Hazardous operation; violations; director; powers.

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44-32,159. Hazardous operation; violations; director; powers.

Whenever the director determines that the financial condition of any health maintenance organization is such that its continued operation might be hazardous to its enrollees or creditors or the general public or that it has violated the Health Maintenance Organization Act, he or she may, after notice and hearing, order the health maintenance organization to take such action as may be reasonably necessary to rectify such condition or violation, including, but not limited to, the following:

(1) Reduce the total amount of present and potential liability for benefits by reinsurance or another method acceptable to the director;

(2) Reduce the volume of new business being accepted;

(3) Reduce expenses by specified methods;

(4) Suspend or limit the writing of new business for a period of time;

(5) Increase the health maintenance organization's capital and surplus by contribution; or

(6) Take such other steps as the director deems appropriate under the circumstances.

The violation by a health maintenance organization of any law of this state to which such health maintenance organization is subject shall be deemed a violation of the act.

Source

  • Laws 1990, LB 1136, § 68.


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