376.894. Amount of premium, date of payment--termination of right of continuation of coverage, grounds. - Missouri Statutes

Amount of premium, date of payment--termination of right ofcontinuation of coverage, grounds.

376.894. If a legally separated, divorced or surviving spouse electscontinuation of coverage under section 376.893:

(1) During the period of time covered by the federal ConsolidatedOmnibus Budget Reconciliation Act (COBRA), the monthly contribution for thepremium shall not be greater than the amount that would be charged if thelegally separated, divorced or surviving spouse were a current certificateholder of the group contract, policy or plan plus the amount that the grouppolicyholder would contribute toward the premium if the legally separated,divorced or surviving spouse were a certificate holder of the group plan, plusan additional amount not to exceed two percent of the certificate holder andgroup plan holder contributions, for the cost of administration. Once theperiod of time covered by the insurance premium provisions of the federalConsolidated Omnibus Budget Reconciliation Act (COBRA) has expired, themonthly contribution for the premium shall not be greater than the amount thatwould have been charged if the legally separated, divorced or surviving spousewere a current certificate holder of the group contract, policy or plan plusthe amount that the group policyholder would contribute toward the premium ifthe legally separated, divorced or surviving spouse were a certificate holderplus an amount not to exceed twenty-five percent of the certificate holder andgroup plan holder contributions. Such additional contributions shall bedetermined by each individual plan administrator and shall be subject toreview by the Missouri department of insurance, financial institutions andprofessional registration;

(2) The first premium shall be paid by the legally separated, divorcedor surviving spouse within forty-five days of the date of the election;

(3) The right to continuation of coverage shall terminate upon theearliest of any of the following:

(a) The failure to pay premiums when due, including any grace periodallowed by the policy;

(b) The date that the group policy is terminated as to all group membersexcept that if a different group policy is made available to group members,the legally separated, divorced or surviving spouse shall be eligible forcontinuation of coverage as if the original policy had not been terminated;

(c) The date on which the legally separated, divorced or survivingspouse becomes insured under any other group health plan;

(d) The date on which the legally separated, divorced or survivingspouse remarries and becomes insured under another group health plan; or

(e) The date on which the legally separated, divorced or survivingspouse attains his sixty-fifth birthday.

(L. 1993 H.B. 564 § 14)