1.1    .................... moves to amend the first committee engrossment to H. F. No. 297
1.2as follows:
1.3Page 352, line 14, delete everything after the period
1.4Page 352, delete lines 15 to 17
1.5Page 352, before line 18, insert:
1.6    "(6) not accept premium payments for individual market health plans from an
1.7employer Section 125 Plan if the employer offers a group health plan as defined in section
1.862A.10, or if the employer is a self-insurer as defined in section 62E.02;
1.9    (7) provide jointly with health insurers a cancellation notice directly to the primary
1.10insured at least ten days prior to termination of coverage for nonpayment of premium;
1.11    (8) bill the employer for the premiums payable by an employee, provided that the
1.12employer is not liable for payment except from payroll deductions for that purpose;"
1.13Page 352, line 18, delete "(6)" and insert "(9)"
1.14Page 352, line 20, delete "(7)" and insert "(10)"
1.15Page 352, line 22, delete "(8)" and insert "(11)"
1.16Page 352, line 25, delete "(9)" and insert "(12)"
1.17Page 352, line 26, delete "and"
1.18Page 352, line 27, delete "(10)" and insert "(13)"
1.19Page 352, line 28, delete everything after "accounts" and insert "; and"
1.20Page 352, delete lines 29 to 31 and insert:
1.21    "(14) provide copies of written and signed statements from employers stating that
1.22the employer is not contributing to the employee's premiums for health plans purchased
1.23by an employee through the exchange to all health insurers with enrolled employees of
1.24the employer.
1.25    Health insurers may rely on the employer's statement in clause (4) provided by the
1.26Minnesota Health Insurance Exchange and are not required to guarantee-issue individual
1.27health plans to the employer's employees."
2.1Page 352, before line 32, insert:
2.2    "Subd. 10. State not liable. The state of Minnesota shall not be liable for the
2.3actions of the Minnesota Health Insurance Exchange."
2.4Page 352, line 32, delete "10" and insert "11"
2.5Page 353, line 15, delete "11" and insert "12"
2.6Page 353, line 21, delete "12" and insert "13"
2.7Page 353, line 30, delete "13" and insert "14"
2.8Page 354, line 1, delete "four" and insert "two"
2.9Page 354, line 2, delete everything after "serve" and insert "two-year terms; and"
2.10Page 354, delete line 3
2.11Page 354, line 4, delete "four" and insert "six" and delete "two" and insert "three"
2.12Page 354, line 5, delete the second "two" and insert "three" and before "Elected"
2.13insert "Appointed and"
2.14Page 354, line 7, delete "14" and insert "15"
2.15Page 354, line 12, delete "15" and insert "16"
2.16Page 354, line 17, delete "16" and insert "17" and before "When" insert "An
2.17individual has the right to choose any insurance producer licensed in accident and health
2.18insurance under chapter 60K to assist them in purchasing an individual market health plan
2.19through the exchange."
2.20Page 354, line 20, delete "17" and insert "18"
2.21Page 355, line 13, after the period, insert "Nothing in this section requires or
2.22mandates employers to offer or purchase health insurance coverage for their employees."
2.23Page 355, line 27, delete "an" and insert "any"
2.24Page 355, after line 28, insert:
2.25    "(2) allow employees to choose any insurance producer licensed in accident and
2.26health insurance under chapter 60K to assist them in purchasing an individual market
2.27health plan through the exchange;
2.28    (3) provide a written and signed statement to the exchange stating that the employer
2.29is not contributing to the employee's premiums for health plans purchased by an employee
2.30through the exchange;"
2.31Page 355, line 29, delete "(2)" and insert "(4)"
2.32Page 355, line 32, delete "(3)" and insert "(5)"
2.33Page 355, line 33, before the period, insert "or administered" and after the period
2.34insert "Employers shall be held harmless from any and all liability claims related to the
2.35individual market health plans purchased through the exchange by employees under a
2.36Section 125 Plan."
3.1Page 366, delete section 13 and insert:

3.2    "Sec. 13. Minnesota Statutes 2006, section 62L.12, subdivision 2, is amended to read:
3.3    Subd. 2. Exceptions. (a) A health carrier may sell, issue, or renew individual
3.4conversion policies to eligible employees otherwise eligible for conversion coverage under
3.5section 62D.104 as a result of leaving a health maintenance organization's service area.
3.6    (b) A health carrier may sell, issue, or renew individual conversion policies to
3.7eligible employees otherwise eligible for conversion coverage as a result of the expiration
3.8of any continuation of group coverage required under sections 62A.146, 62A.17, 62A.21,
3.962C.142 , 62D.101, and 62D.105.
3.10    (c) A health carrier may sell, issue, or renew conversion policies under section
3.1162E.16 to eligible employees.
3.12    (d) A health carrier may sell, issue, or renew individual continuation policies to
3.13eligible employees as required.
