Guidance for Health Benefit Associations

On July 9, 2018, Vermont issued Ins. Bulletin #201 to serve as transitional guidance for health benefit associations regarding H 16. The bulletin clarifies that existing and new health benefit associations must review their bylaws, articles, plans, membership agreements and other similar documents to ensure compliance with H 16.

As background, on July 1, 2018, Gov. Scott allowed H 16 to become law without his signature. The primary purpose of the bill is for budgetary purposes, but it includes a provision to create the Commission on Public School Employee Health Benefits to determine the amounts of the premiums and out-of-pocket expenses for school employee health benefits that will be the responsibility of supervisory unions and school districts and the amounts that will be the responsibility of school employees. The bill also removes health care benefits and coverage from the subjects for local collective bargaining between a supervisory union or school district and school employees.

The law and Ins. Bulletin #201 don’t have any impact on private employers. They do impact school districts in the way that premiums and out-of-pocket expenses are negotiated with the unions and school employees.

Insurance Bulletin #201 »
H 16 »