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7 LONG TITLE
8 General Description:
9 This bill enacts provisions related to portable benefit plans.
10 Highlighted Provisions:
11 This bill:
12 ▸ provides that government entities or private entities may offer a portable benefit
13 plan;
14 ▸ requires contributions to a portable benefit plan be voluntary;
15 ▸ provides that contributions to a portable benefit plan:
16 • are not evidence of an employment relationship or employer liability; and
17 • may not be used as criteria in determining employment classifications; and
18 ▸ defines terms.
19 Money Appropriated in this Bill:
20 None
21 Other Special Clauses:
22 None
23 Utah Code Sections Affected:
24 ENACTS:
25 34-57-101, Utah Code Annotated 1953
26 34-57-102, Utah Code Annotated 1953
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28 Be it enacted by the Legislature of the state of Utah:
29 Section 1. Section 34-57-101 is enacted to read:
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32 34-57-101. Definitions.
33 As used in this chapter:
34 (1) "Hiring party" means a person who hires or enters into a contract with an
35 independent contractor.
36 (2) "Independent contractor" means the same as that term is defined in Section
37 34A-2-103.
38 (3) "Portable benefit plan" means a group coverage benefit option offered through a
39 fund, account, or alternative mechanism that:
40 (a) provides portable benefits, including:
41 (i) health insurance coverage;
42 (ii) unemployment insurance coverage; or
43 (iii) disability pay coverage; and
44 (b) is assigned to an individual beneficiary and is not associated with a specific
45 employer or hiring party.
46 Section 2. Section 34-57-102 is enacted to read:
47 34-57-102. Administration -- Assignment of benefits -- Portability.
48 (1) A governmental entity or private entity may offer a portable benefit plan.
49 (2) Contributions to a portable benefit plan:
50 (a) shall be voluntary; and
51 (b) may not be used as a criterion for determining a person's employment classification.
52 (3) If an Internet or application-based company contributes to a portable benefit plan
53 for the benefit of an individual beneficiary:
54 (a) the contribution is not evidence of employer liability; and
55 (b) a court may not construe the contribution as an element of an employment
56 relationship for purposes of:
57 (i) Title 34A, Chapter 2, Workers' Compensation Act; or
58 (ii) Title 35A, Chapter 4, Employment Security Act.