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H.B. 393

             1     

MEDICAL PROVISIONS FOR CHILDREN OF

             2     
DIVORCE

             3     
2000 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Sponsor: Fred J. Fife

             6      AN ACT RELATING TO HUSBAND AND WIFE; DIVIDING MEDICAL AND DENTAL
             7      EXPENSES EQUALLY BETWEEN PARENTS PRIOR TO THE ISSUANCE OF A FINAL
             8      DIVORCE DECREE AND IN THE EVENT THAT A DIVORCE DECREE FAILS TO DIVIDE
             9      THOSE EXPENSES.
             10      This act affects sections of Utah Code Annotated 1953 as follows:
             11      AMENDS:
             12          15-4-6.7, as enacted by Chapter 175, Laws of Utah 1995
             13          62A-11-326, as last amended by Chapter 166, Laws of Utah 1990
             14          78-45-7.15, as last amended by Chapter 258, Laws of Utah 1995
             15          78-45-7.19, as last amended by Chapter 118, Laws of Utah 1994
             16      ENACTS:
             17          30-3-4.5, Utah Code Annotated 1953
             18      Be it enacted by the Legislature of the state of Utah:
             19          Section 1. Section 15-4-6.7 is amended to read:
             20           15-4-6.7. Medical expenses of minor children -- Collection pursuant to court or
             21      administrative order of child support.
             22          (1) When a complaint for divorce or separate maintenance has been filed or a court order
             23      has been entered providing for the payment of medical expenses of a minor child pursuant to
             24      Section 30-3-5 , 30-4-3 , or 78-45-7.15 , or an administrative order under Section 62A-11-326 , a
             25      creditor who has been provided a copy of the complaint or order may not make a claim for unpaid
             26      medical expenses against a parent who has paid in full that share of the medical and dental
             27      expenses required to be paid by that parent under the order or Section 30-3-4.5 .


             28          (2) When a complaint for divorce or separate maintenance has been filed or a court order
             29      has been entered providing for the payment of medical and dental expenses of a minor child
             30      pursuant to Section 30-3-5 , 30-4-3 , or 78-45-7.15 , or an administrative order under Section
             31      62A-11-326 and the creditor receives a copy of the complaint or order, the creditor may not make
             32      a negative credit report under Section 70C-7-107 , or report of the debtor's repayment practices or
             33      credit history under Title 7, Chapter 14, Credit Information Exchange, regarding a parent who has
             34      paid in full that share of the medical and dental expenses required to be paid by that parent under
             35      the order or Section 30-3-4.5 .
             36          Section 2. Section 30-3-4.5 is enacted to read:
             37          30-3-4.5. Responsibility for medical and dental expenses in absence of an order.
             38          (1) After a complaint for divorce or separate maintenance is filed, each parent shall be
             39      responsible for 50% of the reasonable and necessary medical and dental expenses of the dependent
             40      children that are not paid for by insurance until an order assigning responsibility for such expenses
             41      is rendered pursuant to Section 30-3-5 .
             42          (2) If for any reason, a divorce decree fails to assign the responsibility for medical and
             43      dental expenses as required by Section 30-3-5 , regardless of when the divorce decree was rendered,
             44      the parents shall each be responsible for 50% of the reasonable and necessary medical and dental
             45      expenses of the dependent children that are not paid for by insurance until an order assigning
             46      responsibility for such expenses is rendered pursuant to Section 30-3-5 .
             47          (3) This section applies to medical and dental expenses that are incurred on or after July
             48      1, 2000.
             49          (4) Nothing in this section may be construed as restricting the ability of a court to:
             50          (a) assign responsibility for medical and dental expenses incurred prior to July 1, 2000;
             51      or
             52          (b) render an order pursuant to Section 30-3-5 that does not assign equal responsibility for
             53      medical and dental expenses to the parents, except as provided in Section 78-45-7.15 .
             54          Section 3. Section 62A-11-326 is amended to read:
             55           62A-11-326. Medical and dental expenses of dependent children.
             56          (1) In any action under this part, the office and the department in their orders:
             57          [(1)] (a) shall include a provision assigning responsibility for the payment of reasonable
             58      and necessary medical and dental expenses of the dependent children; and


