Texas Register, Volume 11, Number 83, Pages 4557-4604, November 4, 1986 Page: 4,576
4557-4604 p. ; 28 cm.View a full description of this periodical.
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Adopted
RISU An agency may take final action on a rule 30 days after a proposal has been published in the Register.
The rule becomes effective 20 days after the agency files the correct document with the Texas
Register, unless a later date is specified or unless a federal statute or regulation requires implementation of the
action on shorter notice.
If an agency adopts the rule without any changes to the proposed text, only the preamble of the notice and state-
ment of legal authority will be published. If an agency adopts the rule with changes to the proposed text, the pro-
posal will be republished with the changes.TITLE 34. PUBLIC
FINANCE
Part IV. Employees
Retirement System of
Texas
Chapter 81. Insurance
*34 TAC 81.7
The Employees Retirement System of
Texas (ERS) adopts under federal mandate
an amendment to 81.7, concerning en-
rollment and participation.
Subsection (d), entitled "Surviving Depen-
dents:' was erroneously omitted upon the
original filing of adopted federally man-
dated amendments to this section pursu-
ant to the Consolidated Omnibus Budget
Reconciliation Act of 1986 (COBRA), Pub-
lic Law 99-272, 10002, which requires
state group health plans, such as the
Texas Employees Uniform Group Insur-
ance Program administered by the ERS to
provide continuation coverage for certain
eligible Individuals. The adopted text was
published in the September 5, 1986, issue
of the Texas Register (11 TexReg 3864).
The inclusion of subsection (d) to this sec-
tion will now provide for surviving spouses
and dependents of decreased employees,
who meet certain age and service require-
ments, and surviving spouses and depen-
dents of retirees to continue coverage as
provided in 81.5(e) and to pay premiums
as provided in 81.3(dX2XA)-(B)
The amendment is adopted under the In-
surance Code, Article 3.50-2, 4 and 4A,
which provides the Employees Retirement
System of Texas with the authority to pro-
mulgate all rules, regulations, plans, pro-
cedures, and orders reasonably necessary
to implement and carry out the purposes
and provisions of the Texas Employees
Uniform Group Insurance Benefits Act in
all its particulars; and under federal man-
date found in the Consolidated Omnibus
Budget Reconciliation Act of 1986, Pub-
lic Law 99-272, 10002, which mandates
the Texas Employees Uniform Group In-
surance Program, administered by the
Employees Retirement System of Texas to
provide continuation coverage for certain
eligible Individuals.
81.7. Enrollment and Partcipation.
(a) Full-time employees and their de-
pendents.(1) (No change.)
(2) Applications for coverages to be
effective on the day the employee begins ac-
tive duty must be submitted to the agency
insurance coordinator on or before that day.
Coverages for which the application is sub-
mitted after the first day of active duty and
within 30 days after that day will be effec-
tive on the first day of the month following
the date of application; however, applica-
tions completed by the employee and post-
marked or received by the employing agency
on the first day of the month will become
effective on the first day of the month. Ap-
plications submitted after the first 31 days
will be governed by subsection (f) of this
section.
(3) Coverages for dependents of an
employee will be effective on the same day
the employee's coverage becomes effective
if an application is submitted on or before
the effective date of the employee's cover-
age. If the application is submitted within
30 days after the employee's effective date,
the dependent's coverage will be effective on
the first day of the month following the date
of application; however, applications com-
pleted by the cnlployee and postmarked or
received by the employing agency on the first
day of the month will become effective on
the first day of the month. New dependents'
coverage will be effective on the date the per-
son becomes a dependent if an application
is submitted on or within 30 days after the
date the dependent first becomes eligible. If
the application is submitted more than 30
days after the employee's effective date or
the date the dependent is first eligible, as the
case may be, the application will be governed
by the rules in subsection (f) of this section.
(4)-(6) (No change.)
(b) (No change.)
(c) Retirees and their dependents.
(1) (No change.)
(2) If a retiree was not covered as
an active employee immediately prior to be-
coming an annuitant, the retiree will be au-,
tomatically enrolled in the basic retiree plan.
Coverage for an eligible dependent of a re-
tiree will be effective on the same day the
retiree's coverage becomes effective if an ap-
plication is received on or before the retiree's
effective date of coverage. Applications re-
ceived after the first 31 days will be governed
by subsection (f) of this section. Retiree co-
verage for a terminated employee who be-
comes eligible for disability retirement willbe made effective as provided in subsection
(iX3) of this section.
(3) An application to delete optional
life coverages or to change health coverage
will be effective on the day the retiree be-
comes an annuitant if the apnlication is post-
marked or received by the Employees Retire
ment System on or before the effective date
of retirement, but subject to the provisions
of subsection (iX3) of this section. If the ap-
plication is received after the date the retiree
becomes an annuitant, but within 30 days
after the date the retiree becomes an annui-
tant, the deletion or change of coverage will
become effective the first day of the month
following the date the application for dele-
tion or change is received. All other enroll-
ment rules stated in subsections (a), (e)-(g),
and (i) of this section apply to retirees.
(d) Surviving dependents. A surviving
spouse and dependents of a deceased em-
ployee who met the age and service require-
ments to qualify for a retirement benefit or
survivor's annuity at the time of death and
a surviving spouse and dependents of a re-
tiree may continue coverage as provided in
81.5(e) of this title (relating to Eligibility).
A surviving spouse, who is receiving an an-
nuity, shall make premium payments by de-
ductions from the annuity as provided in
81.3(d)(2)A) of this title (relating to Ad-
ministration). A surviving spouse, who is not
receiving an annuity, may make quarterly
payments as provided in 81.3(dX2)(B) of
this title (relating to Administration). The
surviving spouse must apply to continue co-
verage for himself or herself and dependents
within 30 days after notification in writing
of eligibility to make application.
(e) Special rules for additional or al-
ternative coverages.
(1) An employee/retiree must be in-
sured in a health insurance plan provided by
the program or enrolled in an approved
HMO before the employee/retiree is eligible
to apply for any of the optional coverages
provided by the program. Only an employee
or retiree or a former officer or employee
specifically authorized to join the program
may apply for optional coverages.
(2) An employee/retiree may parti-
cipate in an approved HMO if he or she re-
sides in the approved service area of the
HMO and is otherwise eligible under the
terms of the letter of agreement with the
HMO.11 TexReg 4576 November 4, 1986 Texas RegL~ter 4
w
11 TexReg 4576 November 4, 1986
Texas Register 4
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Texas. Secretary of State. Texas Register, Volume 11, Number 83, Pages 4557-4604, November 4, 1986, periodical, November 4, 1986; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth243830/m1/20/: accessed July 18, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu.; crediting UNT Libraries Government Documents Department.