Senate
File
2329
-
Introduced
SENATE
FILE
2329
BY
COMMITTEE
ON
COMMERCE
(SUCCESSOR
TO
SSB
3173)
(COMPANION
TO
6157HV
BY
COMMITTEE
ON
COMMERCE)
A
BILL
FOR
An
Act
relating
to
health
benefit
plans
for
members
of
certain
1
agricultural
organizations.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
TLSB
6157SV
(2)
87
ko/rj
S.F.
2329
Section
1.
NEW
SECTION
.
505.20
Certain
agricultural
1
organizations
exempt
from
regulation.
2
1.
A
health
benefit
plan,
sponsored
by
a
nonprofit
3
agricultural
organization
domiciled
in
this
state
and
created
4
primarily
to
promote
programs
for
the
development
of
rural
5
communities
and
the
economic
stability
and
sustainability
of
6
farmers
in
the
state
which
meets
the
requirements
set
forth
in
7
subsection
2,
shall
be
deemed
to
not
be
insurance
and
shall
8
not
be
subject
to
the
provisions
of
Title
XIII,
subtitle
1,
to
9
the
extent
such
plan,
after
January
1,
2018,
provides
health
10
benefits
under
a
self-funded
arrangement
that
is
administered
11
by
a
domestic
entity
that
is
registered
as
a
third-party
12
administrator
pursuant
to
chapter
510
and
that
has
continuously
13
provided,
either
directly
or
through
an
affiliate,
health
14
care
administrative
services
to
the
nonprofit
agricultural
15
organization
or
its
affiliates
for
a
period
in
excess
of
ten
16
years.
17
2.
A
nonprofit
agricultural
organization
providing
a
health
18
benefit
plan
to
its
members
under
this
section
must
meet
all
19
of
the
following
requirements:
20
a.
Have
been
in
existence
for
twenty-five
continuous
years
21
prior
to
the
issuance
of
health
benefits
to
members
of
the
22
organization.
23
b.
Provide
membership
opportunities
for
eligible
individuals
24
in
all
ninety-nine
counties
of
the
state.
25
c.
Collect
annual
dues
from
members.
26
d.
Hold
regular
meetings
to
further
the
purposes
of
the
27
members.
28
e.
Provide
the
members
with
representation
on
its
governing
29
board
and
committees.
30
f.
Provide
education,
mentoring,
and
financial
assistance
to
31
grow
and
expand
rural
businesses
in
the
state.
32
g.
Have
contracted
with
the
domestic
entity
described
in
33
subsection
1
to
administer
the
health
benefit
plan.
34
3.
Such
nonprofit
agricultural
organization
shall
file
a
35
-1-
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6157SV
(2)
87
ko/rj
1/
2
S.F.
2329
certification
with
the
commissioner
that
the
organization
meets
1
the
foregoing
requirements
prior
to
providing
health
benefits
2
under
a
self-funded
arrangement
to
its
members.
3
EXPLANATION
4
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
5
the
explanation’s
substance
by
the
members
of
the
general
assembly.
6
This
bill
relates
to
health
benefit
plans
for
members
of
7
certain
agricultural
organizations.
8
The
bill
provides
that
a
health
benefit
plan
sponsored
by
a
9
nonprofit
agricultural
organization
domiciled
in
the
state
for
10
its
members
shall
not
be
deemed
to
be
insurance
and
shall
not
11
be
subject
to
the
jurisdiction
of
the
commissioner
of
insurance
12
if
it
meets
the
requirements
as
outlined
in
the
bill.
13
The
bill
requires
that
the
health
benefit
plan
be
provided
14
via
a
self-funded
arrangement
and
administered
by
a
domestic
15
third-party
administrator
that
holds
a
certificate
of
16
registration
issued
by
the
commissioner.
The
third-party
17
administrator
shall
have
acted
as
the
third-party
administrator
18
of
health
care
administrative
services,
either
directly
19
or
through
an
affiliate,
for
the
nonprofit
agricultural
20
organization
for
more
than
10
consecutive
years
prior
to
the
21
date
the
nonprofit
agricultural
organization
begins
offering
a
22
health
benefit
plan
to
its
members.
23
The
organization
shall
certify
its
compliance
with
the
24
requirements
of
the
bill
with
the
commissioner
prior
to
25
providing
a
health
benefit
plan
to
its
members.
26
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6157SV
(2)
87
ko/rj
2/
2