New York State Assembly

 
•  Summary 
 
•  Actions 
 
•  Floor Votes 
 
•  Memo 
 
•  Text 

S06014 Summary:

S06014 Actions:

S06014 Floor Votes:

S06014 Text:

 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         6014--B
            Cal. No. 751
 
                               2009-2010 Regular Sessions
 
                    IN SENATE
 
                                      June 19, 2009
                                       ___________
 
        Introduced  by  Sen. BRESLIN -- read twice and ordered printed, and when
          printed to be  committed  to  the  Committee  on  Rules  --  committee
          discharged, bill amended, ordered reprinted as amended and recommitted
          to  said  committee  --  recommitted  to the Committee on Insurance in

          accordance with Senate Rule 6, sec. 8 -- reported favorably from  said
          committee,  ordered  to  first  and  second report, ordered to a third
          reading, amended and ordered reprinted, retaining  its  place  in  the
          order of third reading
 
        AN  ACT  to amend the insurance law, in relation to group life and group
          accident and health insurance policies
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section 1. Paragraph 1 of subsection (b) of section 4216 of the insur-
     2  ance  law,  as amended by chapter 369 of the laws of 1985, is amended to
     3  read as follows:
     4    (1) A policy issued to an employer or to a trustee or  trustees  of  a
     5  fund  established  by  an  employer, which employer or trustees shall be
     6  deemed the policyholder, insuring with or without evidence of individual

     7  insurability satisfactory to the insurer, employees  of  such  employer,
     8  and  insuring,  except as hereinafter provided, all of such employees or
     9  all of any class or classes thereof determined by conditions  pertaining
    10  to the employment, or by a combination of such conditions and conditions
    11  pertaining  to  the family status of the employee, for amounts of insur-
    12  ance on each person insured based upon some  plan  which  will  preclude
    13  individual  selection.  However, such a plan may permit a limited number
    14  of selections by employees if the selections offered utilize a  consist-
    15  ent  pattern  of  grading  the amounts of insurance for individual group
    16  members so that the resulting pattern of coverage is  reasonable.    The
    17  premium  for the policy shall be paid by the policyholder, either wholly
    18  from the employer's funds [or funds contributed by him]  or  from  funds

    19  contributed  by the insured employees, or from funds contributed jointly
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD09479-09-0
        S. 6014--B                          2
 
     1  by the employer and employees. If all or part of the premium  is  to  be
     2  derived  from  funds  contributed  by the insured employees, such policy
     3  must insure [not less than] a minimum of fifty percent [of such eligible
     4  employees or, if less, fifty or more] or five of such eligible employees
     5  whichever is fewer. Except as provided in subsection (b) of section four

     6  thousand two hundred thirty-one of this article and in paragraph five of
     7  subsection  (a)  of  section  three  thousand two hundred twenty of this
     8  chapter, such policy shall provide for payment of  all  benefits  there-
     9  under,  to  the  person  insured or to some beneficiary or beneficiaries
    10  other than the employer, and shall provide for the issuance of a certif-
    11  icate to the policyholder for delivery to the person insured or to  such
    12  beneficiary, as evidence of such insurance.
    13    § 2. Subparagraph (A) of paragraph 1 of subsection (c) of section 4235
    14  of  the  insurance law, as separately amended by chapters 369 and 846 of
    15  the laws of 1985, is amended to read as follows:
    16    (A) A policy issued to an employer or to a trustee or  trustees  of  a
    17  fund  established  by an employer, which employer or trustee or trustees

    18  shall be deemed the policyholder, insuring with or without  evidence  of
    19  insurability  satisfactory  to  the insurer, employees of such employer,
    20  and insuring, except as hereinafter provided, all of such  employees  or
    21  all  of any class or classes thereof determined by conditions pertaining
    22  to the employment or a combination of  such  conditions  and  conditions
    23  pertaining  to the family status of the employee, for insurance coverage
    24  on each person insured based upon some plan which will preclude individ-
    25  ual selection. However, such a plan  may  permit  a  limited  number  of
    26  selections  by  employees  if  the selections offered utilize consistent
    27  plans of coverage for individual group members  so  that  the  resulting
    28  plans  of  coverage  are reasonable. The premium for the policy shall be
    29  paid by the policyholder, either from  the  employer's  funds,  or  from

    30  funds  contributed  by  the insured employees, or from funds contributed
    31  jointly by the employer and employees. If all or part of the premium  is
    32  to be derived from funds contributed by the insured employees, then such
    33  policy  must insure not less than fifty percent of such eligible employ-
    34  ees or, if less, fifty or more of such employees  when  such  policy  is
    35  providing coverage for group hospital, medical, major medical or similar
    36  comprehensive  types  of expense reimbursed insurance and, for all other
    37  types of group accident and health insurance, must insure a  minimum  of
    38  fifty percent or five of such eligible employees, whichever is fewer.
    39    § 3. This act shall take effect immediately.