Title I, SEC. 1421. IMPOSITION OF REQUIREMENTS ON SUPPLEMENTAL INSURANCE. 
      (a) In General. An entity may offer a supplemental insurance policy but 
    only if 

        (1) in the case of a supplemental health benefit policy (as defined in 
      subsection (b)(1)), the entity and the policy meet the requirements of 
      section 1422; and 

        (2) in the case of a cost sharing policy (as defined in subsection 
      (b)(2)), the entity and the policy meet the requirements of section 1423. 

      (b) Policies Defined. 

        (1) Supplemental health benefit policy. 

          (A) In general. In this part, the term ``supplemental health benefit 
        policy'' means a health insurance policy or health benefit plan offered 
        to an alliance-eligible individual which provides 

            (i) coverage for services and items not included in the 
          comprehensive benefit package, or 

            (ii) coverage for items and services included in such package but 
          not covered because of a limitation in amount, duration, or scope 
          provided under such title, 

            or both. 

          (B) Exclusions. Such term does not include the following: 

            (i) A cost sharing policy (as defined in paragraph (2)). 

            (ii) A long-term care insurance policy (as defined in section 
          2304(10)). 

            (iii) Insurance that limits benefits with respect to specific 
          diseases (or conditions). 

            (iv) Hospital or nursing home indemnity insurance. 

      (v) A medicare supplemental policy (as defined in section 1882(g) of the 
    Social Security Act). 

            (vi) Insurance with respect to accidents. 

        (2) Cost sharing policy. In this part, the term ``cost sharing policy'' 
      means a health insurance policy or health benefit plan offered to an 
      alliance-eligible individual which provides coverage for deductibles, 
      coinsurance, and copayments imposed as part of the comprehensive benefit 
      package under title II, whether imposed under a higher cost sharing plan 
      or with respect to out-of-network providers.