Date: November 7, 2008
For more information contact: Jim Guidry, (608) 264-6239 or jim.guidry@wisconsin.gov

Commissioner welcomes federal expansion to Michelle's Law

Madison, WI—Wisconsin Commissioner of Insurance Sean Dilweg welcomed the passage of H.R. 2851, known as "Michelle's Law." The new law is named after Michelle Morse, who developed cancer while in college and stayed in school full time in order to remain covered on her parent's health insurance. Michelle died just six months after graduating from college.

"The passage of this law will bring piece of mind to many students across the state," said Dilweg. "Students no longer need to worry about choosing between college and their own health care."

Michelle's Law requires group and individual health plans providing coverage to a dependent child, on the basis the child is a full time student at a post secondary institution, to continue health care coverage for the child if he or she loses full-time student status due to a medically necessary leave of absence. Coverage can be maintained for one year from the time the student begins the leave of absence.

Wisconsin has had its own version of Michelle's law since Wisconsin Act 36 was signed by Governor Jim Doyle in November of 2007. While both laws offered similar language, Wisconsin Act 36 did not cover self-funded employer health plans, also known as ERISA plans, because of preemption by federal law. Enactment of Michelle's law at the federal level extends this coverage to those ERISA plans.

"Federal level enactment of this law was important to extend the coverage to ERISA plans that were beyond the reach of state legislatures," said Dilweg. "ERISA plans make up a large portion of the Wisconsin health care marketplace. I applaud the wisdom of Congress in following the lead of Wisconsin and the other states that have passed Michelle's Law."

The new federal law will become effective with health plan years that begin on or after October 9, 2009. Wisconsin's law became effective on July 1, 2008.

More information about required health insurance coverage in Wisconsin is available from OCI. The OCI publication Fact Sheet on Mandated Benefits in Health Insurance Policies (PI-019) can be ordered free from the agency by writing to OCI Publications, P.O. Box 7873, Madison, WI 53707-7873, calling 800-236-8517 or visiting the OCI Web site at oci.wi.gov.

Created by the Legislature in 1871, Wisconsin's Office of the Commissioner of Insurance (OCI) was vested with broad powers to ensure that the insurance industry responsibly and adequately met the insurance needs of Wisconsin citizens. Today, OCI's mission is to lead the way in informing and protecting the public and responding to its insurance needs.