senate Bill S7317

Relates to funding for student health plans

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Sponsor

Co-Sponsors

Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 12 / May / 2014
    • REFERRED TO INSURANCE
  • 28 / May / 2014
    • 1ST REPORT CAL.968
  • 29 / May / 2014
    • 2ND REPORT CAL.
  • 02 / Jun / 2014
    • ADVANCED TO THIRD READING
  • 10 / Jun / 2014
    • SUBSTITUTED BY A9604

Summary

Relates to funding for student health plans.

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Bill Details

See Assembly Version of this Bill:
A9604
Versions:
S7317
Legislative Cycle:
2013-2014
Law Section:
Insurance Law
Laws Affected:
Amd ยง1124, Ins L

Votes

18
0
18
Aye
0
Nay
1
aye with reservations
0
absent
0
excused
0
abstained
show Insurance committee vote details

Sponsor Memo

BILL NUMBER:S7317

TITLE OF BILL: An act to amend the insurance law, in relation to
funding for student health plans

PURPOSE:

This legislation makes technical amendments to a statute authorizing
certain universities to self-insure for the purposes of providing
health insurance to currently enrolled students. These amendments will
reduce the amount of time a university has to deposit required funds
in case of insolvency. It also provides that this fund be accounted
for separate and apart from all other assets, liabilities, income and
expenses.

SUMMARY OF PROVISIONS:

This bill makes technical amendments to chapter 246 of the laws of
2012 (S.7314- A/A.10577-A) to clarify the requirements of a university
that establishes a self-insured student health plan. These amendments
specify that funds to pay these claims shall be accounted for
separately rather than be held in separate accounts. Additionally, a
university will have five days to comply with the superintendent's
order to deposit additional funds for this purpose instead of thirty
days.

JUSTIFICATION:

Sufficient funds to pay claims must be available in case of a
bankruptcy. This legislation clarifies these requirements.

LEGISLATIVE HISTORY:

New bill.

FISCAL IMPLICATIONS:

None.

EFFECTIVE DATE:

Immediately.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  7317

                            I N  S E N A T E

                              May 12, 2014
                               ___________

Introduced  by  Sen.  SEWARD -- read twice and ordered printed, and when
  printed to be committed to the Committee on Insurance

AN ACT to amend the insurance law, in relation to  funding  for  student
  health plans

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subsection (m) of section 1124 of  the  insurance  law,  as
added by chapter 246 of the laws of 2012, is amended to read as follows:
  (m)(1)  [No part of any] ANY funds of the institution, as they pertain
to the student health plan, shall be [subject to the claims  of  general
creditors  of the institution] ACCOUNTED FOR SEPARATE AND APART FROM ALL
OTHER ASSETS, LIABILITIES, INCOME AND EXPENSES OF THE INSTITUTION  until
all  plan benefits and other plan obligations have been satisfied. Until
such time, the institution shall  continue  to  maintain  and  fund  the
reserve  funds  required  to be established under subsection (h) of this
section. If at any time the superintendent  determines  that  additional
funds  shall  be  deposited  in  the reserve funds, then the institution
shall make the deposit within [thirty] FIVE days of the superintendent's
determination.
  (2) If, after twenty-four months, or  such  longer  period  as  deemed
necessary  by the superintendent, all plan benefits and other plan obli-
gations have been satisfied,  the  institution,  upon  approval  by  the
superintendent,  shall  no  longer be required to maintain assets within
the plan's reserve funds within [restricted] accounts within the  insti-
tution's general accounting ledger system.
  S 2. This act shall take effect immediately.



 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD15047-01-4

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