             59          [(2)] (b) may include a provision requiring the purchase and maintenance of appropriate
             60      medical, hospital, and dental care insurance for those children, if insurance coverage is or becomes
             61      available at a reasonable cost.
             62          (2) If for any reason, an order under this section fails to assign the responsibility for
             63      medical and dental expenses as required by Subsection (1)(a), regardless of when the order was
             64      issued, the parents shall each be responsible for 50% of the reasonable and necessary medical and
             65      dental expenses of the dependent children that are not paid for by insurance until an order
             66      assigning responsibility for such expenses is rendered pursuant to Subsection (1)(a), Section
             67      30-3-5 , or Section 78-45-7.15 .
             68          Section 4. Section 78-45-7.15 is amended to read:
             69           78-45-7.15. Medical expenses.
             70          (1) The court shall order that insurance for the medical expenses of the minor children be
             71      provided by a parent if it is available at a reasonable cost.
             72          (2) In determining which parent shall be ordered to maintain insurance for medical
             73      expenses, the court or administrative agency may consider the:
             74          (a) reasonableness of the cost;
             75          (b) availability of a group insurance policy;
             76          (c) coverage of the policy; and
             77          (d) preference of the custodial parent.
             78          (3) The order shall require each parent to share equally the out-of-pocket costs of the
             79      premium actually paid by a parent for the children's portion of insurance.
             80          (4) The children's portion of the premium is a per capita share of the premium actually
             81      paid. The premium expense for the children shall be calculated by dividing the premium amount
             82      by the number of persons covered under the policy and multiplying the result by the number of
             83      children in the instant case.
             84          (5) The order shall require each parent to share equally all reasonable and necessary
             85      uninsured medical expenses, including deductibles and copayments, incurred for the dependent
             86      children.
             87          (6) The parent ordered to maintain insurance shall provide verification of coverage to the
             88      other parent, or to the Office of Recovery Services under Title IV of the Social Security Act, 42
             89      U.S.C. Section 601 et seq., upon initial enrollment of the dependent children, and thereafter on or


             90      before January 2 of each calendar year. The parent shall notify the other parent, or the Office of
             91      Recovery Services under Title IV of the Social Security Act, 42 U.S.C. Section 601 et seq., of any
             92      change of insurance carrier, premium, or benefits within 30 calendar days of the date he first knew
             93      or should have known of the change.
             94          (7) A parent who incurs medical expenses shall provide written verification of the cost and
             95      payment of medical expenses to the other parent within 30 days of payment.
             96          (8) In addition to any other sanctions provided by the court, a parent incurring medical
             97      expenses may be denied the right to receive credit for the expenses or to recover the other parent's
             98      share of the expenses if that parent fails to comply with Subsections (6) and (7).
             99          (9) Uninsured medical and dental expenses that are incurred after a complaint for divorce
             100      or separate maintenance has been filed and before an order is issued under this section shall be
             101      subject to Section 30-3-4.5 .
             102          Section 5. Section 78-45-7.19 is amended to read:
             103           78-45-7.19. Determination of parental liability.
             104          (1) The district court or administrative agency may issue an order determining the amount
             105      of a parent's liability for medical expenses of a dependent child when the parent:
             106          (a) is required by a prior court or administrative order to:
             107          (i) share those expenses with the other parent of the dependent child; or
             108          (ii) obtain insurance for medical expenses but fails to do so; or
             109          (b) receives direct payment from an insurer under insurance coverage obtained after the
             110      prior court or administrative order was issued.
             111          (2) If the prior court or administrative order does not specify what proportions of the
             112      expenses are to be shared, [the district court may determine] the amount of liability [as may be
             113      reasonable and necessary] shall be determined in accordance with Section 30-3-4.5 .
             114          (3) This section applies to an order without regard to when it was issued.




Legislative Review Note
    as of 2-9-00 4:21 PM


A limited legal review of this legislation raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel


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