HOUSE BILL No. 4006


     January 8, 1997, Introduced by Rep. Schauer and referred to the Committee on Insurance.


        A bill to amend 1956 PA 218, entitled

   "The insurance code of 1956,"

   (MCL 500.100 to 500.8302) by adding section 3406f.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1         SEC. 3406F.  (1) BY JULY 1, 1997, AN INSURER THAT DELIVERS,

 2    ISSUES FOR DELIVERY, OR RENEWS IN THIS STATE AN EXPENSE-INCURRED

 3    HOSPITAL, MEDICAL, OR SURGICAL POLICY THAT PROVIDES OR OFFERS TO

 4    PROVIDE COVERAGE FOR A FAMILY MEMBER OF THE INSURED SHALL PROVIDE

 5    COVERAGE IN THAT POLICY UPON THE INSURED'S ELECTION AS FOLLOWS:

 6         (A) FOR THE INSURED'S ADOPTED CHILDREN BEGINNING FROM THE

 7    DATE OF PLACEMENT FOR THE PURPOSE OF ADOPTION AND CONTINUING

 8    UNTIL THE POLICY IS CANCELED OR DISCONTINUED, DEPENDENT COVERAGE

 9    ENDS UNDER THE TERMS OF THE POLICY, OR THE PLACEMENT IS DISRUPTED

10    PRIOR TO LEGAL ADOPTION AND THE CHILD IS REMOVED FROM PLACEMENT.




   01039'97                                                 DKH
                                              2

 1         (B) FOR THE INSURED'S ADOPTED CHILDREN BEGINNING FROM THE

 2    DATE OF ADOPTION AND CONTINUING UNTIL THE POLICY IS CANCELED OR

 3    DISCONTINUED OR DEPENDENT COVERAGE ENDS UNDER THE TERMS OF THE

 4    POLICY.

 5         (2) COVERAGE UNDER SUBSECTION (1) FOR THE ADOPTED CHILD OR

 6    THE CHILD WHO IS PLACED TO BE ADOPTED SHALL BE THE SAME AS IF THE

 7    CHILD WAS A NEWLY BORN BIOLOGICAL CHILD OF THE INSURED.

 8         (3) AS USED IN THIS SECTION, "ADOPTED CHILD", "ADOPTED

 9    CHILDREN", AND "CHILD WHO IS PLACED TO BE ADOPTED" MEAN RESPEC-

10    TIVELY AN INDIVIDUAL WHO IS ADOPTED OR PLACED TO BE ADOPTED AND

11    WHO IS LESS THAN 18 YEARS OF AGE.


































   01039'97          Final page.                            DKH