§ 5-75-8 - Benefit plans. - Rhode-island Statutes

State Codes and Statutes

Statutes > Rhode-island > Title-5 > Chapter-5-75 > 5-75-8

SECTION 5-75-8

§ 5-75-8 Benefit plans. – (a) A client and a PEO shall each be deemed an employer for purposes ofsponsoring retirement and welfare benefit plans for its covered employees.

(b) A fully-insured welfare benefit plan offered to thecovered employees of a single PEO shall be considered a single employer welfarebenefit plan.

(c) For purposes of determining employer status under chapter50 of title 27 (entitled the Rhode Island Small Employer Health InsuranceAvailability Act), a PEO shall be considered the employer of all of its coveredemployees and all covered employees of one or more clients participating in ahealth benefit plan sponsored by a single PEO shall be considered employees ofthe PEO.

(d) If a PEO offers to its covered employees any healthbenefit plan which is not fully- insured by an authorized insurer, the planshall:

(1) Utilize a third-party administrator licensed to dobusiness in this state;

(2) Hold all plan assets, including participantcontributions, in a trust account; and

(3) Provide sound reserves for such plan as determined usinggenerally accepted actuarial standards.

State Codes and Statutes

Statutes > Rhode-island > Title-5 > Chapter-5-75 > 5-75-8

SECTION 5-75-8

§ 5-75-8 Benefit plans. – (a) A client and a PEO shall each be deemed an employer for purposes ofsponsoring retirement and welfare benefit plans for its covered employees.

(b) A fully-insured welfare benefit plan offered to thecovered employees of a single PEO shall be considered a single employer welfarebenefit plan.

(c) For purposes of determining employer status under chapter50 of title 27 (entitled the Rhode Island Small Employer Health InsuranceAvailability Act), a PEO shall be considered the employer of all of its coveredemployees and all covered employees of one or more clients participating in ahealth benefit plan sponsored by a single PEO shall be considered employees ofthe PEO.

(d) If a PEO offers to its covered employees any healthbenefit plan which is not fully- insured by an authorized insurer, the planshall:

(1) Utilize a third-party administrator licensed to dobusiness in this state;

(2) Hold all plan assets, including participantcontributions, in a trust account; and

(3) Provide sound reserves for such plan as determined usinggenerally accepted actuarial standards.

State Codes and Statutes

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State Codes and Statutes

Statutes > Rhode-island > Title-5 > Chapter-5-75 > 5-75-8

SECTION 5-75-8

§ 5-75-8 Benefit plans. – (a) A client and a PEO shall each be deemed an employer for purposes ofsponsoring retirement and welfare benefit plans for its covered employees.

(b) A fully-insured welfare benefit plan offered to thecovered employees of a single PEO shall be considered a single employer welfarebenefit plan.

(c) For purposes of determining employer status under chapter50 of title 27 (entitled the Rhode Island Small Employer Health InsuranceAvailability Act), a PEO shall be considered the employer of all of its coveredemployees and all covered employees of one or more clients participating in ahealth benefit plan sponsored by a single PEO shall be considered employees ofthe PEO.

(d) If a PEO offers to its covered employees any healthbenefit plan which is not fully- insured by an authorized insurer, the planshall:

(1) Utilize a third-party administrator licensed to dobusiness in this state;

(2) Hold all plan assets, including participantcontributions, in a trust account; and

(3) Provide sound reserves for such plan as determined usinggenerally accepted actuarial standards.