AN ACT Relating to insurance coverage for adopted children; adding a new section to chapter 48.01 RCW; adding a new section to chapter 48.20 RCW; adding a new section to chapter 48.21 RCW; adding a new section to chapter 48.44 RCW; adding a new section to chapter 48.46 RCW; and providing an effective date.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. A new section is added to chapter 48.01 RCW to read as follows:

A child of an insured, subscriber or enrollee shall be considered a dependent child for insurance purposes under this title upon being physically placed with the insured, subscriber, or enrollee for the purposes of adoption under the laws of the state in which the insured, subscriber, or enrollee resides; and upon assumption by the insured, subscriber, or enrollee of the financial responsibility for the medical expenses of the child. Eligibility for coverage is governed by applicable contract, policy or agreement provisions including any established underwriting guidelines.

Such obligation for coverage shall terminate when the first of any of the following events occur:

(1) Termination of physical placement with the insured, subscriber, or enrollee; or

(2) Termination of the adoption proceedings; or

(3) Termination of financial responsibility for the child by the insured, subscriber, or enrollee.

NEW SECTION. Sec. 2. A new section is added to chapter 48.20 RCW to read as follows:

(1) Any disability insurance contract providing hospital and medical expenses and health care services, delivered or issued for delivery in this state, which provides coverage for dependent children as defined in the contract of the insured, shall provide the same coverage for adoptive children placed with the insured, as defined in section 1 of this act.

(2) If payment of an additional premium is required to provide coverage for a child, the contract may require that notification of placement of a child for adoption and payment of the required premium must be furnished to the insurer. The notification period shall be no less than sixty days from the date of placement.

NEW SECTION. Sec. 3. A new section is added to chapter 48.21 RCW to read as follows:

(1) Any group disability insurance contract, except a blanket disability insurance contract, providing hospital and medical expenses and health care services, delivered or issued for delivery in this state, which provides coverage for dependent children as defined in the contract of the insured, shall provide the same coverage for adoptive children placed with the insured, as defined in section 1 of this act.

NEW SECTION. Sec. 4. A new section is added to chapter 48.44 RCW to read as follows:

(1) Any health care service contract under this chapter delivered or issued for delivery in this state, which provides coverage for dependent children as defined in the contract of the subscriber, shall cover, on the same basis as other dependents, for adoptive children placed with the subscriber, as defined in section 1 of this act.

(2) If payment of an additional premium is required to provide coverage for a child, the contract may require that notification of placement of a child for adoption and payment of the required premium must be furnished to the health care services contractor. The notification period shall be no less than sixty days from the date of placement.

NEW SECTION. Sec. 5. A new section is added to chapter 48.46 RCW to read as follows:

(1) Any health maintenance agreement under this chapter which provides coverage for dependent children as defined in the agreement of the enrolled participant shall cover, on the same basis as other dependents, for adoptive children of the enrolled participant placed with the enrolled participant, as defined in section 1 of this act.

(2) If payment of an additional premium is required to provide coverage for a child, the agreement may require that notification of placement of a child for adoption and payment of the required premium must be furnished to the health maintenance organization. The notification period shall be no less than sixty days from the date of placement.

NEW SECTION. Sec. 6. This act shall take effect January 1, 1987, and shall apply to all contracts or agreements issued, renewed, or delivered on or after January 1, 1987.

NEW SECTION. Sec. 7. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.