SLS 20RS-537 ORIGINAL 2020 Regular Session SENATE BILL NO. 284 BY SENATOR SMITH GROUP BENEFITS PROGRAM. Provides relative to state group insurance for certain former employees. (8/1/20). 1 AN ACT 2 To amend and reenact enact R.S. 42:808(A)(11)(a) and 851(R), relative to state group 3 insurance; to provide for certain insurance coverage through the office of group 4 benefits for certain state employees and officials after the conclusion of their state 5 service; to provide relative to the eligibility of such persons to participate in 6 programs sponsored by the office of group benefits; to provide for limitations; and 7 to provide for related matters. 8 Be it enacted by the Legislature of Louisiana: 9 Section 1. R.S. 42:808(A)(11)(a) and 851(R) are hereby enacted to read as follows: 10 §808. Eligibility in group programs 11 A. For the purposes of participating in life, health, or other programs 12 sponsored by the Office of Group Benefits, an employee is defined as: 13 * * * 14 (11)(a) Notwithstanding any provision of law to the contrary, persons who 15 are state employees who have completed not less than ten years of continuous 16 full-time state employment and who are terminated without cause or who resign 17 resigned, and persons who have completed not less than ten years of continuous Page 1 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 284 SLS 20RS-537 ORIGINAL 1 service as state elected officials who are either ineligible to run for reelection, fail to 2 be reelected, or resign from elected office, and persons who have completed not less 3 than ten years of continuous service as state appointed officials and who are removed 4 from office without cause or who resign resigned are deemed to be a special group 5 for eligibility for programs sponsored by the Office of Group Benefits. Such group 6 shall not be subject to the provisions of Paragraph (3) of this Subsection, R.S. 7 42:851(E) and (H)(5), or other limitations or restrictions of law that require vesting 8 or a duration of continuous membership in the programs for eligibility for maximum 9 premium contributions, or that authorize or require the premium rates for such group 10 to be increased as a result of eligibility being authorized without prior participation 11 as an active employee, or that limit participation to either actively employed or 12 retired persons. 13 * * * 14 §851. Authority for employee benefit programs; payroll deduction for payment of 15 premiums 16 * * * 17 R. Notwithstanding any other provision of law to the contrary, persons made 18 eligible as part of a special group for participation in programs sponsored by the 19 Office of Group Benefits pursuant to R.S. 42:808(A)(11) may elect to participate in 20 group health insurance programs upon the end of their state service as provided in 21 R.S. 42:808(A)(11) provided they participated in a program of group health 22 insurance sponsored by the Office of Group Benefits for not less than ten 23 consecutive years prior to the end of their service. One hundred percent of the 24 premium cost for coverage of any person in such group electing to participate shall 25 be paid entirely by such person and shall be risk rated by the Office of Group 26 Benefits. The election to continue insurance coverage pursuant to this Subsection 27 must shall be made by the employee on or before the termination of the employee's 28 service and the payment of the premiums to be paid pursuant to this Subsection shall 29 begin on the date of termination. Page 2 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 284 SLS 20RS-537 ORIGINAL 1 * * * 2 Section 2. This Act shall become effective upon signature by the governor or, if not 3 signed by the governor, upon expiration of the time for bills to become law without signature 4 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If 5 vetoed by the governor and subsequently approved by the legislature, this Act shall become 6 effective on the day following such approval. The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Martha S. Hess. DIGEST SB 284 Original 2020 Regular Session Smith Present law, relative to state group insurance, provides for the eligibility of state and local employees, officials, and retirees to participate in programs of insurance, including group health insurance, sponsored by the office of group benefits (OGB). Present law adds to the list, as a special group, persons who are state employees who have completed not less than 10 years of continuous full-time state employment and who are terminated without cause or who resign, and persons who have completed not less than 10 years of continuous service as state elected officials who are either ineligible to run for reelection, fail to be reelected, or resign from elected office, and persons who have completed not less than 10 years of continuous service as state appointed officials and who are removed from office without cause or who resign or retire. Proposed law applies to persons who resigned. Present law provides that certain persons made eligible as part of a special group for participation in programs sponsored by OGB may elect to participate in group health insurance programs upon the end of their state service, provided they participated in a program of group health insurance sponsored by OGB for not less than ten consecutive years prior to the end of their service. One hundred percent of the premium cost for coverage of any person in such group electing to participate shall be paid entirely by such person and shall be risk rated by OGB. Proposed law provides that the election to continue insurance coverage pursuant to this Subsection shall be made by the employee on or before the termination of the employee's service and the payment of the premiums to be paid pursuant to present law shall begin on the date of termination. Effective August 1, 2020. (Amends R.S. 42:808(A)(11)(a) and 851(R)) Page 3 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions.