Title: Federal Health Care Bill Accepts Lutheran Health Plan ELCA NEWS SERVICE - NEWSBRIEF October 25, 1996 HEALTH CARE BILL ACCEPTS CHURCH PLANS The Health Insurance Portability and Accountability Act of 1996 will subject all group health plans, including church plans, to federal rules governing access and portability. "This is good news for members of the Evangelical Lutheran Church in America's group health plan and other church employees not covered under the plan," said John G. Kapanke, president of the ELCA Board of Pensions. "On the surface this could appear as government intrusion, but in reality it will ensure equal employment opportunities for those people who enter or leave church service." The act will generally limit pre-existing condition periods to 12 months, with month-for-month credit given to employees who change health care coverage and were covered under another policy. Pregnancy will no longer be considered a pre-existing condition. Employees who previously declined health coverage will now have more opportunities to change their minds. The act also makes it more difficult for people to be denied health coverage because of their medical histories, so long as they were receiving health coverage. Kapanke chairs the Church Alliance, a coalition of church pension board executives who act on behalf of church pension and welfare benefit programs. The alliance worked closely with the U.S. Congress to ensure the act safeguarded the unique characteristics of church health plans. These church plans will not be subject to taxes and noncompliance penalties that may apply to other plans. Much of the act will be implemented in 1998. The Church Alliance represents more than 260,000 clergy and 114,000 lay workers employed by churches, synagogues and church ministry organizations throughout the United States. For information contact: Ann Hafften, Dir., ELCA News Service, (312) 380-2958 or [log in to unmask]; Frank Imhoff, Assoc. Dir., (312) 380-2955 or [log in to unmask]