Senate Bill sb0042Bc1

    Florida Senate - 2001                           CS for SB 42-B

    By the Committee on Banking and Insurance; and Senators Burt
    and Mitchell




    311-541-02

  1                      A bill to be entitled

  2         An act relating to health insurance for persons

  3         called to active military duty; amending s.

  4         627.6692, F.S.; specifying that the termination

  5         of employment of an employee during or after a

  6         period of active military duty constitutes a

  7         separate qualifying event for purposes of

  8         allowing the employee to elect to continue

  9         coverage under the employer's group health

10         plan; specifying when such coverage period

11         begins; specifying other qualifying events that

12         allow for continuation of coverage if a covered

13         employee is called to active duty; tolling the

14         maximum time period for which coverage may be

15         continued under an employer's group health plan

16         for an individual who has elected coverage and

17         who is called to active military duty, for the

18         time that the individual is covered under the

19         federal TRICARE health care program; providing

20         a time period within which the individual may

21         elect to continue coverage under the employer's

22         group health plan after TRICARE coverage

23         terminates; providing an effective date.

24

25  Be It Enacted by the Legislature of the State of Florida:

26

27         Section 1.  Paragraphs (h), (i), and (j) are added to

28  subsection (5) of section 627.6692, Florida Statutes, to read:

29         627.6692  Florida Health Insurance Coverage

30  Continuation Act.--

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    Florida Senate - 2001                           CS for SB 42-B
    311-541-02




  1         (5)  CONTINUATION OF COVERAGE UNDER GROUP HEALTH

  2  PLANS.--

  3         (h)  If a covered employee is in the military reserve

  4  or National Guard and is called to active duty and the

  5  employee's employment is terminated either after or during the

  6  active duty period, the termination is a separate qualifying

  7  event, distinct from the qualifying event that may have

  8  occurred when the employee was called to active duty, and the

  9  employee and other qualified beneficiaries are eligible for a

10  new 18-month benefit period beginning on the later of the date

11  active duty ends or the date of termination of employment.

12         (i)  If a covered employee is in the military reserve

13  or National Guard and is called to active duty and:

14         1.  The employee dies during the period of active duty,

15         2.  There is a divorce or legal separation of the

16  covered employee from the covered employee's spouse, or

17         3.  A dependent child ceases to be a dependent child

18  under the requirements of the employer's group health plan,

19

20  such events are qualifying events distinct from the qualifying

21  event that may have occurred when the employee was called to

22  active duty.

23         (j)  Notwithstanding paragraph (b), if a qualified

24  beneficiary in the military reserve or National Guard has

25  elected to continue coverage and is thereafter called to

26  active duty and the coverage under the group plan is

27  terminated by the beneficiary or the carrier due to the

28  qualified beneficiary becoming eligible for TRICARE (the

29  health care program provided by the U.S. Defense Department),

30  the 18-month period or such other applicable maximum time

31  period for which the qualified beneficiary would otherwise be

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    Florida Senate - 2001                           CS for SB 42-B
    311-541-02




  1  entitled to continue coverage is tolled during the time that

  2  he or she is covered under the TRICARE program. Within 30 days

  3  after the federal TRICARE coverage terminates, the qualified

  4  beneficiary may elect to continue coverage under the group

  5  health plan, retroactively to the date coverage terminated

  6  under TRICARE, for the remainder of the 18-month period or

  7  such other applicable time period, subject to termination of

  8  coverage at the earliest of the conditions specified in

  9  paragraph (b).

10         Section 2.  This act shall take effect upon becoming a

11  law.

12

13          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
14                         Senate Bill 42-B

15

16  Provides that if an employee is called to active duty and is
    terminated from his job either during or after the period of
17  active duty, the employee would be allowed to continue
    coverage under the employer's group plan for 18 months,
18  beginning on the later of the date of termination of
    employment or the end of the active duty period.
19
    Provides that if an employee who is called to active duty dies
20  during the period of active duty, or if there is a divorce or
    legal separation, or if a dependent child reaches the age
21  where they are no longer covered under the group policy, the
    qualified beneficiary would be entitled to elect continuation
22  of coverage under the employer's group plan at the time of
    such event.
23
    Clarifies that the right to elect continuation of coverage
24  after federal TRICARE coverage terminates applies to all
    qualified beneficiaries.
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CODING: Words stricken are deletions; words underlined are additions.