Part IV.
Employees Retirement System of Texas
Chapter 81.
Insurance
34 TAC §§81.1, 81.5, 81.7, 81.11
(Editor's note: The Employees Retirement System of
Texas proposes for permanent adoption the amended sections it adopts on an
emergency basis in this issue. The text of the amended sections are in the
Emergency Rules section of this issue.)
The Employees Retirement System of Texas (ERS) proposes amendments
to §§81.1, 81.5, 81.7, and 81.11, concerning the Uniform Group Insurance
Program (UGIP). Section 81.1 is amended to remove long and short term disability
insurance premiums from the definition of "insurance premium expenses" covered
by the premium conversion plan; §81.5 is amended to permit certain retirees
not covered by optional life insurance or dependent life insurance at the
time of retirement an opportunity to apply for minimum retiree optional life
insurance and dependent life insurance coverage. Section 81.5 is also amended
to permit both parents to carry dependent life and accident insurance on a
child if both parents are participants in the UGIP; §81.7 is amended
to make participation in the premium conversion plan mandatory and automatic,
to make coverage of an adopted child effective on the date of placement for
adoption, to make coverage in the life and accident plans begin at the date
of birth and to clarify the definition of a qualifying life event for premium
conversion purposes; and §81.11 is amended to reflect amendments made
in §81.7.
William S. Nail, Deputy Executive Director and General Counsel, has determined
that for the first five-year period the rules are in effect there will be
no fiscal implications for state or local government as a result of enforcing
or administering the rules.
Mr. Nail also determined that for each year of the first five years the
rules are in effect the public benefit anticipated as a result of enforcing
the rules will be a clarification of the eligibility and enrollment rules
for the UGIP and the premium conversion plan. There will be no affect on small
businesses. There are no known anticipated economic costs to persons who are
required to comply with the rules as proposed.
Comments on the proposed rule amendments may be submitted to William S.
Nail, Deputy Executive Director and General Counsel, Employees Retirement
System of Texas, P. O. Box 13207, Austin, Texas 78711-3207, or e-mail Mr.
Nail at wnail@ers.state.tx.us.
The amendments are proposed under Insurance Code, Article 3.50-2,
§4.
No other statutes are affected by these proposed amendments.
This agency hereby certifies that the proposal has been reviewed
by legal counsel and found to be within the agency's legal authority to adopt.
Filed with the Office of the Secretary of State, on
June 17, 1999.
TRD-9903641
Sheila W. Beckett
Executive Director
Employees Retirement System of Texas
Earliest possible date of adoption: August 1, 1999
For further information, please call: (512) 867-7125
Chapter 85.
Flexible Benefits