2003 Minnesota Statutes

     62C.142 Continuation and conversion privileges for 
  former spouses and children. 

    Subdivision 1.    Termination of coverage.  No 
 subscriber contract of a nonprofit health service plan 
 corporation which, in addition to covering the subscriber, also 
 covers the subscriber's spouse shall contain a provision for 
 termination of coverage for a spouse covered under the 
 subscriber contract solely as a result of a break in the marital 
 relationship except by reason of an entry of a valid decree of 
 dissolution of marriage between the parties. 

    Subd. 2.    Conversion privilege.  Every subscriber 
 contract, other than a contract whose continuance is contingent 
 upon continued employment or membership, which contains a 
 provision for termination of coverage of the spouse upon 
 dissolution of marriage shall contain a provision allowing a 
 former spouse and dependent children of a subscriber, without 
 providing evidence of insurability, to obtain from the 
 corporation at the expiration of any continuation of coverage 
 required under subdivision 2a or section 62A.146, or upon 
 termination of coverage by reason of an entry of a valid decree 
 of dissolution which does not require the insured to provide 
 continued coverage for the former spouse, an individual 
 subscriber contract providing at least the minimum benefits of a 
 qualified plan as prescribed by section 62E.06 and the option of 
 a number three qualified plan, a number two qualified plan, a 
 number one qualified plan as provided by section 62E.06, 
 subdivisions 1 to 3, provided application is made to the 
 corporation within 30 days following notice of the expiration of 
 the continued coverage and upon payment of the appropriate fee. 
 A subscriber contract providing reduced benefits at a reduced 
 fee may be accepted by the former spouse and dependent children 
 in lieu of the optional coverage otherwise required by this 
 subdivision.  The individual subscriber contract shall be 
 renewable at the option of the former spouse as long as the 
 former spouse is not covered under another qualified plan as 
 defined in section 62E.02, subdivision 4.  Any revisions in the 
 table of rate for the individual subscriber contract shall apply 
 to the former spouse's original age at entry and shall apply 
 equally to all similar contracts issued by the corporation. 

    Subd. 2a.    Continuation privilege.  Every subscriber 
 contract, other than a contract whose continuance is contingent 
 upon continued employment or membership, shall contain a 
 provision which permits continuation of coverage under the 
 contract for the subscriber's former spouse and children upon 
 entry of a valid decree of dissolution of marriage.  The 
 coverage may be continued until the earlier of the following 
 dates:  

    (a) the subscriber's former spouse becomes covered under 
 any other group health plan; or 

    (b) the date coverage would otherwise terminate under the 
 subscriber contract.  

    The contract must require the group contract holder to, 
 upon request, provide the insured with written verification from 
 the insurer of the cost of this coverage promptly at the time of 
 eligibility for this coverage and at any time during the 
 continuation period.  In no event shall the amount of premium 
 charged exceed 102 percent of the cost to the plan for such 
 period of coverage for other similarly situated spouses and 
 dependent children with respect to whom the marital relationship 
 has not dissolved, without regard to whether such cost is paid 
 by the employer or employee. 

    Subd. 3.    Application.  Subdivision 1 applies to every 
 subscriber contract which is delivered, issued for delivery, 
 renewed or amended on or after July 19, 1977. 

    Subdivisions 2 and 2a apply to every subscriber contract 
 which is delivered, issued for delivery, renewed, or amended on 
 or after March 1, 1983.  

    HIST: 1977 c 186 s 2; 1982 c 555 s 9; 1982 c 642 s 15; 1990 c 
 403 s 9; 1992 c 564 art 4 s 9; 2000 c 483 s 13