Text: S03681                            Text: S03683
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Senate Amendment 3682

Amendment Text

PAG LIN
  1  1    Amend House File 557, as amended, passed, and
  1  2 reprinted by the House, as follows:
  1  3    #1.  Page 1, by inserting before line 1 the
  1  4 following:
  1  5    "Sec. 101.  Section 70A.20, unnumbered paragraph 1,
  1  6 Code 1997, is amended to read as follows:
  1  7    A state employees disability insurance program is
  1  8 created, which shall be administered by the director
  1  9 of the department of personnel and which shall provide
  1 10 disability benefits in an amount and for the employees
  1 11 as provided in this section.  The monthly disability
  1 12 benefits shall provide twenty percent of monthly
  1 13 earnings if employed less than one year, forty percent
  1 14 of monthly earnings if employed one year or more but
  1 15 less than two years, and sixty percent of monthly
  1 16 earnings thereafter, reduced by primary and family
  1 17 social security determined at the time social security
  1 18 disability payments commence, railroad retirement
  1 19 disability income, workers' compensation if
  1 20 applicable, and any other state-sponsored sickness or
  1 21 disability benefits payable.  However, the amount of
  1 22 benefits payable under the Iowa public employees'
  1 23 retirement system pursuant to chapter 97B shall not
  1 24 reduce the benefits payable pursuant to this section.
  1 25 Subsequent social security or railroad retirement
  1 26 increases shall not be used to further reduce the
  1 27 insurance benefits payable.  As used in this section,
  1 28 "primary and family social security" shall not include
  1 29 social security benefits awarded to an adult child
  1 30 with a disability of the state employee with a
  1 31 disability who does not reside with the state employee
  1 32 with a disability if the social security benefits were
  1 33 awarded to the adult child with a disability prior to
  1 34 the approval of the state employee's benefits under
  1 35 this section and shall not include benefits awarded to
  1 36 a dependent of the state employee with a disability if
  1 37 the state employee is quadriplegic, regardless of
  1 38 whether the United States social security
  1 39 administration records the benefits to the social
  1 40 security number of the adult child with a disability,
  1 41 the state employee with a disability, or any other
  1 42 family member, and such social security benefits shall
  1 43 not reduce the benefits payable pursuant to this
  1 44 section.  As used in this section, unless the context
  1 45 otherwise requires, "adult" means a person who is
  1 46 eighteen years of age or older.  State employees shall
  1 47 receive credit for the time they were continuously
  1 48 employed prior to and on July 1, 1974.  The following
  1 49 provisions apply to the employees disability insurance
  1 50 program:"
  2  1    #2.  Page 5, by inserting after line 24 the
  2  2 following:
  2  3    "Sec. 102.  NEW SECTION.  509.3A  GROUP DISABILITY
  2  4 POLICIES – RESTRICTION ON REDUCTION IN BENEFITS.
  2  5    If the total monthly amount of loss of time
  2  6 benefits promised for the same loss under all valid
  2  7 loss of time disability insurance coverage upon the
  2  8 insured, whether payable on a weekly or monthly basis,
  2  9 exceeds the monthly earnings of the insured at the
  2 10 time disability commenced or the insured's average
  2 11 monthly earnings for the period of two years
  2 12 immediately preceding a disability for which claim is
  2 13 made, whichever is the greater, the insurer is liable
  2 14 only for such proportionate amount of such benefits
  2 15 under this policy as the amount of such monthly
  2 16 earnings or such average monthly earnings of the
  2 17 insured bears to the total amount of monthly benefits
  2 18 for the same loss under all such coverage upon the
  2 19 insured at the time such disability commences and for
  2 20 the return of such part of the premiums paid during
  2 21 such two years as shall exceed the pro rata amount of
  2 22 the premiums for the benefits actually paid under this
  2 23 section.  This section shall not reduce the total
