HB1327
To Amend The Law Concerning The Eligibility Of Certain Retired Employees Under The State And Public School Life And Health Insurance Program.
AI-Generated Summary
This bill amends Arkansas Code § 21-5-411 to modify the eligibility requirements for certain retired employees under the State and Public School Life and Health Insurance Program. It clarifies the conditions under which state employee retirees and public school retirees can enroll in the program. Key amendments include specifying a minimum of five cumulative years of participation in the program before retirement. The bill also addresses situations where retirees may have initially declined coverage but subsequently become eligible due to a loss of other employer-sponsored health insurance. It outlines specific requirements for re-enrollment, including a limited window of opportunity and proof of prior participation. Furthermore, provisions are made for retirees who separate from employment due to the expiration of a fixed employment period, allowing them continued participation under certain conditions. The bill also clarifies eligibility for dependents under specific circumstances of involuntary loss of other coverage. Finally, it amends rules regarding dependent eligibility by specifying conditions under which a dependent's loss of employer-sponsored group health insurance coverage can qualify for enrollment in the state program.
Potential Impact Analysis
Who Might Benefit?
The primary beneficiaries of this bill would be retired state employees and public school employees who meet the specified criteria for participation in the State and Public School Life and Health Insurance Program. This includes those who have participated in the program for at least five cumulative years prior to retirement and are vested in one of the listed retirement systems. Additionally, retirees who initially declined coverage but subsequently lose other employer-sponsored health insurance coverage, and meet the program's participation history requirements, would also benefit. Dependents of these retirees could also benefit if they experience an involuntary loss of their own employer-sponsored health insurance under the conditions outlined in the bill.
Who Might Suffer?
The groups most directly negatively impacted by this bill would be those former state or public school employees who do not meet the five-year cumulative participation requirement in the State and Public School Life and Health Insurance Program before retirement. This could include newer employees or those who opted out of the program for extended periods. Additionally, individuals who voluntarily end their employment or voluntarily cease premium payments for their health insurance, and subsequently seek to enroll or re-enroll in the program, may be negatively impacted as these actions could disqualify them. The bill's provisions regarding a limited election period for enrollment or re-enrollment could also negatively affect those who miss these deadlines due to unforeseen circumstances.