76th Legislative Session _ 2001

Committee: Senate Commerce
Tuesday, January 16, 2001

                                            P - Present
                                            E - Excused
                                            A - Absent

Roll Call
P    Bogue
P    McCracken
P    Sutton (Dan)
P    Volesky
P    Whiting
P    Daugaard, Vice-Chair
P    Munson, Chair

OTHERS PRESENT: See Original Minutes

The meeting was called to order by Chair Munson

MOTION:     TO APPROVE THE MINUTES OF JANUARY 11

Moved by:    Volesky
Second by:    Whiting
Action:    Prevailed by voice vote.

          SB 39: establish standards for disability insurance.

The Chair deferred SB 39 until another day.

         SB 58: establish certain fees for filing and indexing records pursuant to the Uniform Commercial Code, to establish a fund, and to appropriate the fund.

The Chair deferred SB 58 until another day.

         SB 37: revise certain requirements for continuation and conversion of employer health

plans.

Presented By:    Randy Moses, Division of Insurance

MOTION:     AMEND SB 37

37ja
     On page 1, line 12 of the printed bill, overstrike " eighteen " and insert " twelve ".

     On page 2 , line 2, after " coverage. " insert " The employer shall provide notice of any nonpayment of premiums or cancellation of coverage to employees as soon as reasonably possible but no later than ten days after the date of cancellation. ".

     On page 2 , line 5, after " notice. " insert " Whether notice is provided or not, the election period for continuation of coverage may expire ninety days from the date the group coverage terminated. Any premiums due for the continuation of coverage may be required to be paid by the employee or dependent as a condition of providing continuation coverage. ".

     On page 2 , line 15, delete everything after " policy . " and insert:

"

     Section 3. That chapter 58-18 be amended by adding thereto a NEW SECTION to read as follows:
     Continuation coverage shall be the same coverage as is available to any similarly situated beneficiary under the plan with respect to whom a qualifying event has not occurred. If coverage is modified under the plan for any group of similarly situated beneficiaries who are not under continuation, such coverage shall also be modified for those continuing coverage in the same manner as for all individuals who are qualified beneficiaries under the plan pursuant to the continuation requirements of this chapter in connection with such group.

     Section 4. That chapter 58-18 be amended by adding thereto a NEW SECTION to read as follows:
     No new probationary or waiting period may be applied to the continuation or conversion coverage.

     Section 5. That chapter 58-18 be amended by adding thereto a NEW SECTION to read as follows:
     Nothing in sections 2 to 16, inclusive, of this Act applies to or qualifies any person for any continuation or conversion right available in chapter 58-18C.".

     On page 2 , delete lines 16 to 21 , inclusive.

Moved by:    Whiting
Second by:    Volesky
Action:    Prevailed by voice vote.

 MOTION:     DO PASS SB 37 AS AMENDED

Moved by:    Volesky
Second by:    Whiting
Action:    Prevailed by roll call vote.(6-0-1-0)

Voting Yes:    McCracken, Sutton (Dan), Volesky, Whiting, Daugaard, Munson

Excused:    Bogue

          SB 35: require insurance producers to sell only investments authorized pursuant to certain provisions.

Presented By:    Darla Lyon, Division of Insurance

MOTION:     SUBSTITUTE MOTION AMEND SB 35

35jb
     On page 2 of the printed bill, delete lines 1 to 8 , inclusive.

Moved by:    Daugaard
Second by:    McCracken
Action:    Prevailed by voice vote.

 MOTION:     DO PASS SB 35 AS AMENDED

Moved by:    Daugaard
Second by:    Whiting
Action:    Prevailed by roll call vote.(7-0-0-0)

Voting Yes:    Bogue, McCracken, Sutton (Dan), Volesky, Whiting, Daugaard, Munson

          SB 36: revise nonrenewal and preexisting condition provisions and to correct outdated references for health insurance plans.

Presented By:    Randy Moses, Division of Insurance


MOTION:     AMEND SB 36

36ja
     On page 4, line 7 of the printed bill, delete " covered " .

     On page 4 , line 8, delete " eligible for coverage " and insert " covered ".

     On page 4 , line 8, before " accidents " insert " either ".

     On page 9 , line 19, delete " covered " .

     On page 9 , line 20, delete " eligible for coverage " and insert " covered ".

     On page 9 , line 20, before " accidents " insert " either ".

Moved by:    Bogue
Second by:    Volesky
Action:    Prevailed by voice vote.

 MOTION:     DO PASS SB 36 AS AMENDED

Moved by:    Bogue
Second by:    McCracken
Action:    Prevailed by roll call vote.(7-0-0-0)

Voting Yes:    Bogue, McCracken, Sutton (Dan), Volesky, Whiting, Daugaard, Munson

 MOTION:     ADJOURN

Moved by:    Whiting
Second by:    McCracken
Action:    Prevailed by voice vote.

Margaret Nickels

____________________________

Committee Secretary
David R. Munson, Chair

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