Virginia SB 195: Group health benefit plans; sponsoring associations, formation of benefits consortium, definitions.

Status: Approved by Governor-Chapter 405 (effective 7/1/22) (as of 2022-04-11)

State: Virginia · Session: 2022 · Bill: SB 195

Sponsors: T. Montgomery "Monty" Mason, Amanda F. Chase, David R. Suetterlein, Frank M. Ruff, Jr., Jennifer A. Kiggans, Mark J. Peake, Siobhan S. Dunnavant

Bill Text

Bill Tracking - 2022 session > Legislation 

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2022 SESSION

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CHAPTER 405 

An Act to amend and reenact �� 38.2-3420 and 38.2-3431 of the 
Code of Virginia and to amend the Code of Virginia by adding in Title 59.1 a chapter 
numbered 55, consisting of sections numbered 59.1-589 through 59.1-592, 
relating to group health benefit plans; sponsoring associations; formation of 
benefits consortium. 

[S 195] 

Approved April 11, 2022 

Be it enacted by the General Assembly of Virginia:

1. That �� 38.2-3420 and 38.2-3431 of the Code of Virginia 
are amended and reenacted and that the Code of Virginia is amended by adding in 
Title 59.1 a chapter numbered 55, consisting of sections numbered 59.1-589 
through 59.1-592, as follows:

� 38.2-3420. Authority and jurisdiction of Commission; 
exception.

A. Except as provided in subsection B C, any 
person offering or providing coverage in the Commonwealth for health care 
services, whether the coverage is by direct payment, reimbursement, or 
otherwise, shall be presumed to be subject to the jurisdiction of the 
Commission to the extent the person is not regulated by another agency of the 
Commonwealth, any subdivision of the Commonwealth, or the federal government 
relating to the offering or providing of coverage for health care services.

B. As used in this subsection:

"Health benefit plan" has the same meaning as 
described in � 38.2-3431.

"Self-funded multiple employer welfare 
arrangement" or "self-funded MEWA" means any multiple employer 
welfare arrangement that is not fully insured by a licensed insurance company. 
This term includes a benefit consortium established under Chapter 55 (� 
59.1-589 et seq.) of Title 59.1.

1. No self-funded multiple employer welfare arrangement 
shall issue health benefit plans in the Commonwealth until it has obtained a 
license pursuant to regulations promulgated by the Commission. No provision of 
this subsection shall authorize a self-funded MEWA domiciled outside of the 
Commonwealth to operate in the Commonwealth without obtaining a license 
pursuant to the regulations promulgated by the Commission.

2. Notwithstanding any other section of this title or 
Chapter 55 (� 59.1-589 et seq.) of Title 59.1 to the contrary, all financial 
and solvency requirements imposed by provisions of this title upon domestic 
insurers shall apply to domestic self-funded MEWAs unless domestic self-funded 
MEWAs are otherwise specifically exempted. For the purposes of handling the 
rehabilitation, liquidation, or conservation of a domestic self-funded MEWA, 
the provisions of Chapter 15 (� 38.2-1500 et seq.) shall apply.

3. Notwithstanding any other section of this title or 
Chapter 55 (� 59.1-589 et seq.) of Title 59.1 to the contrary, any health 
benefit plan issued by a self-funded MEWA

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