Health insurance coverage continuation for peace officers and firefighters disabled in the line of duty

A bill for an act

relating to retirement; continued health insurance coverage for peace officers and

firefighters disabled in the line of duty; modifying eligibility to receive continued

health insurance coverage for which the employer must pay the employer

contribution; amending Minnesota Statutes 2025 Supplement, section 299A.465,

subdivision 1.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2025 Supplement, section 299A.465, subdivision 1, is

amended to read:

Subdivision 1.

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officer or firefighter disabled in line of duty.

(a) This subdivision

applies to any peace officer or firefighter:

(1) who the Public Employees Retirement Association or the Minnesota State Retirement

System determines is eligible to receive a duty disability benefit pursuant to section
353.656

or
352B.10, subdivision 1
, respectively;
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or
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(2) who does not qualify to receive a duty disability benefit by operation of the eligibility

requirement under section 353.656, subdivision 1, paragraph (b), clause (2); or

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(2)
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(3)
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who is a member of a local police or salaried firefighters relief association and

qualifies for a duty disability benefit under the terms of plans of the relief associations, and

the peace officer or firefighter has discontinued public service as a peace officer or firefighter

as a result of a disabling injury and has been determined, by the Public Employees Retirement

Association, to have otherwise met the duty disability criteria set forth in section
353.01,

subdivision 41
.

(b)
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If a peace officer or firefighter described in paragraph (a), clause (2), wishes to

receive continued health insurance coverage under this section, the peace officer or firefighter

must submit a request for coverage to the executive director of the Public Employees

Retirement Association.
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Determinations made in accordance with paragraph (a) are binding

on the peace officer or firefighter, employer, and state. The determination must be made by

the executive director of the Public Employees Retirement Association or by the executive

director of the Minnesota State Retirement System, whichever applies, and is not subject

to section
356.96, subdivision 2
. Upon making a determination, the executive director must

provide written notice to the peace officer or firefighter and the employer. The notice must

include a written statement of the reasons for the determination. If the notice is from the

executive director of the Minnesota State Retirement System, the notice must also include:

(1) a notice that the
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person
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peace officer or firefighter
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may petition for a review of the

determination by requesting that a contested case be initiated before the Office of

Administrative Hearings, the cost of which must be borne by the peace officer or firefighter

and the employer; and

(2) a statement that any
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person
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peace officer or firefighter
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who does not petition for a

review within 60 days is precluded from contesting issues determined by the executive

director in any other administrative review or court procedure.

If, prior to the contested case hearing, additional information is provided to support the

claim for duty disability as defined in section
352B.011, subdivision 7
, the executive director

may reverse the determination without the requested hearing. If a hearing is held before the

Office of Administrative Hearings, the determination rendered by the judge conducting the

fact-finding hearing is a final decision and order under section
14.62, subdivision 2a
, and

is binding on the applicable executive director, the peace officer or firefighter, employer,

and state. Review of a final determination made by the Office of Administrative Hearings

under this section may only be obtained by writ of certiorari to the Minnesota Court of

Appeals under sections
14.63
to
14.68
. Only the peace officer or firefighter, employer, and

state have standing to participate in a judicial review of the decision of the Office of

Administrative Hearings.

(c) The
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officer's or firefighter's employer must continue to provide health coverage

and pay for the coverage as required by paragraphs (d) to (g) for:

(1) the
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officer or firefighter; and

(2) the
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officer's or firefighter's dependents if the
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officer or firefighter was

receiving dependent coverage at the time of the injury under the employer's group health

plan.

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(d) If a peace officer or firefighter satisfies clause (1), (2), or (3), the employer is

responsible for the continued payment of the employer's contribution for health insurance

coverage of the peace officer or firefighter and, if applicable, the peace officer's or

firefighter's dependents until the peace officer or firefighter reaches age 65 or, if deceased,

would have reached age 65, even if the peace officer's or firefighter's disability benefits

have ceased under section 353.656, subdivision 5a, paragraph (b):

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(d) For an
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(1) the peace
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officer or firefighter
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who
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has applied for
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or
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,
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been approved to

receive
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benefits
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, or is receiving benefits
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under section
353.656

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prior to the date of enactment

or an
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before May 24, 2025;
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(2) the peace
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officer or firefighter
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who applies
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has applied
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for
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and is
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, been
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approved for
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,

or is receiving
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total and permanent duty disability benefits under section
353.656, subdivision

1a
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, the employer is responsible for the continued payment of the employer's contribution

for health coverage of the officer or firefighter and, if applicable, the officer's or firefighter's

dependents. Coverage must continue for the officer or firefighter and, if applicable, the

officer's or firefighter's dependents until the officer or firefighter reaches age 65 or, if

deceased, would have reached age 65.
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; or
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(3) on or after May 24, 2025, the peace officer or firefighter has applied for, been

approved to receive, or is receiving benefits under section 353.656 for a duty disability that

is not based solely on a psychological condition as defined in section 353.032, subdivision

1.

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(e) For
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an
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officer or firefighter approved to receive benefits under section
353.656

on or after
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the date of enactment and
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May 24, 2025,
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who is not approved for total and

permanent duty disability benefits under section
353.656, subdivision 1a
,
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and who is not a

peace officer or firefighter described in paragraph (d), clause (3),
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the employer is responsible

for the continued payment of the employer's contribution for health coverage of the
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officer or firefighter and, if applicable, the
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officer's or firefighter's dependents
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.

Coverage must continue
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as follows
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:

(1) for the
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officer or firefighter for a period of 60 months or, if earlier, until the
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officer or firefighter reaches age 65; and

(2) for the
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officer's or firefighter's dependents for a period of 60 months.

(f) For
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an
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a peace
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officer or firefighter who has applied for or been approved to receive

benefits under section
352B.10, subdivision 1
, the employer is responsible for the continued

payment of the employer's contribution for health coverage of the
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officer or firefighter

and, if applicable, the
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officer's or firefighter's dependents. Coverage must continue

for the
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officer or firefighter and, if applicable, the
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officer's or firefighter's

dependents until the
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officer or firefighter reaches age 65 or, if deceased, would have

reached age 65.

(g) The employer is not required to continue health coverage for dependents after the

person is no longer a dependent.

(h)
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An
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A peace
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officer or firefighter who has applied for or been approved to receive

benefits under section
353.656
may affirmatively waive health coverage under this section

but must not receive any payment or other consideration from the employer in exchange

for waiver of the coverage. Any agreement entered into between
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an
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officer or

firefighter who has applied for or been approved to receive benefits under section
353.656

and the
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officer's or firefighter's employer or the employer's agent providing for

compensation for a waiver of coverage under this section is void. Nothing in this subdivision

shall be construed to render void any agreement entered into prior to the date of enactment.

(i) Once a duty disability determination is made pursuant to section
353.656
, the employer

has no right to challenge and is prohibited from challenging the continuation and payment

of health coverage under this section.

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EFFECTIVE DATE.

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This section is effective retroactively from May 24, 2025.

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