44-5804. Payments to third-party administrator; how construed.
If an insurer utilizes the services of a third-party administrator, the payment to the third-party administrator of any charges and premiums by or on behalf of any policyholder, contract holder, certificate holder, or subscriber shall be deemed to have been received by the insurer, and the payment of return of premiums or claim payments forwarded by the insurer to the third-party administrator shall not be deemed to have been paid to the policyholder, contract holder, certificate holder, subscriber, or claimant until the payment is received by the policyholder, contract holder, certificate holder, subscriber, or claimant. Nothing in this section shall limit any right of the insurer against the third-party administrator resulting from the failure of the third-party administrator to make payments to the insurer, policyholders, contract holders, certificate holders, subscribers, or claimants.
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