A. A prepaid dental plan organization shall maintain, for protection of members, a financial reserve consisting of at least two percent (2%) of all prepaid charges collected from members for the prepaid dental plan, until said reserve totals Five Hundred Thousand Dollars ($500,000.00). This reserve shall be in addition to the deposit prescribed by Section 6 of this act.
B. The reserve prescribed by this section shall not apply with respect to a prepaid dental plan organization which is funded by the state, a political subdivision of the state, or the United States.
Added by Laws 1983, c. 66, § 7, eff. Nov. 1, 1983.