§ 5-75-8 - Benefit plans.
SECTION 5-75-8
§ 5-75-8 Benefit plans. – (a) A client and a PEO shall each be deemed an employer for purposes ofsponsoring retirement and welfare benefit plans for its covered employees.
(b) A fully-insured welfare benefit plan offered to thecovered employees of a single PEO shall be considered a single employer welfarebenefit plan.
(c) For purposes of determining employer status under chapter50 of title 27 (entitled the Rhode Island Small Employer Health InsuranceAvailability Act), a PEO shall be considered the employer of all of its coveredemployees and all covered employees of one or more clients participating in ahealth benefit plan sponsored by a single PEO shall be considered employees ofthe PEO.
(d) If a PEO offers to its covered employees any healthbenefit plan which is not fully- insured by an authorized insurer, the planshall:
(1) Utilize a third-party administrator licensed to dobusiness in this state;
(2) Hold all plan assets, including participantcontributions, in a trust account; and
(3) Provide sound reserves for such plan as determined usinggenerally accepted actuarial standards.