AN ACT to allow the continuation of a group health insurance policy of a widowed spouse or SURVIVING dependent for THIRTY‑SIX months after the date the covered employee has deceased.

The General Assembly of North Carolina enacts:

SECTION 1.  G.S. 58‑53‑35 reads as rewritten:

§ 58‑53‑35.  Termination of continuation.

(a)        Continuation of insurance under the group policy for any person shall terminate on the earliest of the following dates:

(1)        The date 18 months after the date the employee's or member's insurance under the policy would otherwise have terminated because of termination of employment or members;members for reasons other than death of the employee.

(1a)      The date 36 months after the date the employee's or member's insurance under the policy would have otherwise terminated because of death of the employee.

(2)        The date ending the period for which the employee or member last makes his the required contribution, if he the member discontinues his contributions;making contributions.

(3)        The date the employee or member becomes or is eligible to become covered for similar benefits under any arrangement of coverage for individuals in a group, whether insured or uninsured;uninsured.

(4)        The date on which the group policy is terminated or, in the case of a multiple employer plan, the date his the member's employer terminates participation under the group master policy. When this occurs the employee or member shall have the privilege described in G.S. 58‑53‑45 if the date of termination precedes that on which his the member's actual continuation of insurance under that policy would have terminated. The insurer that insured the group before the date of termination shall make a converted policy available to the employee or member.

(b)        Notwithstanding subdivision (a)(4) of this section, if the employer replaces the group policy with another group policy, the employee is entitled to continue under the successor group policy for any unexpired period of continuation to which the employee is entitled.

SECTION 2.  This act becomes effective October 1, 2021, and applies to group policies in effect on and after that date.