Representative Hooton, bill sponsor, introduced SB21-090. The bill allows an employer to continue to purchase small-group health insurance after growing to the point of no longer meeting the definition of small employer, or no longer meeting that definition for another reason, so long as the employer renews its existing health insurance plan. If the employer opts to renew the small group health insurance plan, the insurance carrier is required to offer the same plan, or if that plan is no longer offered to any small employer, a similar plan. In these instances, state rules governing small-group health insurance continue to apply.
The bill requires insurance carriers, upon learning that an employer no longer meets the definition of small employer, to notify them that small-group insurance laws and rules will no longer apply to them if they fail to renew their current small-group health insurance plan.