Senate File 2260 - Introduced



                                       SENATE FILE       
                                       BY  HATCH


    Passed Senate, Date                Passed House,  Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act concerning eligibility to become a member of a state group
  2    insurance plan for small business employees.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 5997XS 81
  5 av/sh/8

PAG LIN



  1  1    Section 1.  NEW SECTION.  513B.9  STATE GROUP INSURANCE
  1  2 PLAN COVERAGE == AVAILABILITY.
  1  3    1.  A small employer may offer group health insurance
  1  4 coverage to its employees through a state group insurance plan
  1  5 for employees of the state established under chapter 509A
  1  6 subject to the requirements of this section.
  1  7    2.  A small employer who seeks to offer state group
  1  8 insurance plans to employees shall enter into an agreement
  1  9 with the department of administrative services.  The agreement
  1 10 shall provide, to the extent practicable, that employees be
  1 11 offered state group insurance plans on a basis similar to that
  1 12 offered full=time state employees excluded from collective
  1 13 bargaining as provided in chapter 20.  The agreement shall
  1 14 also include, at a minimum, provisions under which state group
  1 15 insurance plans are available and the applicable enrollment
  1 16 rules and premium rates for each plan.  The agreement shall be
  1 17 subject to review and approval by the commissioner of
  1 18 insurance.
  1 19    3.  For the purposes of this section, "small employer"
  1 20 means a person actively engaged in business, who on at least
  1 21 fifty percent of the business's working days during the
  1 22 preceding year, employed not less than two and not more than
  1 23 fifteen full=time equivalent eligible employees.
  1 24                           EXPLANATION
  1 25    This bill provides that a small employer may enter into an
  1 26 agreement with the department of administrative services to
  1 27 offer state group insurance plans to its employees.  The bill
  1 28 defines a "small employer" as an employer with two to 15 full=
  1 29 time equivalent employees.  The bill provides that the plans
  1 30 offered shall, to the extent practicable, be the same as the
  1 31 plans offered state employees not covered by a collective
  1 32 bargaining agreement.  The bill provides that the agreement
  1 33 with the department include provisions governing what plans
  1 34 are offered and the applicable enrollment rules and premium
  1 35 rates for each plan.  The bill also provides that the
  2  1 commissioner of insurance review and approve all agreements.
  2  2 LSB 5997XS 81
  2  3 av:nh/sh/8