I 

111TH CONGRESS 

1ST SESSION H. R. 251 

To prevent the nondisclosure of employer-owned life insurance coverage of 

employees as an unfair trade practice under the Federal Trade Commission Act, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JANUARY 7, 2009 

Mr. GENE GREEN of Texas introduced the following bill; which was referred 

to the Committee on Education and Labor, and in addition to the Committee on Energy and Commerce, 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 prevent the nondisclosure of employer-owned life insurance coverage of employees as an unfair trade practice 

under the Federal Trade Commission Act, 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, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Life Insurance Em5 ployee Notification Act’’. 


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1 SEC. 2. DISCLOSURE OF EMPLOYER-OWNED LIFE INSUR2 ANCE COVERAGE OF EMPLOYEES. 

3 (a) WRITTEN NOTICE REQUIRED.—Except as pro4 vided in subsection (b), not later than 30 days after the 

5 date on which an employer purchases an employer-owned 

6 insurance policy on the life of an employee (or a spouse 

7 or dependent of the employee), the employer shall provide 

8 to each employee for whom the employer carries such a 

9 policy a written notice that contains the following informa10 tion: 

11 (1) A statement that the employer carries an 

12 employer-owned insurance policy on the life of the 

13 employee. 

14 (2) The identity of the insurance carrier of the 

15 policy. 

16 (3) The benefit amount of the policy. 

17 (4) The name of the beneficiary of the policy. 

18 (b) TRANSITION.— 

19 (1) NOTICE TO FORMER COVERED EMPLOY20 EES.—For former employees covered by an insur21 ance policy described in subsection (a), for any 

22 length of time, from January 1, 1985, until the date 

23 of enactment of this Act, the employer shall provide 

24 the notice required under that subsection not later 

25 than 1 year after such date of enactment. 


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1 (2) NOTICE OF EXISTING COVERED EMPLOY2 EES.—For employees covered by an insurance policy 

3 described in subsection (a) as of the date of enact4 ment of this Act, the employer shall provide the no5 tice required under that subsection not later than 90 

6 days after such date of enactment. 

7 (c) ENFORCEMENT.—A violation of this section con8 stitutes an unfair method of competition and an unfair 

9 or deceptive act or practice under section 5(a)(1) of the 

10 Federal Trade Commission Act (15 U.S.C. 45(a)(1)). The 

11 Federal Trade Commission shall enforce this Act in the 

12 same manner, by the same means, and with the same ju13 risdiction as though all applicable terms and provisions of 

14 the Federal Trade Commission Act were incorporated into 

15 and made a part of this Act. 

16 (d) EMPLOYER-OWNED INSURANCE POLICY DE17 FINED.—The term ‘‘employer-owned insurance policy’’ 

18 means an insurance policy purchased by the employer for 

19 the benefit of a person other than the individual who is 

20 the subject of the policy (or other than a person des21 ignated by such individual). 

Æ 


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