SB157 Alabama 2011 Session

Summary

Primary Sponsor

Trip Pittman

Republican

Session

Regular Session 2011

Title

Public Education Employees' Health Insurance Plan, not subject to Alabama Insurance Code, Sec. 16-25A-5 am'd.

Summary

SB157 would exempt the Public Education Employees' Health Insurance Plan from the Alabama Insurance Code and let the board run a tailored health insurance plan for public education employees (and some retirees).

What This Bill Does

It states that the Public Education Employees' Health Insurance Plan is not subject to the Alabama Insurance Code. It authorizes the board to establish a fully insured or self-insured plan for active employees and, under certain conditions, retired employees, with a broad set of benefits including hospitalization, surgery, medical services, cancer coverage, dental, drugs, prosthetics, and major medical benefits. Members may elect optional or supplemental coverage (such as dental or cancer) that replaces the basic coverage, or keep the basic medical primary coverage if they do not opt in. The plan would be funded with available funds and would take effect on the first day of the third month after passage and governor approval.

Who It Affects

• Active public education employees who would participate in a board-run plan not subject to the Alabama Insurance Code and who can choose optional/supplemental coverages or keep basic coverage
• Certain retired public education employees who may be eligible to be covered under the plan under specified conditions

Key Provisions

• The Public Education Employees' Health Insurance Plan is not subject to the Alabama Insurance Code (Ch. 1, Title 27).
• The board may establish a fully insured or self-insured health insurance plan for employees and, under certain conditions, retired employees, with rules to administer the plan.
• The plan can provide a wide range of benefits (hospitalization, surgical, medical, cancer, cash indemnity, dental, drugs, prosthetic devices, inpatient/outpatient services, and major medical benefits) within available funds.
• Members may elect optional or supplemental coverage (e.g., dental, cancer, indemnity); such election replaces primary coverage unless the member pays the costs of the supplemental coverage, and those not electing are deemed to have basic medical primary coverage.
• The act becomes effective on the first day of the third month after passage and governor approval.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Public Education Employees' Health Insurance Program