CHAPTER 274

(SB 38)

Newborns and newly adopted children,
health plan coverage requirements revised.

         ENTITLED, An Act to  revise health plan coverage requirements for newborns and newly adopted children.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:

     Section  1.  That § 58-17-30.3 be amended to read as follows:

     58-17-30.3.   The coverage for a newly born child from the moment of birth or for a newly adopted child, from the beginning of the six-month adoption bonding period, shall consist of coverage of injury or sickness including the necessary care and treatment of premature birth and medically diagnosed congenital defects and birth abnormalities. The coverage required by this section applies to any subsequent health benefit plan that is purchased providing coverage for that newly born or newly adopted child if application for the subsequent coverage is made within sixty- three days of the termination of the prior coverage and if the coverage is issued pursuant to §  58- 17-85. The provisions of § §  58-17-30.2 to 58-17-30.4, inclusive, apply to any individually written health benefit plan issued or renewed by any health insurer, health carrier, health maintenance organization, fraternal benefit society, nonprofit medical and surgical plan, nonprofit hospital service plan, or other entity providing coverage through a health benefit plan subject to the provisions of this title.

     Section  2.  That § 58-18-33 be amended to read as follows:

     58-18-33.   The coverage for a newly born child from the moment of birth or for a newly adopted child, from the beginning of the six-month adoption bonding period, shall consist of coverage of injury or sickness including the necessary care and treatment of premature birth and medically diagnosed congenital defects and birth abnormalities. The coverage required by this section applies to any subsequent health benefit plan that is purchased providing coverage for that newly born or newly adopted child if application for the subsequent coverage is made within sixty-three days of the termination of the prior coverage. The provisions of § §  58-18-32 to 58-18-34, inclusive, apply to any group health benefit plan issued or renewed by any health insurer, health carrier, health

maintenance organization, fraternal benefit society, nonprofit medical and surgical plan, nonprofit hospital service plan, or other entity providing coverage through a health benefit plan subject to the provisions of this title.

     Section  3.  That § 58-33-85 be amended to read as follows:

     58-33-85.   Any insurer subject to this chapter, including any group health plan, as defined in section 607(1) of the Employee Retirement Income Security Act of 1974, as amended to January 1, 1994, who are engaged in the business of health insurance is prohibited from denying enrollment of a dependent child , as defined by subdivision 25-7A-1(7), under the health insurance coverage of either the child's natural, adoptive, or stepparents for any of the following reasons:

             (1)      The child was born out of wedlock; or

             (2)      The child is not claimed as a dependent on the parent's federal income tax return; or

             (3)      The child does not reside with the parent or in the insurer's service area.

     Section  4.  That § 58-38-11.7 be repealed.

     Section  5.  That § 58-38-11.8 be repealed.

     Section  6.  That § 58-38-11.9 be repealed.

     Section  7.  That § 58-40-10.7 be repealed.

     Section  8.  That § 58-40-10.8 be repealed.

     Section  9.  That § 58-40-10.9 be repealed.

     Section  10.  That § 58-41-35.2 be repealed.

     Section  11.  That § 58-41-35.3 be repealed.

     Section  12.  That § 58-41-35.4 be repealed.

     Signed February 27, 2001.

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