HLS 20RS-106 ORIGINAL 2020 Regular Session HOUSE BILL NO. 325 BY REPRESENTATIVE ECHOLS INSURANCE/GROUP-STATE: Provides relative to participation in Office of Group Benefits programs by certain classes of participants 1 AN ACT 2To enact R.S. 42:851.1, relative to participation in Office of Group Benefits programs by 3 certain classes of participants; to prohibit participation by certain participants in 4 certain types of plans; and to provide for related matters. 5Be it enacted by the Legislature of Louisiana: 6 Section 1. To ensure the health and welfare of its former employees while operating 7in a fiscally prudent manner, the legislature finds it beneficial to identify and capitalize upon 8opportunities to improve health insurance benefits for state and school district retirees while 9simultaneously creating an opportunity for savings for the state. The legislature finds that 10one such opportunity is offering retirees enrolled in Medicare health insurance coverage 11designed specifically for their demographic. Enrollment in Medicare Advantage plans 12would offer coverage to retirees for health expenses they are likely to incur while 13simultaneously eliminating risk—and its associated costs—from the state's liabilities. 14 Section 2. R.S. 42:851.1 is hereby enacted to read as follows: 15 §851.1. Plan options for certain retirees 16 Notwithstanding any provision of law to the contrary, for each Group 17 Benefits Plan renewal or enrollment after a retiree without dependents elects to 18 enroll in Medicare Parts A and B, the retiree may not continue coverage under any 19 policy provided for in this Part except for coverage under a Medicare Advantage 20 Plan. 21 Section 2. The provisions of this Act shall become effective July 1, 2020. Page 1 of 2 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 20RS-106 ORIGINAL HB NO. 325 DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)] HB 325 Original 2020 Regular Session Echols Abstract: Provides that if a state or school district retiree without dependants elects to enroll in Medicare Parts A and B, his continued participation in Office of Group Benefits (OGB) health plans is limited to Medicare Advantage Plans only. Present law (R.S. 42:1001 et seq.) authorizes state employees to participate in the federally managed Medicare Program. Present law creates OGB to contract with providers to offer insurance products to state employees and employees of state, local, and special school districts. Proposed law retains present law. Present law allows participating state and school employees to continue participation in OGB-sponsored health plans after retirement. Proposed law restricts continued coverage by retirees who have elected to enroll in Medicare Parts A and B to participation in a Medicare Advantage Plan. Effective July 1, 2020. (Adds R.S. 42:851.1) Page 2 of 2 CODING: Words in struck through type are deletions from existing law; words underscored are additions.