Section 45-06-14-09 - Membership1.Availability. A multiple employer welfare arrangement must establish nondiscriminatory criteria for membership. A multiple employer welfare arrangement may reject applicants or dispel members that do not meet the multiple employer welfare arrangement's underwriting standards.2.Joining. A new member must be admitted according to the standards and procedures specified in the bylaws. Membership is not effective until the applicant has signed a membership agreement affirming its commitment to comply with the bylaws and this chapter, including joint and several liability for the multiple employer welfare arrangement's obligations. The membership agreement must disclose that under the rules governing the multiple employer welfare arrangement, the board of trustees, or the commissioner, may order that an assessment be levied against the members if necessary to maintain the multiple employer welfare arrangement's sound financial condition.3. Withdrawal. The membership agreement must include the procedures for withdrawing from the multiple employer welfare arrangement. A member must notify the multiple employer welfare arrangement of its desire to withdraw not less than thirty days before the date upon which it desires to withdraw. If the board determines that the withdrawal would cause the multiple employer welfare arrangement to be in violation of the minimum annual premium requirement or would compromise the multiple employer welfare arrangement's financial integrity, the multiple employer welfare arrangement must notify the commissioner as required under subsection 2 of section 45-06-14-11. Withdrawal is prohibited and void unless: a. The member has belonged to the multiple employer welfare arrangement continuously for the period required by the bylaws, which shall provide for a minimum of one complete fund year.b. All outstanding premiums and assessments owed by the member have been paid.4.Expulsion. At least annually a multiple employer welfare arrangement must review the status and experience of each member relative to the criteria for expulsion in the bylaws. Expulsion is subject to the procedures and requirements for voluntary withdrawal of a member, except that: a. A member may be expelled with outstanding premiums or assessments owing; andb. A member may be expelled notwithstanding that the minimum term of membership has not been satisfied.5.Runoff multiple employer welfare arrangement membership. After revocation of a multiple employer welfare arrangement's self-funding authority or after a multiple employer welfare arrangement notifies the commissioner in writing of its intent to terminate the multiple employer welfare arrangement, no member may join, leave, or be expelled from the multiple employer welfare arrangement.N.D. Admin Code 45-06-14-09
Effective January 1, 2007.Amended by Administrative Rules Supplement 2017-364, April 2017, effective 4/1/2017.General Authority: NDCC 28-32-02
Law Implemented: NDCC 26.1-01-07.4, 26.1-07.1