2003 Legislation
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SENATE BILL NO. 1131 – Insurance, self-funded, no regstrtn

SENATE BILL NO. 1131

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Daily Data Tracking History



S1131.........................................................by STATE AFFAIRS
INSURANCE - SELF-FUNDED - Amends existing law to provide that no registration
is required for self-funded insurance plans administered by or for any
municipal or other political subdivision of the state.
                                                                        
02/24    Senate intro - 1st rdg - to printing
02/25    Rpt prt - to Com/HuRes

Bill Text


                                                                        
                                                                        
  ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
 Fifty-seventh Legislature                 First Regular Session - 2003
                                                                        
                                                                        
                                       IN THE SENATE
                                                                        
                                    SENATE BILL NO. 1131
                                                                        
                                 BY STATE AFFAIRS COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO INSURANCE; AMENDING SECTION 41-4003, IDAHO CODE, TO  PROVIDE  THAT
  3        NO  REGISTRATION  IS  REQUIRED FOR ANY SELF-FUNDED PLAN ADMINISTERED BY OR
  4        FOR ANY MUNICIPALITY OR OTHER POLITICAL SUBDIVISION OF THE  STATE  AND  TO
  5        MAKE A TECHNICAL CORRECTION.
                                                                        
  6    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
  7        SECTION  1.  That  Section 41-4003, Idaho Code, be, and the same is hereby
  8    amended to read as follows:
                                                                        
  9        41-4003.  REGISTRATION REQUIRED -- EXEMPTIONS -- NOT SUBJECT TO  INSURANCE
 10    CODE.  (1) No self-funded plan shall operate in this state except while regis-
 11    tered with the director as hereinafter provided. Self-funded plans already  in
 12    operation  at  the effective date  of this act shall so register within ninety
 13    (90) days after such effective date.
 14        (2)  No registration shall be required of:
 15        (a)  Any self-funded plan established for the sole purpose of funding  the
 16        dollar  amount  of  a  deductible clause contained in the provisions of an
 17        insurance contract issued by an insurer duly authorized to  transact  dis-
 18        ability  insurance  in  this  state  if  the deductible does not exceed an
 19        amount applicable to each beneficiary of five hundred dollars  ($500)  per
 20        annum  and the total of all obligations to all beneficiaries insured under
 21        the plan arising out of the application of  such  a  deductible  does  not
 22        exceed the aggregate amount of fifty thousand dollars ($50,000) in any one
 23        (1) year.
 24        (b)  Any plan established and maintained for the purpose of complying with
 25        any  workmen's worker's compensation law or unemployment compensation dis-
 26        ability insurance law.
 27        (c)  Any plan administered by or for  the  federal  government  or  agency
 28        thereof  or any county, municipality or any other political subdivision of
 29        this state.
 30        (d)  Any plan which is primarily for the purpose of  providing  first  aid
 31        care and treatment, at a dispensary of an employer, for injury or sickness
 32        of employees while engaged in their employment.
 33        (e)  Any  employer's  self-insured  health plan or service established and
 34        maintained solely for its members and their immediate families, or to  any
 35        self-insured  health  plan or service established, maintained, and insured
 36        jointly by any employer and any labor  organization  or  organizations  if
 37        such  health  plan or service has been in existence and operation for fif-
 38        teen (15) years immediately preceding the effective date of this act.
 39        (3)  Plans while so registered shall not be deemed to be  engaged  in  the
 40    business  of  insurance  and  shall  not be subject to provisions of the Idaho
 41    insurance code except as expressly provided in this act.

Statement of Purpose / Fiscal Impact


                       STATEMENT OF PURPOSE
                                 
                             RS 13029
                                 
To allow municipalities or any other political subdivision of the State
to self fund for medical purposes. Heavily populated counties are doing
this now and this would allow small counties and other entities the
same opportunity to save money.




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Contact
              Name:    Monty Pearce
                     Phone:   332-1338
              
              
       STATEMENT OF PURPOSE/FISCAL NOTE       S 1131