SB274 Alabama 2018 Session

Summary

Primary Sponsor

Steve LivingstonSenator

Republican

Session

Regular Session 2018

Title

Local Government Health Insurance Board, optional health coverages or services including on-the-job injuries, coverage authorized, Sec. 11-91A-7 am'd.

Summary

The bill would let the Local Government Health Insurance Board offer more optional coverages and, for employers that opt in, manage payments for on-the-job injury health care.

What This Bill Does

It amends the law to authorize the board to provide additional optional health coverages or services, including administering health care payments for on-the-job injuries for employer participants. Participation in the on-the-job injury administration would be voluntary for employers and would not affect eligibility for the program or how rates are set. The board would be able to contract with licensed providers, set and adjust rates and actuarial functions, create a dedicated Local Government Health Insurance Fund, and use funds to pay administrative costs, medical claims, and reserves, with authority to borrow and take legal action as needed.

Who It Affects

• Local governments and other employer participants in the Local Government Health Insurance Program, who may choose to participate in the new on-the-job injury administration and related optional coverages.
• Employees and officials of those employer participants who suffer on-the-job injuries, who could have their health care payments administered by the board if their employer participates.

Key Provisions

• Authorize the board to offer additional types of optional health coverages or services, including administration of on-the-job injury health care payments for employer participants.
• Participation in the on-the-job injury administration is optional for employers and does not affect program eligibility or rate-setting.
• Authorize the board to contract with licensed agencies to administer the program.
• Allow the board to establish and adjust rates, rate schedules, expenses, claim reserves, and other actuarial functions, with factors such as age, family size, smoking, and wellness participation.
• Create and maintain a Local Government Health Insurance Fund to pay administrative expenses, medical claims, and reserves, kept separate from other funds.
• Allow borrowing and legal actions to recover premiums, improper claims, or other amounts due to the board.
• Empower the board to appoint a chief executive officer, hire staff, promulgate rules, and provide for reinsurance as needed.
• Effective immediately upon passage and approval by the Governor.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Local Government Health Insurance Board