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The state of Pennsylvania now allows continued health
coverage for
dependent children
until they reach the
age of 30. This law
was signed on June
10, 2009 and goes
into effect 180 days
after being signed
into law, which will
be around December
7, 2009, and the
coverage will be
available on a
rolling basis as
non-ERISA contracts
are made or renewed.
WHAT THIS MEANS TO
YOU AS AN EMPLOYER?
This law allows
qualifying children
29 or younger to
obtain healthcare
coverage under their
parent’s group
healthcare plan. In
order to qualify,
the child must meet
the following
requirements: -
Single
-
Have no
dependents
-
Be a resident of
Pennsylvania or
enrolled as a
full-time
student at an
institution of
higher education
-
Have no coverage
under another
health insurance
policy
Eligible Coverage is
defined below: -
Only medical
coverage is
covered under
the requirements
of this law;
dental and
vision only
benefits are
excluded.
-
Applies to group
health plans
purchased by
employers from
commercial
health insurers
and health
maintenance
organizations.
Employers that
provide group health
coverage would not
be required to
extend benefits to
adult children.
However, if an
employer wishes to
grant this option to
their employees they
would not be
required to
contribute to any
premium increase
that resulted, but
could agree to do
so.
The employee is
responsible for the
cost of adding the
dependent child to
their coverage and
any increases in
premium.
Employers with self
insured benefit
programs would be
exempt because of a
provision in ERISA
that pre-empts state
laws or rules that
relate to employee
benefit plans.
WHAT SHOULD I DO
NEXT?
Corporate Synergies
will continue to
release information
and guidance as to
how the carriers
will be
administering this
new legislation as
it is released.
If you have any
additional questions
regarding the
information within
this eCommunication,
please call
Corporate Synergies
at
1.866.CSG.1719
or
CLICK HERE
to contact us today.
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