Section 17-1735.2-7 - Termination of contract with participating health plan(a) The department shall have the authority to terminate the participating health plan's contract for any or all of the following reasons: (2) Default by the health plan;(3) Expiration of the medical assistance program;(4) Failure by the health plan to abide by the contract conditions;(5) Insolvency of or declaration of bankruptcy by the health plan;(6) Failure to meet federal or state statutes, or both; or(7) Unavailability of funds.(b) When termination of contract is due to reasons identified under subsections (a)(2), (4) or (6), the department shall provide a hearing for the affected health plan prior to termination of the contract.(c) After the department notifies the health plan of its intent to terminate the contract due to reasons identified under subsections (a)(2), (4) or (6), the department may do the following: (1) Provide the affected eligible individual written notice of the department's intent to terminate the contract; and(2) Allow the affected eligible individual to change health plans immediately without cause. Haw. Code R. § 17-1735.2-7
[Eff 09/30/13] (Auth: HRS § 346-14) (Imp: HRS § 346-14; 42 C.F.R. §§430.25; 438.708)