Formation of voluntary purchasing group by small employers; requirements when affiliate of group ceases to qualify as small employer.

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1. A small employer may, in accordance with the provisions of NRS 689C.490 to 689C.600, inclusive, choose to affiliate voluntarily with other small employers as a voluntary purchasing group to purchase health benefits for eligible employees and their dependents.

2. An employer who affiliates with a voluntary purchasing group shall notify the carrier for that group when the employer has less than 2 or more than 50 employees. The carrier shall:

(a) Upon receiving such a notification, inform the employer of the provisions of paragraph (b).

(b) If the employer ceases to be a small employer, refuse to renew the coverage of that employer and employees of that employer and their dependents under any contract provided through the voluntary purchasing group.

(Added to NRS by 1995, 2679; A 1997, 2953)


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