1.Application for approval of private plan.
An employer may apply to the department for approval to meet its obligations under this subchapter through a private plan. In order to be approved, a private plan must confer rights, protections and benefits substantially equivalent to those provided to employees under this subchapter, including, but not limited to:
2.Additional requirements.
In order to be approved as meeting an employer's obligations under this subchapter, a private plan must also comply with the following provisions:
3.Withdrawal of approval.
The department shall withdraw approval for a private plan granted under subsection 1 when terms or conditions of the plan have been violated. Causes for plan termination include, but are not limited to, the following:
Free access — add to your briefcase to read the full text and ask questions with AI
1.
Application for approval of private plan.
An employer may apply to the department for approval to meet its obligations under this subchapter through a private plan. In order to be approved, a private plan must confer rights, protections and benefits substantially equivalent to those provided to employees under this subchapter, including, but not limited to:
2.
Additional requirements.
In order to be approved as meeting an employer's obligations under this subchapter, a private plan must also comply with the following provisions:
3.
Withdrawal of approval.
The department shall withdraw approval for a private plan granted under subsection 1 when terms or conditions of the plan have been violated. Causes for plan termination include, but are not limited to, the following:
4.
Rights retained.
An employee covered by a private plan approved under this section retains all applicable rights otherwise provided under federal and state law.
5.
Appeal.
A contested determination or denial of family leave benefits or medical leave benefits by a private plan is subject to appeal before the department and a court of competent jurisdiction as provided in section 850‑K.
6.
Violations.
Employers offering private plans that violate this section are subject to a fine of $100 per violation. If an employer's private plan benefit coverage is found to have lapsed during a period of a private plan substitution approved under this section, the employer may be assessed a fine equal to the amount of the premiums the employer would owe to the fund pursuant to section 850‑F for the time period in which coverage was not provided plus a penalty of 1.0% of that employer's total payroll for the same period. An employer may not deduct any employee portion of the premiums to pay this fine. The department shall transfer any fines collected pursuant to this subsection to the fund. The department by rule shall establish a process for the assessment and appeal of fines under this subsection.
7.
Cost of administration.
The department shall annually determine the total amount expended by the department for costs arising out of the administration of private plans. An employer offering a private plan pursuant to this section shall reimburse the department for the costs arising out of the private plan in the amount, form and manner determined by the department by rule. The department shall transfer payments received pursuant to this subsection to the fund.
8.
Rules.
The department shall adopt rules in accordance with section 850‑Q regarding the determination of what constitutes a private plan that may be approved under this section.