Bills › 91st General Assembly

SF 509Died when the session ended · March 4, 2025

Relating to employment status and employment benefits and including applicability provisions

Sponsored by Sen. Thomas Townsend (D)

Topics:Health careInsuranceJobs & workers

Where it is now

  1. Done: IntroducedMarch 4, 2025
  2. Done: SubcommitteeMarch 10, 2025
  3. Stopped: Senate committeeDied when the General Assembly ended
  4. Next: Passes the Senate
  5. Next: House committeeFunnel: by March 20, 2026
  6. Next: Passes the House
  7. Next: To the Governor
  8. Next: Signed into law

Died when the session ended The 2026 session adjourned on May 3, 2026, the General Assembly’s last regular session. Bills that didn’t pass both chambers died. What’s a funnel?

What’s in it

AI summary If an employee is injured at work and cannot return to their job, their employer must keep providing them with health insurance for at least six months. Employers must also include these rules in their employee handbooks or job offers. If an employer fails to provide this insurance, they must pay the worker back for any medical costs that would have been covered.1

Read the official explanation

This bill provides that if an employee is unable to return to work due to an injury for which a claim for workers’ compensation arises, and if the employer provided the employee with health insurance as of the time the injury occurred, the employer must continue to provide the employee with health insurance on the same terms for at least six months beginning on the day after the employee leaves employment. If the employer does not comply, the employer shall be liable to the employee for reimbursement for any medical costs incurred by the employee that would have been covered by the required health insurance. The bill requires each employer to include the employer’s policies or procedures for compliance with these provisions in any employment contract, employee handbook, or offer of employment provided by the employer. These provisions apply to employers with or more employees and to injuries occurring on or after the effective date of the bill. The bill defines “independent contractor”, for purposes of workers’ compensation, wage payment collection, minimum wage, and unemployment insurance, as an individual performing work who is free from control or direction by the employer over the performance of the individual’s services, whose service is either outside the usual course of the business of the employer or is performed outside of all the places of business of the employer, and who is customarily engaged in an independently established trade, occupation, profession, or business. For purposes of the definition, an employer shall have the burden to establish that an individual is an independent contractor and not a worker or employee.

Full bill text2

Senate subcommittee

Named March 10, 2025. It hasn’t reported yet.

Three legislators hear a bill first and recommend what the committee should do; it’s the best time to weigh in. How to take part

Iowa Code it changes

Creates§85.27A

Amends§85.61§91A.2§91D.1§96.1A

How the Code works3

Lobbying

0 for · 0 against · 15 undecided · Who →