Michigan Compiled Laws § 500.3565 Cancellation Of Contract By Nongroup Subscriber.

500.3565 Cancellation of contract by nongroup subscriber.

Sec. 3565.

(1) A nongroup subscriber, in addition to other rights available to revoke an offer, may cancel a health maintenance contract within 72 hours after signing. Any deposit or prepayment made shall be refunded within 30 days of receipt of the notice of cancellation. A nongroup subscriber shall be responsible for payment of reasonable fees for any services received during the 72 hours. Fees may be deducted from the deposit or prepayment before the refund is made.

(2) Cancellation shall occur when written notice of cancellation is mailed or hand-delivered to the organization or its agent or representative.

(3) Notice of cancellation shall be sufficient if it indicates the intention of the person not to be bound by the contract or application.

(4) The right of cancellation shall appear in boldfaced type on the same page the individual subscriber signs to bind the contract.

History: Add. 2000, Act 252, Imd. Eff. June 29, 2000
Popular Name: Act 218
Popular Name: HMO

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Last modified: October 10, 2016