40-3232. Insolvent health maintenance organization; allocation of insureds to other health maintenance organizations, when; eligibility for Kansas uninsurable health insurance plan act, when.
40-3232
40-3232. Insolvent health maintenance organization;allocation of insureds to other health maintenance organizations, when;eligibility for Kansas uninsurable health insurance plan act, when.(a) In the event of an insolvency of a health maintenanceorganization, the commissioner may order that all other carriers thatparticipated in the enrollment process with the insolvent health maintenanceorganization at a group's last regular enrollment period shall offer thegroup's enrollees of the insolvent health maintenance organization a 30-dayenrollment period commencing upon the date of insolvency. Under such order eachcarrier shall offer to each enrollee of the insolvent health maintenanceorganization the same coverages that such insolvent health maintenanceorganization had offered to each enrollee of the group at such group's lastregular enrollment period at rates determined in accordance with the successorhealth maintenance organization's existing rating methodology.
(b) Any individual or enrollee who has health insurance coverageinvoluntarily terminated because of the insolvency of such individual's orenrollee's health maintenance organization shall be treated as the equivalentof a federally defined eligible individual for the purposes of the Kansasuninsurable health insurance plan act, K.S.A. 40-2117 et seq. andamendments thereto.
History: L. 2000, ch. 147, § 33; July 1.