Bill Text: AZ SB1085 | 2019 | Fifty-fourth Legislature 1st Regular | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Association health plans; definitions; requirements

Spectrum: Partisan Bill (Republican 2-0)

Status: (Passed) 2019-05-08 - Chapter 194 [SB1085 Detail]

Download: Arizona-2019-SB1085-Introduced.html

 

 

 

REFERENCE TITLE: association health plans

 

 

 

 

State of Arizona

Senate

Fifty-fourth Legislature

First Regular Session

2019

 

 

 

SB 1085

 

Introduced by

Senator Brophy McGee: Representative Barto

 

 

AN ACT

 

Amending title 20, chapter 13, Arizona Revised Statutes, by adding article 3; relating to accountable health plans.

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 


Be it enacted by the Legislature of the State of Arizona:

Section 1.  Title 20, chapter 13, Arizona Revised Statutes, is amended by adding article 3, to read:

ARTICLE 3.  BONA FIDE GROUPS OR ASSOCIATIONS

START_STATUTE20-2351.  Definitions

In this article, unless the context otherwise requires:

1.  "Bona fide group or association" means, for a health benefits plan issued by an accountable health plan, a group or association that meets the requirements of section 20‑2352.

2.  "small employer" has the same meaning prescribed in section 20‑2301 and may include a sole proprietor or working owner.

3.  "Working Owner" means a person who a responsible plan fiduciary reasonably determines is an individual who meets all of the following requirements:

(a)  Has an ownership right of any nature in a trade or business, whether incorporated or unincorporated, including a partner and another self‑employed individual.

(b)  Is earning wages or self‑employment income from the trade or business for providing personal services to the trade or business.

(c)  either:

(i) Works on average at least twenty hours per week or at least eighty hours per month providing personal services to the working owner's trade or business.

(ii) Has wages or self‑employment income from such a trade or business that at least equals the working owner's cost of coverage for participation by the working owner and any covered beneficiaries in the group health plan sponsored by the group or association in which the individual is participating. END_STATUTE

START_STATUTE20-2352.  Bona fide group or association of employers; definition

A.  A group or association of employers that forms to establish a bona fide group or association for the purposes of this article and 29 Code of federal Regulations part 2510 must meet the primary purpose, commonality and nondiscrimination standards and requirements of 29 Code of Federal Regulations part 2510.

B.  For the purposes of this section, "employer" includes a small employer. END_STATUTE

START_STATUTE20-2353.  Notification

An insurer that issues a health plan to a bona fide group or association shall notify the department at the time the insurer submits policy form filings. END_STATUTE

Sec. 2.  Department of insurance; association health plans; summary

On or before January 1, 2020, the department of insurance shall provide information on the department's public website that summarizes the new federal rule on association health plans and the applicable state law and any other pertinent information.

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