Massachusetts General Laws ch. 32A sec. 19 – Release from insurance coverage; payment; reinstatement of coverage
Section 19. Effective January 1 and July 1 of each year, the commission may pay to any active or retired employee of the commonwealth who has been continuously insured by the commonwealth for the prior 6 months pursuant to the provisions of this chapter for hospital, surgical, medical or other health insurance benefits and who gives written notice in accordance with the provisions of section seven indicating his desire not to be so insured by the commonwealth, an amount of money to be determined by the secretary of administration and finance; provided that such amount shall equal no less than twenty-five percent of twelve times the total monthly rate in effect for individual insurance coverage as determined by the commission; provided further, that the commission shall pay such amount to such active or retired employee in payments or in one lump sum.
The commission shall require that any active or retired employee choosing to accept such payment shall verify that he is insured under a qualifying policy toward which the commonwealth makes no contribution; provided, that for the purpose of this section, a ”qualifying policy” shall be any policy which provides a schedule of benefits comparable to that to which the employee would be eligible to receive if he were insured by the commonwealth under this chapter. The commission shall provide that if such active or retired employee ceases to be so insured under such a qualifying policy, such active or retired employee shall thereupon have his insurance coverage pursuant to this chapter reinstated by the commonwealth on the date on which he informs the commission of such termination of insurance coverages; provided, however, that any amounts to be paid to such active or retired employee in accordance with this section shall be ratably reduced and any amounts paid hereunder which are allocable to periods after insurance coverage pursuant to this chapter is reinstated by the commonwealth may be recovered by the commission under such terms and conditions as the commission shall determine.