Provision in Policy of Group Accident and Health Insurance Requiring Notification When Person Covered Under Group Policy Ceases to Be Covered

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A policy of group accident and health insurance as defined in §56-26-201 that is issued to an employer shall contain a provision requiring the employer to notify the insurer when any person covered under the group policy ceases to be eligible for coverage. The employer shall notify the health insurer of a covered person's loss of eligibility within the time set forth in the contract, but in no event shall the notification occur more than sixty (60) days after the employer learns of a covered person's loss of eligibility.


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