§ 27-16-8-4 — Health benefit plan offered by PEO

Indiana § 27-16-8-4

• Jurisdiction: Indiana
• Title 27: INSURANCE
• Art. 16: PROFESSIONAL EMPLOYER ORGANIZATIONS
• Ch. 8: Benefit Plans

Text

If a PEO offers to the PEO's covered employees
a health benefit plan that is not fully insured by an insurer authorized
under this title to conduct the business of insurance in Indiana, the
health benefit plan must:
(1) be administered by an administrator licensed under IC 27-1-25;
(2) hold all plan assets, including participant contributions, in a
trust account;
(3) provide sound reserves for the health benefit plan as
determined using generally accepted actuarial standards as set
forth in an actuarial opinion filed with the commissioner and
prepared and signed by a qualified actuary who:
(A) is a member in good standing of the American Academy of
Actuaries; and
(B) meets the requirements established by the commissioner in
rules adopted under IC 4-22-2;
(4) annually submit current audited financial statements to the
commissioner;
(5) at the discretion of the commissioner, possess a written
commitment, binder, or policy for stop-loss insurance:
(A) issued by an insurer authorized to conduct the business of
insurance in Indiana; and
(B) that meets any specific and total coverage requirements
established by the commissioner in rules adopted under IC 4-22-2;
(6) be subject to audit for compliance with the requirements of
this section by the department on a random basis or upon a
finding of reasonable need; and
(7) provide written notice to each covered employee participating
in the health benefit plan that the health benefit plan is:
(A) self-insured or not fully insured; and
(B) subject to the federal Employee Retirement Income
Security Act of 1974 (29 U.S.C. 1001 et seq.).

Legislative History

As added by P.L.245-2005, SEC.7.