P.R. Laws tit. 26, § 9136

2019-02-20 00:00:00+00
§ 9136. Standards to assure fair marketing

(a) Each issuer shall actively market all health plans sold by the issuer to all PYMES employers in Puerto Rico.

(b) No PYMES employer issuer or producer shall, directly or indirectly, engage in the following activities:

(1) Encouraging or directing PYMES employers to refrain from filing an application for coverage with the PYMES employer issuer because of any health status-related factor, industry, occupation or geographic location of the PYMES employer. This provision shall not apply with respect to information provided by a PYMES employer issuer or producer regarding the established geographic service area or a preferred network provision.

(c) No issuer shall, directly or indirectly, enter into any contract, agreement or arrangement with a producer that provides for or results in the compensation paid to a producer for the sale of a health plan to be varied because of any initial or renewal health status-related factor of eligible employees or dependents, or industry, occupation or geographic location of the PYMES employer. This provision shall not apply with respect to a compensation arrangement that provides compensation to a producer on the basis of percentage of premium, provided that the percentage shall not vary because of any health status-related factor of eligible employees or dependents, or industry, occupation or geographic location of the PYMES employer.

(d) No issuer may terminate, fail to renew or limit its contract or agreement of representation with a producer for any reason related to any initial or renewal health status-related factor of eligible employees or dependents, or industry, occupation or geographic location of the PYMES employer placed by the producer.

(e) An issuer or producer may not induce or otherwise encourage a PYMES employer to separate or otherwise exclude an eligible employee or dependent from the benefits of a health plan.

(f) Denial by an issuer of an application for health plan from a PYMES employer, for any of the reasons permitted in accordance with the provisions of this chapter, shall be in writing and shall state the reason or reasons for the denial.

(g) Any violation of this section shall be an unfair trade practice under §§ 2701–2740 of this title and shall be subject to the sanctions provided therein. If an issuer enters into a contract, agreement or other arrangement with a third-party administrator to provide administrative, marketing or other services related to the offering of health plans to PYMES employer in Puerto Rico, the third-party administrator shall be subject to this section as if it were an issuer.

History —Aug. 29, 2011, No. 194, § 8.160, eff. 180 days after Aug. 29, 2011.