830 CMR, § 175.24D.1.1
Current through Register 1536, December 6, 2024
Claimant, an individual 13 years of age or older or an estate who brings a claim against an insured party under a liability insurance policy issued in the Commonwealth or under the liability coverage portion of a multiperil policy issued in the Commonwealth, a beneficiary 13 years of age or older under a life insurance contract issued in the Commonwealth, or a beneficiary 13 years of age or older living in the Commonwealth who is designated to receive payment under a life insurance contract issued by a company licensed in the Commonwealth.
Company, all corporations, associations, partnerships or individuals engaged as principals in the business of insurance including reciprocal exchanges as defined in M.G.L. c. 175, § 1.
DOR, the Child Support Enforcement Division of the Department of Revenue, which is the single state agency for the Commonwealth responsible for establishing parentage and establishing, modifying and enforcing child support orders pursuant to Title IV, Part D of the Social Security Act, 42 U.S.C. § 651et seq., and M.G.L. c. 119A.
Non-recurring Payment, payment of a liability settlement or award in a lump sum, payment of a liability settlement or award under a structured settlement, payment to the issuer of an annuity by a liability insurer under a structured settlement of a liability claim, payment of a life insurance death benefit in a lump sum, or payment of a life insurance death benefit under a life insurance contract authorizing payment in installments. Periodic disability insurance payments, payments under annuity contracts, Workers' Compensation payments and life insurance dividend payments are not non-recurring payments, and are not subject to 830 CMR 175.24D.1.1. Such payments are subject to reporting and intercept through other means, pursuant to M.G.L. c. 62E and M.G.L. c. 119A.
Obligee, an individual to whom support is or may be owed or in whose favor a support order has been issued or a judgment of paternity has been or may be rendered, or a state or political subdivision to which rights under a child support obligation have been assigned or which has independent claims based on financial assistance provided to an individual obligee.
Service Provider, an individual or entity which documents that it has provided or will provide a benefit or service related to the claim, including but not limited to an attorney, a repair shop, a health care facility, a funeral home, a medical doctor or other health care professional.
Failure Rate | Penalty |
5 % - 9.9 % | $1,000 |
10 % - 14.9 % | $2,000 |
15 % - 19.9 % | $3,000 |
20 % - 24.9 % | $4,000 |
25 % - 29.9 % | $5,000 |
30 % - 49.9 % | $10,000 |
50 % or higher | $25,000 |
The "failure rate" for any consecutive 12-month period under audit is the number of claims for which the company knowingly failed to ascertain whether a payment was subject to a child support lien and which would, in fact, have been subject to a child support lien had such search been made, divided by the number of claims for which the company knowingly failed to ascertain whether a payment was subject to a child support lien.
830 CMR, § 175.24D.1.1
REGULATORY AUTHORITY
830 CMR 175.24D.1.1: M.G.L. c. 175, § 24D