Montana Code 20-25-1310. Alternatives to conventional insurance for providing employee group benefits — requirements
20-25-1310. Alternatives to conventional insurance for providing employee group benefits — requirements. (1) The commissioner may establish alternative plans to conventional insurance for providing Montana university system employee group benefits. In developing an alternative plan, the commissioner shall:
Terms Used In Montana Code 20-25-1310
- Advisory committee: means the Montana university system interunit benefits advisory committee established in 2-15-1530. See Montana Code 20-25-1302
- Commissioner: means the commissioner of higher education created by Article X, section 9, subsection (2), of the Montana constitution and 2-15-1506. See Montana Code 20-1-101
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
- Group benefits: means group hospitalization, health, medical, surgical, disability, life, and other related group benefits provided to employees and dependents of the Montana university system. See Montana Code 20-25-1302
- Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
- State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201
- System: means the Montana university system. See Montana Code 20-1-101
- University: means the university of Montana-Missoula. See Montana Code 20-1-101
(a)maintain an alternative group benefits plan on an actuarially sound basis;
(b)maintain reserves sufficient to liquidate the unrevealed claims liability and other liabilities of an alternative group benefits plan; and
(c)deposit all reserve funds, state contributions, interest earnings, and premiums paid to an alternative group benefits plan. The deposits must be expended for claims under the alternative plan and for costs for administering the alternative plan, including the costs of hiring consultants, actuaries, and auditors.
(2)Prior to implementation of an alternative group benefits plan, the commissioner shall present to the advisory committee evidence upon which the commissioner has concluded that the alternative method is more efficient, less costly, or otherwise superior to contracting for conventional insurance.