HB1569 97TH GENERAL ASSEMBLY

LRB097 07275 JDS 50814 b

97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB1569

Introduced 2/15/2011, by Rep. Patricia R. Bellock

SYNOPSIS AS INTRODUCED:

5 ILCS 375/6.1A new

Amends the State Employees Group Insurance Act of 1971. Requires the program of health benefits offered to State employees to include, by July 1, 2012, an optional health savings account program paired with a qualifying State-sponsored, high-deductible health plan. Requires the Director of Central Management Services, on or before December 31, 2011, to submit potential program designs to the Commission on Government Forecasting and Accountability for review. Specifies requirements for the proposed designs. Prohibits, except in limited circumstances, the non-contributory portion of the program from covering abortion-related expenses. Effective immediately.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning government.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The State Employees Group Insurance Act of 1971 is amended by adding Section 6.1A as follows:

(5 ILCS 375/6.1A new)

Sec. 6.1A. Health savings accounts.

(a) The program of health benefits shall offer, as an alternative and on an optional basis, a program for the use of health savings accounts with a qualifying State-sponsored, high-deductible health plan. This optional coverage alternative shall be available no later than July 1, 2012.

However, nothing in this Act shall be construed to permit, after the effective date of this amendatory Act of the 97th General Assembly, the noncontributory portion of any such program to include the expenses of obtaining an abortion, induced miscarriage, or induced premature birth unless, in the opinion of a physician, such procedures are necessary for the preservation of the life of the woman seeking such treatment, or except an induced premature birth intended to produce a live viable child and such procedure is necessary for the health of the mother or her unborn child.

(b) On or before December 31, 2011, the Director shall submit the program designs to the Commission for review. The report on program designs may include multiple options for final implementation, which may, in turn, include various levels of State participation or types of benefit designs. The program designs shall include:

(1) Benefit designs, including deductible amounts, for the high-deductible health plans.

(2) Premium amounts for the high-deductible health plans.

(3) Employee and employer contribution strategies for the high-deductible health plan premiums.

(4) Employer and employee contribution strategies for the health savings account deposits.

(5) The ability for employees to make pre-tax contributions through a salary deferral arrangement for the health savings accounts.

(6) Options for custodial arrangements for the health savings accounts.

(7) Investment options for health savings account holders.

(8) Assessment of administrative and claim costs.

(9) Statements of the actuarial assumptions, including demographic, participation, and utilization assumptions, used in program designs.

(10) An analysis of the impact on existing health plans of offering the option of health savings accounts paired with a high-deductible health plan.

Program designs shall also be based on the creation of coverage options so that the average per person employer cost of the programs, including the contributions for the health savings accounts and high-deductible plan, does not exceed the average per person employer cost of the self-insured State employee health benefits program for the same fiscal year.

Section 99. Effective date. This Act takes effect upon becoming law.