Employer service assurance organizations — Prohibited activities

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  1. (a) No employer service assurance organization shall attempt to monopolize or to combine or conspire with any other person to monopolize any market or make any arrangement with any professional employer organization, employer service assurance organization, or other person that has the purpose or effect of unreasonably restraining trade or of substantially lessening competition in the business of professional employer organization services or insurance.

  2. (b) An employer service assurance organization may not have or adopt any rule, exact any agreement, or formulate or engage in any program that would require any member or subscriber to:

    1. (1) Interfere with the right of any professional employer organization to conduct business in the state as permitted by law and independent of that service organization;

    2. (2) Utilize some or all of its services as provided by the service organization's policies and procedures as approved by the Insurance Commissioner;

    3. (3) Adhere to its standards, procedures, or membership requirements except on a voluntary basis; or

    4. (4) Prevent any professional employer organization from acting independently.


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