Enrolled Copy S.B. 233
1 PORTABLE BENEFIT PLAN
2 2023 GENERAL SESSION
3 STATE OF UTAH
4 Chief Sponsor: John D. Johnson
5 House Sponsor: Ryan D. Wilcox
6
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 C are not evidence of an employment relationship or employer liability; and
17 C 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
27
28 Be it enacted by the Legislature of the state of Utah:
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Enrolled Copy
29 Section 1. Section 34-57-101 is enacted to read:
30 CHAPTER 57. PORTABLE BENEFIT PLAN
31 Part 1. General Provisions
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 that:
39 (a) offers an insurance product regulated by:
40 (i) Title 31A, Insurance Code; or
41 (ii) Title 35A, Chapter 4, Employment Security Act; and
42 (b) is assigned to an individual beneficiary and is not associated with a specific
43 employer or hiring party.
44 Section 2. Section 34-57-102 is enacted to read:
45 34-57-102. Administration -- Assignment of benefits -- Portability.
46 (1) A governmental entity or private entity may offer a portable benefit plan.
47 (2) Contributions to a portable benefit plan:
48 (a) shall be voluntary; and
49 (b) may not be used as a criterion for determining a person's employment classification.
50 (3) If an Internet or application-based company contributes to a portable benefit plan
51 for the benefit of an individual beneficiary:
52 (a) the contribution is not evidence of employer liability; and
53 (b) a court may not construe the contribution as an element of an employment
54 relationship for purposes of:
55 (i) Title 34A, Chapter 2, Workers' Compensation Act; or
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56 (ii) Title 35A, Chapter 4, Employment Security Act.
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