New Jersey S538 requires compensation for members of self-funded multiple employer welfare arrangements under certain conditions.

New Jersey S538 amends existing law to require the Department of Banking and Insurance (DOBI) to compensate members of self-funded multiple employer welfare arrangements (MEWAs) under specific circumstances. If a MEWA undergoes rehabilitation, liquidation, conservation, or dissolution, and the court determines that this is not due to mismanagement, DOBI must compensate members 60% of the value of any court-imposed assessment to cover unpaid and projected claims. The court must consider external factors, such as epidemics or natural disasters, when making its determination.

New Jersey S538 requires compensation for members of self-funded multiple employer welfare arrangements under certain conditions.

New Jersey S538 amends existing law to require the Department of Banking and Insurance (DOBI) to compensate members of self-funded multiple employer welfare arrangements (MEWAs) under specific circumstances. If a MEWA undergoes rehabilitation, liquidation, conservation, or dissolution, and the court determines that this is not due to mismanagement, DOBI must compensate members 60% of the value of any court-imposed assessment to cover unpaid and projected claims. The court must consider external factors, such as epidemics or natural disasters, when making its determination.