MI SB1268

Allows covered individuals to continue health insurance coverage for 18 months after employment termination or death, or until they obtain coverage through another employer.

Requires carriers to offer extended coverage at a monthly premium not exceeding 102% of the previous group rate, with individuals paying only one monthly premium at a time.

Eligible persons must elect to continue coverage within 60 days of employment termination by submitting the required form and paying the monthly premium to the employer or carrier.

Employers who receive timely premium payments but fail to pay the carrier become liable for benefits to the same extent the carrier would have been liable if coverage had continued.

Upon termination of extended coverage, individuals may elect individual conversion policies as provided in existing insurance law; small employers must post a conspicuous notice informing employees of their options under this section.