2019 -- S 0276 | |
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LC001204 | |
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STATE OF RHODE ISLAND | |
IN GENERAL ASSEMBLY | |
JANUARY SESSION, A.D. 2019 | |
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A N A C T | |
RELATING TO PUBLIC OFFICERS AND EMPLOYEES -- INSURANCE BENEFITS | |
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Introduced By: Senator Gayle L. Goldin | |
Date Introduced: February 13, 2019 | |
Referred To: Senate Finance | |
It is enacted by the General Assembly as follows: | |
1 | SECTION 1. Section 36-12-6 of the General Laws in Chapter 36-12 entitled "Insurance |
2 | Benefits" is hereby amended to read as follows: |
3 | 36-12-6. Authority to purchase group life, accidental death, long term health care, |
4 | and other insurance benefits. |
5 | (a) The director of administration, or any employee of the department of administration |
6 | designated by the director as his or her agent, is hereby authorized, empowered, and directed to |
7 | contract with one or more insurance companies duly licensed by this state for the purchase of one |
8 | or more contracts providing for group life, accidental death, long term health care and other |
9 | insurance benefits in conformity with the provisions of §§ 36-12-6 -- 36-12-14, to purchase |
10 | contracts of insurance and to administer all provisions of §§ 36-12-6 -- 36-12-14. With regard to a |
11 | contract for long-term health care providing health services pursuant to § 36-12-2, the insurance |
12 | company selected must have its headquarters located in the state. Before entering into any |
13 | insurance contract under this chapter, the director shall invite proposals from such qualified |
14 | insurers as in his or her opinion would desire to accept any part of the insurance coverage |
15 | authorized by §§ 36-12-6 -- 36-12-14 including hospital care and surgical-medical services with |
16 | the specific condition that the benefits and services provided by the carrier(s) will be substantially |
17 | equivalent to those set forth in any collective bargaining agreements executed between the state |
18 | of Rhode Island and authorized representatives of the unions representing state employees or the |
19 | health care coverage presently being provided. |
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1 | (b) The state will work diligently with leadership of organized labor in order to ensure |
2 | competitiveness, cost effective health care services for all employees of the state who may be |
3 | eligible for those benefits. |
4 | (c) Any new plan must accept pre-existing conditions for those individuals who will be |
5 | covered by the new policy. |
6 | (d) The director may arrange with the company or companies from which the policy or |
7 | policies of insurance authorized herein are purchased to reinsure portions of any contract or |
8 | contracts of insurance with other insurance companies duly licensed in this state which elect to |
9 | enter into contracts of reinsurance and are legally competent to do so. The director may annually |
10 | redetermine the amount or amounts of coverage to be allocated to reinsuring companies in |
11 | advance of any contract year after the first year. |
12 | (e) The director may designate one or more of those insurance companies as the |
13 | administering company or companies. |
14 | (f) Each employee who is covered under any contract or contracts shall receive a |
15 | certificate setting forth the benefits to which the employee and his or her dependents are entitled |
16 | thereunder, to whom benefits shall be payable, to whom claims should be submitted, and |
17 | summarizing the provisions of the contract principally affecting the employee and his or her |
18 | dependents. |
19 | (g) The director may, on June 30, 1961, or at the end of any fiscal year thereafter, |
20 | discontinue any insurance contract or contracts he or she has purchased from any corporation or |
21 | corporations and replace it or them with a contract or contracts in any other corporation or |
22 | corporations meeting the requirements of §§ 36-12-6 -- 36-12-14. |
23 | SECTION 2. This act shall take effect upon passage and shall apply to any long-term |
24 | health care policy purchased after the expiration date of the current long-term health policy. |
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EXPLANATION | |
BY THE LEGISLATIVE COUNCIL | |
OF | |
A N A C T | |
RELATING TO PUBLIC OFFICERS AND EMPLOYEES -- INSURANCE BENEFITS | |
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1 | This act would require the director of administration to purchase a contract for long-term |
2 | health care benefits covering state employees from a health insurer with its headquarters located |
3 | in this state. |
4 | This act would take effect upon passage and would apply to any long-term health care |
5 | policy purchased after the expiration date of the current long-term health policy. |
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