I

108TH CONGRESS

1ST SESSION H. R. 2197

To amend title 10, United States Code, to provide for Department of Defense

funding of continuation of health benefits plan coverage for certain

Reserves called or ordered to active duty and their dependents, and

for other purposes.

IN THE HOUSE OF REPRESENTATIVES

MAY 21, 2003

Mr. RYAN of Ohio (for himself, Mr. ACEVEDO-VILA ́, Mr. BOUCHER, Mr.

CAPUANO, Mrs. CHRISTENSEN, Mr. HINCHEY, Mr. HOLDEN, Mr. KENNEDY of Rhode Island, Mr. KILDEE, Ms. KILPATRICK, Mr. MCGOVERN,

Mr. PAYNE, Mr. RUPPERSBERGER, Mr. SANDERS, Mr. STRICKLAND, and

Mr. WAXMAN) introduced the following bill; which was referred to the

Committee on Armed Services, and in addition to the Committees on Energy and Commerce, Education and the Workforce, and Ways and

Means, for a period to be subsequently determined by the Speaker, in

each case for consideration of such provisions as fall within the jurisdiction of the committee concerned

A BILL

To amend title 10, United States Code, to provide for Department of Defense funding of continuation of health

benefits plan coverage for certain Reserves called or ordered to active duty and their dependents, and for other

purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,
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1 SECTION 1. DEPARTMENT OF DEFENSE PAYMENT FOR

2 CONTINUATION OF NON-TRICARE HEALTH

3 BENEFITS COVERAGE FOR CERTAIN MOBI4 LIZED RESERVES.

5 (a) PAYMENT OF PREMIUMS.—

6 (1) REQUIREMENT TO PAY PREMIUMS.—Chap7 ter 55 of title 10, United States Code, is amended

8 by inserting after section 1078a the following new

9 section:

10 ‘‘§ 1078b. Continuation of non-TRICARE health bene11 fits plan coverage for certain Reserves

12 called or ordered to active duty and their

13 dependents

14 ‘‘(a) PAYMENT OF PREMIUMS.—The Secretary con15 cerned shall pay the applicable premium to continue in

16 force any qualified health benefits plan coverage for an

17 eligible reserve component member for the benefits cov18 erage continuation period if timely elected by the member

19 in accordance with regulations prescribed under sub20 section (h).

21 ‘‘(b) ELIGIBLE MEMBER.—A member of a reserve

22 component who is called or ordered to active duty for a

23 period of more than 30 days under a provision of law re24 ferred to in section 101(a)(13)(B) of this title is eligible

25 for payment of the applicable premium for continuation
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1 of qualified health benefits plan coverage under subsection

2 (a).

3 ‘‘(c) QUALIFIED HEALTH BENEFITS PLAN COV4 ERAGE.—For the purposes of this section, health benefits

5 plan coverage for a member called or ordered to active

6 duty is qualified health benefits plan coverage if—

7 ‘‘(1) the coverage was in force on the date on

8 which the Secretary notified the member that

9 issuance of the call or order was pending or, if no

10 such notification was provided, the date of the call

11 or order; and

12 ‘‘(2) on that date, the coverage applied to the

13 member and dependents of the member.

14 ‘‘(d) APPLICABLE PREMIUM.—The applicable pre15 mium payable under this section for continuation of health

16 benefits plan coverage in the case of a member is the

17 amount of the premium payable by the member for the

18 coverage of the member and dependents.

19 ‘‘(e) BENEFITS COVERAGE CONTINUATION PE20 RIOD.—The benefits coverage continuation period under

21 this section for qualified health benefits plan coverage in

22 the case of a member called or ordered to active duty is

23 the period that—

24 ‘‘(1) begins on the date of the call or order; and

25 ‘‘(2) ends on the earlier of the date on which—
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1 ‘‘(A) the member’s eligibility for transi2 tional health care under section 1145(a) of this

3 title terminates under paragraph (3) of such

4 section;

5 ‘‘(B) the member or the dependents of the

6 member eligible for benefits under the qualified

7 health benefits plan coverage become covered by

8 another health benefits plan that is not

9 TRICARE; or

10 ‘‘(C) the member elects to terminate the

11 continued qualified health benefits plan cov12 erage of the dependents of the member.

13 ‘‘(f) EXTENSION OF PERIOD OF COBRA COV14 ERAGE.—Notwithstanding any other provision of law—

15 ‘‘(1) any period of coverage under a COBRA

16 continuation provision (as defined in section

17 9832(d)(1) of the Internal Revenue Code of 1986)

18 for a member under this section shall be deemed to

19 be equal to the benefits coverage continuation period

20 for such member under this section; and

21 ‘‘(2) with respect to the election of any period

22 of coverage under a COBRA continuation provision

23 (as so defined), rules similar to the rules under sec24 tion 4980B(f)(5)(C) of such Code shall apply.
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1 ‘‘(g) SPECIAL RULE WITH RESPECT TO INDIVIDUAL

2 HEALTH INSURANCE COVERAGE.—With respect to a

3 member of a reserve component described in subsection

4 (b) who was enrolled in individual health insurance cov5 erage (as such term is defined in section 2791(b)(5) of

6 the Public Health Service Act) on the date on which the

7 member was called or ordered to active duty, the health

8 insurance issuer may not—

9 ‘‘(1) decline to offer such coverage to, or deny

10 re-enrollment of, such individual during the benefits

11 coverage continuation period described in subsection

12 (e);

13 ‘‘(2) impose any preexisting condition exclusion

14 (as defined in section 2701(b)(1)(A) of the Public

15 Health Service Act) with respect to the re-enroll16 ment of such member for such coverage during such

17 period; or

18 ‘‘(3) increase the premium rate for re-enroll19 ment of such member under such coverage during

20 such period above the rate that was paid for the cov21 erage prior to the date of such call or order.

22 ‘‘(h) NONDUPLICATION OF BENEFITS.—A dependent

23 of a member who is eligible for benefits under qualified

24 health benefits plan coverage paid on behalf of a member

25 by the Secretary concerned under this section is not eligi-
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1 ble for benefits under TRICARE during a period of the

2 coverage for which so paid.

3 ‘‘(i) REVOCABILITY OF ELECTION.—A member who

4 makes an election under subsection (a) may revoke the

5 election. Upon such a revocation, the member’s depend6 ents shall become eligible for TRICARE as provided for

7 under this chapter.

8 ‘‘(j) REGULATIONS.—The Secretary of Defense shall

9 prescribe regulations for carrying out this section. The

10 regulations shall include such requirements for making an

11 election of payment of applicable premiums as the Sec12 retary considers appropriate.’’.

13 (2) CLERICAL AMENDMENT.—The table of sec14 tions at the beginning of such chapter is amended

15 by inserting after the item relating to section 1078a

16 the following new item:

‘‘1078b. Continuation of non-TRICARE health benefits plan coverage for certain Reserves called or ordered to active duty and their dependents.’’.

17 (b) APPLICABILITY.—Section 1078b of title 10,

18 United States Code (as added by subsection (a)), shall

19 apply with respect to calls or orders of members of reserve

20 components of the Armed Forces to active duty as de21 scribed in subsection (b) of such section, that are issued

22 by the Secretary of a military department on or after the

23 date of the enactment of this Act.

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