Procedures for voluntary withdrawal by carriers

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(a) A carrier shall give the Commissioner written notice, prior to notifying the members of the health benefit plan, of its intent to discontinue the offering of all health benefit plans in the District of Columbia and shall submit to the Commissioner an application with the following information:

(1) The name of the carrier;

(2) The name, address, telephone number, and facsimile number of the carrier’s representative responsible for the activities pertaining to withdrawing from the District of Columbia health insurance market;

(3) A specific description of the reasons the carrier is withdrawing its health benefit plans from the District of Columbia health insurance market;

(4) A statement of the number of in-force policies affected by the withdrawal;

(5) A copy of the nonrenewal notice, which complies with HIPAA, that the carrier will send to its enrollees and dependents once its application is approved; and

(6) Any other information or documentation that the Commissioner considers relevant and appropriate in connection with the carrier ceasing to offer a health benefit plan in the District of Columbia.

(b) The carrier shall obtain prior approval of its application from the Commissioner before it commences to voluntarily withdraw from the District of Columbia health insurance market.

(c) The Commissioner shall complete his or her review of the application submitted by the carrier to withdraw from the District of Columbia health insurance market within 60 days after receipt of all requested documentation.

(d) To ensure that health care services will be available and accessible to all group and nongroup policyholders of a withdrawing carrier, the Commissioner may allocate the group and nongroup contracts among other carriers in a similar manner as provided in § 31-3414.

(e) The Commissioner may condition his or her approval of the carrier’s application upon the terms and conditions as are necessary for the protection of the carrier’s policyholders, its creditors, or the public interest.

(Apr. 12, 2005, D.C. Law 15-328, § 3, 52 DCR 1459.)


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