Certain agricultural organizations exempt from regulation.

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505.20 Certain agricultural organizations exempt from regulation.

1. A health benefit plan, sponsored by a nonprofit agricultural organization domiciled in this state and created primarily to promote programs for the development of rural communities and the economic stability and sustainability of farmers in the state which meets the requirements set forth in subsection 2, shall be deemed to not be insurance and shall not be subject to the provisions of this subtitle, to the extent such plan, after January 1, 2018, provides health benefits under a self-funded arrangement that is administered by a domestic entity that is registered as a third-party administrator pursuant to chapter 510 and that has continuously provided, either directly or through an affiliate, health care administrative services to the nonprofit agricultural organization or its affiliates for a period in excess of ten years.

2. A nonprofit agricultural organization providing a health benefit plan to its members under this section must meet all of the following requirements:

a. Have been in existence for twenty-five continuous years prior to the issuance of health benefits to members of the organization.

b. Provide membership opportunities for eligible individuals in all ninety-nine counties of the state.

c. Collect annual dues from members.

d. Hold regular meetings to further the purposes of the members.

e. Provide the members with representation on its governing board and committees.

f. Provide education, mentoring, and financial assistance to grow and expand rural businesses in the state.

g. Have contracted with the domestic entity described in subsection 1 to administer the health benefit plan.

3. Such nonprofit agricultural organization shall file a certification with the commissioner that the organization meets the foregoing requirements prior to providing health benefits under a self-funded arrangement to its members.

2018 Acts, ch 1063, §1


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