Election to operate as individual risk-assuming carrier or individual reinsuring carrier: Notice to Commissioner; effective date; change in status.
1. Within 30 days after the date on which a plan of operation is approved by the Commissioner pursuant to NRS 689C.770, or for a new carrier within 30 days after the date on which it enters the individual market in this state, an individual carrier shall elect to operate as either an individual risk-assuming carrier or an individual reinsuring carrier and shall notify the Commissioner of its election.
2. The initial election of an individual carrier to act as an individual risk-assuming or reinsuring carrier is effective on the individual carrier for 2 years after the date on which it notifies the Commissioner pursuant to subsection 1. After the initial 2-year period, such an election is effective for 5 years. The Commissioner may allow an individual carrier to modify its election at any time for good cause shown. The Commissioner may waive or modify the period during which the election of a carrier to operate as an individual risk-assuming or reinsuring carrier is effective.
3. An individual carrier may apply to the Commissioner, in a manner prescribed by the Commissioner by regulation, to change its status as an individual risk-assuming or reinsuring carrier.
4. An individual reinsuring carrier that elects or is subsequently authorized by the Commissioner to operate as a risk-assuming carrier:
(a) Shall not continue to reinsure any individual health benefit plan with the Program of Reinsurance.
(b) Shall pay a prorated assessment based upon business issued as an individual reinsuring carrier for any portion of the year that the business was reinsured.
Last modified: February 27, 2006