A labor union whose members work for many different New York employers wants to obtain accident and health coverage for its members. Under N.Y. Ins. Law §4235, may the union purchase group health coverage?

Why D is correct

Under N.Y. Ins. Law §4235, members of a labor organization constitute an eligible group even though they work for different employers; the union membership itself supplies the common bond. Group coverage may therefore be issued to the union as policyholder for its members, and coverage is provided on a group basis without individual medical screening of each member.

Why the other options are wrong

• A) Single-employer groups are not the only eligible type; labor organizations, bona fide associations, and other groups also qualify under §4235.
• B) A union need not become an insurer; it simply applies as the group policyholder for coverage issued by a licensed insurer.
• C) Group eligibility does not depend on individual medical examinations; issuing coverage on a group basis is the whole point of the eligible-group rules.

Memory hook

Union members are eligible even across many different employers.