I
105TH CONGRESS
1ST SESSION
H. R. 1854
To amend the Employee Retirement Income Security Act of 1974 to require
the offering of children-only coverage to dependents of participants under
group health plans, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
JUNE 10, 1997
Mr. SABO introduced the following bill; which was referred to the Committee
on Education and the Workforce
A BILL
To amend the Employee Retirement Income Security Act
of 1974 to require the offering of children-only coverage
to dependents of participants under group health plans,
and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Children’s Health Cov-
erage Improvement Act of 1997’’.
SEC. 2. REQUIRING OFFER OF CHILDREN’S-ONLY COV-
ERAGE UNDER GROUP HEALTH PLANS.
(a) IN GENERAL.—Part 7 of subtitle B of title I of
the Employee Retirement Income Security Act of 1974 is
amended by inserting after section 712 the following new
section:
‘‘SEC. 713. PROVIDING OPTION OF CHILDREN’S ONLY COV-
ERAGE.
‘‘(a) REQUIREMENT
FOR
OPTION.—Each group
health plan shall provide, as at least one benefit option
under the plan, health benefits coverage for qualified chil-
dren (as defined in subsection (b)).
‘‘(b) QUALIFIED CHILD DEFINED.—For purposes of
this section, the term ‘qualified child’ means, with respect
to a group health plan, an individual who is under 19
years of age and is a dependent of a participant under
such plan. A group health plan may treat other individuals
as qualified children under the plan.
‘‘(c) TERMS OF OPTION.—
‘‘(1) TIMING.—
‘‘(A) IN
GENERAL.—Subject to subpara-
graph (B), the option under subsection (a) by
a group health plan shall be made at such times
as the person (of whom the qualified child is a
dependent) is permitted to elect coverage under
the plan.
‘‘(B) TRANSITION.—A group health plan
shall also make such offer available at the time
this section first becomes effective.
‘‘(2) MAY
REQUIRE
ENROLLMENT
OF
ALL
QUALIFIED
CHILDREN
IN
A
FAMILY.—The offer
under this section, made with respect to an individ-
ual who is the qualified child of a participant, may
be conditioned upon the election of the option by all
qualified children of the participant.’’.
(b) CLERICAL AMENDMENT.—The table of contents
in section 1 of such Act is amended by inserting after the
item relating to section 712 the following new item:
‘‘Sec. 713. Providing option of children’s only coverage.’’.
SEC. 
3. 
PROVISIONS 
OF 
CHILDREN-ONLY 
COVERAGE
UNDER COBRA CONTINUATION PROVISIONS.
(a) IN GENERAL.—Part 6 of subtitle B of title I of
the Employee Retirement Income Security Act of 1974 is
amended by inserting after section 609 the following new
section:
‘‘SEC. 610. SPECIAL RULES FOR CHILDREN ONLY COV-
ERAGE.
‘‘In carrying out sections 601 through 608, the fol-
lowing additional rules shall apply:
‘‘(1) The term ‘continuation coverage’ shall in-
clude, in addition to the coverage otherwise required,
at least one option of benefits coverage that meets
the terms and conditions of section 713.
‘‘(2) The premium for the continuation cov-
erage described in paragraph (1) shall be established
only with regard to such coverage.
‘‘(3) The election of continuation coverage de-
scribed in paragraph (1) shall be available with re-
spect to qualified beneficiaries who previously had
such coverage before the date of the qualifying event
or were covered under family coverage before such
date.’’.
(b) CLERICAL AMENDMENT.—The table of contents
in section 1 of such Act is amended by inserting after the
item relating to section 609 the following new item:
‘‘Sec. 610. Special rules for children only coverage.
SEC. 4. EFFECTIVE DATE.
(a) IN GENERAL.—Except as provided in this section,
the amendments made by this Act shall apply with respect
to group health plans for plan years beginning after the
first day of the first month that begins more than 9
months after the date of the enactment of this Act.
(b) SPECIAL RULE FOR COLLECTIVE BARGAINING
AGREEMENTS.—In the case of a group health plan main-
tained pursuant to 1 or more collective bargaining agree-
ments between employee representatives and one or more
employers ratified before the date of the enactment of this
Act, section 713 of the Employee Retirement Income Se-
curity Act of 1974 shall not apply to plan years beginning
before the later of—
(1) the date on which the last of the collective
bargaining agreements relating to the plan termi-
nates (determined without regard to any extension
thereof agreed to after the date of the enactment of
this Act), or
(2) the effective date provided under subsection
(a),
For purposes of paragraph (1), any plan amendment made
pursuant to a collective bargaining agreement relating to
the plan which amends the plan solely to conform to any
requirement of such part shall not be treated as a termi-
nation of such collective bargaining agreement.
(c) TIMELY REGULATIONS.—The Secretary of Labor
shall first issue by not later than 3 months before the ef-
fective date provided under subsection (a), such regula-
tions as may be necessary to carry out the amendments
made by this Act.
Æ