HB89 Summary

• Authorizes the State Employees' Insurance Board to offer a High Deductible Health Plan with a federally qualified Health Savings Account (HDHP-HSA) to eligible active and retired state employees and their dependents.

• Permits participants to receive employer contributions into their HSA from the State Employees' Insurance Fund in amounts determined by the board, with such contributions not counting as employee compensation for salary-limiting statutes.

• Allows participants to make voluntary salary reduction contributions to their HSA, with reduced salary amounts continuing to count as earnable compensation for calculating retirement benefits under the State Employees' Retirement System and Teachers' Retirement System.

• Authorizes the State Employees' Insurance Board to offer a Health Reimbursement Arrangement (HRA) to eligible active and retired state employees and their dependents, with employer contributions not constituting employee compensation.

• Prohibits assignment of health insurance benefits or liens against benefits if the policy covers excepted benefits as defined in the Public Health Service Act.