Minnesota Session Laws - 1992, Regular Session

  

                         Laws of Minnesota 1992 

                        CHAPTER 488-H.F.No. 1873 
           An act relating to public employment; requiring public 
          employers to include certain former employees in the 
          same insurance pool as active employees; amending 
          Minnesota Statutes 1990, sections 43A.27, subdivision 
          3; 43A.316, by adding a subdivision; and 471.61, by 
          adding a subdivision. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
     Section 1.  Minnesota Statutes 1990, section 43A.27, 
subdivision 3, is amended to read: 
    Subd. 3.  [RETIRED EMPLOYEES.] A retired employee of the 
state who receives an annuity under a state retirement program 
may elect to purchase at personal expense individual and 
dependent hospital, medical, and dental coverages that are 
actuarially equivalent to those made available through 
collective bargaining agreements or plans established pursuant 
to section 43A.18 to employees in positions equivalent to that 
from which retired.  A spouse of a deceased retired employee who 
received an annuity under a state retirement program may 
purchase the coverage listed in this subdivision if the spouse 
was a dependent under the retired employee's coverage at the 
time of the employee's death.  Coverages must be coordinated 
with relevant health insurance benefits provided through the 
federally sponsored Medicare program.  Until the retired 
employee reaches age 65, the retired employee and dependents 
must be pooled in the same group as active employees for 
purposes of establishing premiums and coverage for hospital, 
medical, and dental insurance.  Coverage for retired employees 
and their dependents may not discriminate on the basis of 
evidence of insurability or preexisting conditions unless 
identical conditions are imposed on active employees in the 
group that the employee left.  Appointing authorities shall 
provide notice to employees no later than the effective date of 
their retirement of the right to exercise the option provided in 
this subdivision.  The retired employee must notify the 
commissioner or designee of the commissioner within 30 days 
after the effective date of the retirement of intent to exercise 
this option. 
     Sec. 2.  Minnesota Statutes 1990, section 43A.316, is 
amended by adding a subdivision to read: 
    Subd. 6a.  [CHIROPRACTIC SERVICES.] All benefits provided 
by the plan or a successor plan relating to expenses incurred 
for medical treatment or services of a physician must also 
include chiropractic treatment and services of a chiropractor to 
the extent that the chiropractic services and treatment are 
within the scope of chiropractic licensure. 
    This subdivision is intended to provide equal access to 
benefits for plan members who choose to obtain treatment for 
illness or injury from a doctor of chiropractic, as long as the 
treatment falls within the chiropractor's scope of practice.  
This subdivision is not intended to change or add to the 
benefits provided for in the plan. 
    Sec. 3.  Minnesota Statutes 1990, section 471.61, is 
amended by adding a subdivision to read: 
     Subd. 2b.  [INSURANCE CONTINUATION.] A unit of local 
government must allow a former employee and the employee's 
dependents to continue to participate indefinitely in the 
employer-sponsored hospital, medical, and dental insurance group 
that the employee participated in immediately before retirement, 
under the following conditions: 
    (a) The continuation requirement of this subdivision 
applies only to a former employee who is receiving a disability 
benefit or an annuity from a Minnesota public pension plan other 
than a volunteer firefighter plan, or who has met age and 
service requirements necessary to receive an annuity from such a 
plan. 
    (b) Until the former employee reaches age 65, the former 
employee and dependents must be pooled in the same group as 
active employees for purposes of establishing premiums and 
coverage for hospital, medical, and dental insurance. 
    (c) A former employee may receive dependent coverage only 
if the employee received dependent coverage immediately before 
leaving employment.  This subdivision does not require dependent 
coverage to continue after the death of the former employee.  
For purposes of this subdivision, "dependent" has the same 
meaning for former employees as it does for active employees in 
the unit of local government. 
    (d) Coverage for a former employee and dependents may not 
discriminate on the basis of evidence of insurability or 
preexisting conditions unless identical conditions are imposed 
on active employees in the group that the employee left. 
    (e) The former employee must pay the entire premium for 
continuation coverage, except as otherwise provided in a 
collective bargaining agreement or personnel policy.  A unit of 
local government may discontinue coverage if a former employee 
fails to pay the premium within the deadline provided for 
payment of premiums under federal law governing insurance 
continuation. 
    (f) An employer must notify an employee before termination 
of employment of the options available under this subdivision, 
and of the deadline for electing to continue to participate. 
    (g) A former employee must notify the employer of intent to 
participate within the deadline provided for notice of insurance 
continuation under federal law.  A former employee who does not 
elect to continue participation does not have a right to reenter 
the employer's group insurance program. 
    (h) A former employee who initially selects dependent 
coverage may later drop dependent coverage while retaining 
individual coverage.  A former employee may not drop individual 
coverage and retain dependent coverage. 
    (i) This subdivision does not limit rights granted to 
former employees under other state or federal law, or under 
collective bargaining agreements or personnel plans. 
    (j) Unless otherwise provided by a collective bargaining 
agreement, if retired employees were not permitted to remain in 
the active employee group prior to the effective date of 
sections 1 and 3, a public employer may assess active employees 
through payroll deduction for all or part of the additional 
premium costs from the inclusion of retired employees in the 
active employee group.  This paragraph does not apply to 
employees covered by section 179A.03, subdivision 7. 
    (k) Notwithstanding section 179A.20, subdivision 2a, 
insurance continuation under this subdivision may be provided 
for in a collective bargaining agreement or personnel policy. 
    Sec. 4.  [EFFECTIVE DATE.] 
    Sections 1 and 3 apply to each public employer upon the 
next expiration of a collective bargaining agreement or 
personnel plan establishing insurance premiums and coverage for 
each bargaining unit of active employees.  Coverage may be 
delayed until the beginning of the next contract year of the 
employer-sponsored hospital, medical, and dental insurance 
plan.  Sections 1 and 3 do not apply to a person who became a 
former employee before the effective date of sections 1 and 3, 
unless the person has continuously participated in the 
employer-sponsored insurance group since leaving employment. 
    Presented to the governor April 16, 1992 
    Signed by the governor April 20, 1992, 4:54 p.m.