992.
Therefore, the minimum benefit limit under AS 21.42.365 for policies new or renewed during calendar year 1993 is $8,300.00 over two consecutive benefit years and $16,600.00 lifetime benefits.
Effective this 10th day of May, 1993