S.D. Admin. R. 20:06:40:83

Current through Register Vol. 51, page 57, November 12, 2024

Section 20:06:40:83 - Discontinuing a particular product

If an issuer discontinues offering a particular product in the group market, that product may be discontinued by the issuer in the applicable market only if the following occurs:

(1) The issuer provides notice in writing to each plan sponsor, as applicable, provided that particular product in that market and to all participants and beneficiaries covered under such coverage of the discontinuation at least 90 calendar days before the date the coverage will be discontinued;

(2) The issuer offers to each plan sponsor, as applicable, provided that particular product the option, on a guaranteed issue basis, to purchase all or, in the case of the large group market, any other health insurance coverage currently being offered by the issuer to a group health plan or individual health insurance coverage in that market; and

(3) In exercising the option to discontinue that product and in offering the option of coverage, the issuer acts uniformly without regard to the claims experience of those sponsors or individuals, as applicable, or any health status-related factor relating to any participants or beneficiaries covered or new participants or beneficiaries who may become eligible for such coverage.

S.D. Admin. R. 20:06:40:83

39 SDR 203, effective 6/10/2013.

General Authority: SDCL 58-18-79.

Law Implemented: SDCL 58-18-79, 58-18-80.