Notice to director that risk bearing entity has materially failed to perform contract.

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58-41-124. Notice to director that risk bearing entity has materially failed to perform contract.

A health maintenance organization shall have procedures in place to notify the director within a reasonable time that a risk bearing entity has materially failed to perform under its contract with the health maintenance organization. A health maintenance organization is not in violation of this section if it acts in good faith in its attempt to comply with this section. A health maintenance organization shall maintain systems and controls for reviewing the information provided to the health maintenance organization by the risk bearing entity pursuant to §§58-41-120 to 58-41-126, inclusive.

Source: SL 2013, ch 256, §39.


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