Sen. William R. Haine

Filed: 3/1/2012

 

 


 

 


 
09700SB2877sam002LRB097 16448 RPM 66853 a

1
AMENDMENT TO SENATE BILL 2877

2    AMENDMENT NO. ______. Amend Senate Bill 2877 on page 1,
3line 8, by replacing "and 131.27" with "131.27, and 356z.12";
4and
 
5on page 65, immediately below line 21, by inserting the
6following:
 
7    "(215 ILCS 5/356z.12)
8    Sec. 356z.12. Dependent coverage.
9    (a) A group or individual policy of accident and health
10insurance or managed care plan that provides coverage for
11dependents and that is amended, delivered, issued, or renewed
12after the effective date of this amendatory Act of the 95th
13General Assembly shall not terminate coverage or deny the
14election of coverage for an unmarried dependent by reason of
15the dependent's age before the dependent's 26th birthday.
16    (b) A policy or plan subject to this Section shall, upon

 

 

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1amendment, delivery, issuance, or renewal, establish an
2initial enrollment period of not less than 90 days during which
3an insured may make a written election for coverage of an
4unmarried person as a dependent under this Section. After the
5initial enrollment period, enrollment by a dependent pursuant
6to this Section shall be consistent with the enrollment terms
7of the plan or policy.
8    (c) A policy or plan subject to this Section shall allow
9for dependent coverage during the annual open enrollment date
10or the annual renewal date if the dependent, as of the date on
11which the insured elects dependent coverage under this
12subsection, has:
13        (1) a period of continuous creditable coverage of 90
14    days or more; and
15        (2) not been without creditable coverage for more than
16    63 days.
17An insured may elect coverage for a dependent who does not meet
18the continuous creditable coverage requirements of this
19subsection (c) and that dependent shall not be denied coverage
20due to age.
21    For purposes of this subsection (c), "creditable coverage"
22shall have the meaning provided under subsection (C)(1) of
23Section 20 of the Illinois Health Insurance Portability and
24Accountability Act.
25    (d) Military personnel. A group or individual policy of
26accident and health insurance or managed care plan that

 

 

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1provides coverage for dependents and that is amended,
2delivered, issued, or renewed after the effective date of this
3amendatory Act of the 95th General Assembly shall not terminate
4coverage or deny the election of coverage for an unmarried
5dependent by reason of the dependent's age before the
6dependent's 30th birthday if the dependent (i) is an Illinois
7resident, (ii) served as a member of the active or reserve
8components of any of the branches of the Armed Forces of the
9United States, and (iii) has received a release or discharge
10other than a dishonorable discharge. To be eligible for
11coverage under this subsection (d), the eligible dependent
12shall submit to the insurer a form approved by the Illinois
13Department of Veterans' Affairs stating the date on which the
14dependent was released from service.
15    (e) Calculation of the cost of coverage provided to an
16unmarried dependent under this Section shall be identical.
17    (f) Nothing in this Section shall prohibit an employer from
18requiring an employee to pay all or part of the cost of
19coverage provided under this Section.
20    (g) No exclusions or limitations may be applied to coverage
21elected pursuant to this Section that do not apply to all
22dependents covered under the policy.
23    (h) A policy or plan subject to this Section shall not
24condition eligibility for dependent coverage provided pursuant
25to this Section on enrollment in any educational institution.
26    (i) Notice regarding coverage for a dependent as provided

 

 

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1pursuant to this Section shall be provided to an insured by the
2insurer:
3        (1) upon application or enrollment;
4        (2) in the certificate of coverage or equivalent
5    document prepared for an insured and delivered on or about
6    the date on which the coverage commences; and
7        (3) (blank) in a notice delivered to an insured on a
8    semi-annual basis.
9(Source: P.A. 95-958, eff. 6-1-09.)".