  2 24 monthly amount of benefits payable under all such
  2 25 coverage upon the insured below the sum of two hundred
  2 26 dollars or the sum of the monthly benefits specified
  2 27 in such coverages, whichever is the lesser, nor shall
  2 28 it operate to reduce benefits other than those payable
  2 29 for loss of time.  For purposes of this paragraph and
  2 30 with respect to benefits paid for total disability as
  2 31 a result of quadriplegia, disability benefits paid to
  2 32 a dependent of an insured pursuant to the federal
  2 33 Social Security Act, 42 U.S.C. } 423 et seq., as a
  2 34 result of such disability shall not be considered for
  2 35 determining the total monthly amount of loss of time
  2 36 benefits promised for the same loss under all valid
  2 37 loss of time coverage or for determining the liability
  2 38 of any insurer for benefits to be paid under such
  2 39 policy."
  2 40    #3.  Page 6, by inserting after line 19 the
  2 41 following:
  2 42    "Sec. 103.  Section 514A.3, subsection 2, paragraph
  2 43 f, unnumbered paragraph 2, Code 1997, is amended to
  2 44 read as follows:
  2 45    Relation of earnings to insurance:  If the total
  2 46 monthly amount of loss of time benefits promised for
  2 47 the same loss under all valid loss of time coverage
  2 48 upon the insured, whether payable on a weekly or
  2 49 monthly basis, shall exceed the monthly earnings of
  2 50 the insured at the time disability commenced or the
  3  1 insured's average monthly earnings for the period of
  3  2 two years immediately preceding a disability for which
  3  3 claim is made, whichever is the greater, the insurer
  3  4 will be is liable only for such proportionate amount
  3  5 of such benefits under this policy as the amount of
  3  6 such monthly earnings or such average monthly earnings
  3  7 of the insured bears to the total amount of monthly
  3  8 benefits for the same loss under all such coverage
  3  9 upon the insured at the time such disability commences
  3 10 and for the return of such part of the premiums paid
  3 11 during such two years as shall exceed the pro rata
  3 12 amount of the premiums for the benefits actually paid
  3 13 hereunder under this section; but this shall not
  3 14 operate to reduce the total monthly amount of benefits
  3 15 payable under all such coverage upon the insured below
  3 16 the sum of two hundred dollars or the sum of the
  3 17 monthly benefits specified in such coverages,
  3 18 whichever is the lesser, nor shall it operate to
  3 19 reduce benefits other than those payable for loss of
  3 20 time.  For purposes of this paragraph and with respect
  3 21 to benefits paid for total disability as a result of
  3 22 quadriplegia, disability benefits paid to a dependent
  3 23 of an insured pursuant to the federal Social Security
  3 24 Act, 42 U.S.C. } 423 et seq., as a result of such
  3 25 disability shall not be considered for determining the
  3 26 total monthly amount of loss of time benefits promised
  3 27 for the same loss under all valid loss of time
  3 28 coverage or for determining the liability of any
  3 29 insurer for benefits to be paid under such policy."
  3 30    #4.  Page 12, by inserting after line 14 the
  3 31 following:
  3 32    "Sec. ___.  APPLICABILITY.  Sections 101, 102, and
  3 33 103 of this Act shall apply to all individuals
  3 34 receiving disability benefits on July 1, 1997, whether
  3 35 or not the date on which an individual became eligible
  3 36 to receive, or began receiving, benefits was prior to
  3 37 July 1, 1997.  Sections 101, 102, and 103 of this Act
  3 38 shall not establish a right or cause of action in
  3 39 favor of an individual receiving disability benefits
  3 40 for any additional benefits for a period prior to July
  3 41 1, 1997, as a result of this Act."
  3 42    #5.  By renumbering as necessary.  
  3 43 
  3 44 
  3 45                               
  3 46 O. GENE MADDOX 
  3 47 HF 557.703 77
  3 48 mj/sc/28
     

Text: S03681                            Text: S03683
Text: S03600 - S03699                   Text: S Index
Bills and Amendments: General Index     Bill History: General Index

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