AN ACT

RELATING TO INSURANCE; ALLOWING INDIVIDUAL HEALTH CARE COVERAGE OF UNMARRIED DEPENDENTS UNTIL THEIR TWENTY-FIFTH BIRTHDAY.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:     Section 1. A new section of Chapter 59A, Article 22 NMSA 1978 is enacted to read:

     "MAXIMUM AGE OF DEPENDENT.--An individual or group health policy or certificate of insurance delivered, issued for delivery or renewed in New Mexico that provides coverage for an insured's dependent shall not terminate coverage of an unmarried dependent by reason of the dependent's age before the dependent's twenty-fifth birthday, regardless of whether the dependent is enrolled in an educational institution."

     Section 2. Section 59A-46-38.3 NMSA 1978 (being Laws 2003, Chapter 391, Section 5) is amended to read:

     "59A-46-38.3. MAXIMUM AGE OF DEPENDENT.--Each individual or group health maintenance organization contract delivered or issued for delivery or renewed in New Mexico that provides coverage for an enrollee's dependents shall not terminate coverage of an unmarried dependent by reason of the dependent's age before the dependent's twenty-fifth birthday, regardless of whether the dependent is enrolled in an educational institution; provided that this requirement does not apply to the medicaid managed care system."

     Section 3. Section 59A-47-40 NMSA 1978 (being Laws 2003, Chapter 391, Section 7) is amended to read:

     "59A-47-40. MAXIMUM AGE OF DEPENDENT.--An individual or group health care coverage, including any form of

self-insurance, offered, issued or renewed under the Health Care Purchasing Act that offers coverage of an insured's dependent shall not terminate coverage of an unmarried dependent by reason of the dependent's age before the dependent's twenty-fifth birthday, regardless of whether the dependent is enrolled in an educational institution."

     Section 4. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2005.