3.14    (e) A health carrier may sell, issue, or renew individual health plans if the coverage
3.15is appropriate due to an unexpired preexisting condition limitation or exclusion applicable
3.16to the person under the employer's group health plan or due to the person's need for health
3.17care services not covered under the employer's group health plan.
3.18    (f) A health carrier may sell, issue, or renew an individual health plan, if the
3.19individual has elected to buy the individual health plan not as part of a general plan to
3.20substitute individual health plans for a group health plan nor as a result of any violation of
3.21subdivision 3 or 4.
3.22    (g) Nothing in this subdivision relieves a health carrier of any obligation to provide
3.23continuation or conversion coverage otherwise required under federal or state law.
3.24    (h) Nothing in this chapter restricts the offer, sale, issuance, or renewal of coverage
3.25issued as a supplement to Medicare under sections 62A.3099 to 62A.44, or policies or
3.26contracts that supplement Medicare issued by health maintenance organizations, or those
3.27contracts governed by sections 1833, 1851 to 1859, 1860D, or 1876 of the federal Social
3.28Security Act, United States Code, title 42, section 1395 et seq., as amended.
3.29    (i) Nothing in this chapter restricts the offer, sale, issuance, or renewal of individual
3.30health plans necessary to comply with a court order.
3.31    (j) A health carrier may offer, issue, sell, or renew an individual health plan to
3.32persons eligible for an employer group health plan, if the individual health plan is a high
3.33deductible health plan for use in connection with an existing health savings account, in
3.34compliance with the Internal Revenue Code, section 223. In that situation, the same or
3.35a different health carrier may offer, issue, sell, or renew a group health plan to cover
3.36the other eligible employees in the group.
4.1    (k) A health carrier may offer, sell, issue, or renew an individual health plan to one
4.2or more employees of a small employer if the individual health plan is marketed directly
4.3through the Minnesota Health Insurance Exchange under section 62A.67 or 62A.68 to
4.4all employees of the small employer and the small employer does not contribute directly
4.5or indirectly to the premiums or facilitate the administration of the individual health
4.6plan. The requirement to market an individual health plan to all employees through the
4.7Minnesota Health Insurance Exchange under section 62A.67 or 62A.68 does not require
4.8the health carrier to offer or issue an individual health plan to any employee. For purposes
4.9of this paragraph, an employer is not contributing to the premiums or facilitating the
4.10administration of the individual health plan if the employer does not contribute to the
4.11premium and merely collects the premiums from an employee's wages or salary through
4.12payroll deductions and submits payment for the premiums of one or more employees in a
4.13lump sum to the health carrier to the Minnesota Health Insurance Exchange under section
4.1462A.67 or 62A.68. Except for coverage under section 62A.65, subdivision 5, paragraph
4.15(b), or 62E.16, at the request of an employee, the health carrier Minnesota Health Insurance
4.16Exchange under section 62A.67 or 62A.68 may bill the employer for the premiums
4.17payable by the employee, provided that the employer is not liable for payment except
4.18from payroll deductions for that purpose. If an employer is submitting payments under
4.19this paragraph, the health carrier and the Minnesota Health Insurance Exchange under
4.20section 62A.67 or 62A.68 shall jointly provide a cancellation notice directly to the primary
4.21insured at least ten days prior to termination of coverage for nonpayment of premium.
4.22Individual coverage under this paragraph may be offered only if the small employer has
4.23not provided coverage under section 62L.03 to the employees within the past 12 months.
4.24    The employer must provide a written and signed statement to the health carrier
4.25Minnesota Health Insurance Exchange under section 62A.67 or 62A.68 that the employer
4.26is not contributing directly or indirectly to the employee's premiums. The Minnesota
4.27Health Insurance Exchange under section 62A.67 or 62A.68 shall provide all health
4.28carriers with enrolled employees of the employer with a copy of the employer's statement.
4.29The health carrier may rely on the employer's statement provided by the Minnesota Health
4.30Insurance Exchange under section 62A.67 or 62A.68 and is not required to guarantee-issue
4.31individual health plans to the employer's other current or future employees.

4.32    Sec. 14. Minnesota Statutes 2006, section 62L.12, subdivision 4, is amended to read:
4.33    Subd. 4. Employer prohibition. A small employer offering a health benefit plan
4.34shall not encourage or direct an employee or applicant to:
4.35    (1) refrain from filing an application for health coverage when other similarly
4.36situated employees may file an application for health coverage;
5.1    (2) file an application for health coverage during initial eligibility for coverage,
5.2the acceptance of which is contingent on health status, when other similarly situated
5.3employees may apply for health coverage, the acceptance of which is not contingent on
5.4health status;
5.5    (3) seek coverage from another health carrier, including, but not limited to, MCHA;
5.6or
5.7    (4) cause coverage to be issued on different terms because of the health status or
5.8claims experience of that person or the person's dependents."
5.9Renumber the sections in sequence and correct the internal references
5.10Amend the title accordingly