Contracts to provide services pursuant to certain state programs: Payment of interest on claims. Any contract or other agreement entered into or renewed by a health maintenance organization on or after October 1, 2001:
1. To provide health care services through managed care to recipients of Medicaid under the state plan for Medicaid; or
2. With the Division of Health Care Financing and Policy of the Department of Human Resources to provide insurance pursuant to the Children’s Health Insurance Program,
Ê must require the health maintenance organization to pay interest to a provider of health care services on a claim that is not paid within the time provided in the contract or agreement at a rate of interest equal to the prime rate at the largest bank in Nevada, as ascertained by the Commissioner of Financial Institutions, on January 1 or July 1, as the case may be, immediately preceding the date on which the payment was due, plus 6 percent. The interest must be calculated from 30 days after the date on which the claim is approved until the date on which the claim is paid.
Last modified: February 27, 2006