REFERENCE TITLE: association health plans |
State of Arizona Senate Fifty-fourth Legislature First Regular Session 2019
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SB 1085 |
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Introduced by Senator Brophy McGee: Representative Barto
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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
20-2351. 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.
20-2352. 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.
20-2353. 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.
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.