Legislation sponsored by Senator Robach would provide safety net
in the event retiree health benefits are eliminated
Rochester, NY - Eastman Kodak’s filing for Chapter 11 bankruptcy protection earlier this year has prompted much uncertainty for employees and retirees of the company. If Kodak eliminates health benefits for retirees, those who have not yet reached the age of 65 (when they qualify for Medicare) will be left uninsured.
For this reason, Senator Robach has introduced legislation (Senate Bill S.6740) which would create a health insurance demonstration program to provide group health insurance coverage for former employees of a major New York-based employer.
Senator Robach said “Retirees are worried that sooner or later, they will be without the health care benefits that they previously received from Kodak. This legislation will help put these retirees at ease by providing them a safety net and creating and approving a program to ensure continued group health coverage.”
This demonstration program seeks to create a new model of health insurance that would meet the special needs of this population, at a reasonable price, while still meeting solvency requirements, benefit mandates, and other obligations required by state statute and regulation.
This bill will now be sent to the Assembly, where Assemblyman Joe Morelle has introduced a companion bill.
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