Section 760IAC1-70-3. General requirements

   (a) Each health maintenance organization shall maintain a plan acceptable to the commissioner for continuation of benefits in the event of receivership.

  (b) The plan must finance the greater of one million dollars ($1,000,000) or total projected costs in the event of receivership as calculated by the form set forth in section 8 of this rule.

  (c) The plan may utilize the following for financing the health maintenance organization's obligation for continuation of benefits in the event of receivership:

(1) Letters of guarantee from a parent company.

(2) Conversion policies.

(3) Insolvency insurance policies.

(4) Additional deposits.

  (d) The plan must be filed with the department by March 1 of each year. Any proposed amendment to the plan shall be filed with the department at least thirty (30) days before being adopted.

  (e) The form prescribed in section 8 of this rule shall be filed with the department on a quarterly basis with the financial reports required under IC 27-13-8-3(c). (Department of Insurance; 760 IAC 1-70-3; filed Jan 5, 2005, 9:37 a.m.: 28 IR 1480; readopted filed Nov 29, 2011, 9:14 a.m.: 20111228-IR-760110553RFA)