§ 2-3 — Powers of health maintenance organizations

Illinois § 2-3

• Jurisdiction: Illinois
• Topic: REGULATION
• Ch. 215: INSURANCE
• Act 215 ILCS 125/: Health Maintenance Organization Act.
• Art.: Article II - Certificate Of Authority, General Corporate And Financial Requirements

Text

The powers of a health maintenance organization include, but are not limited to the following: (a) The purchase, lease, construction, renovation, operation, or maintenance of hospitals, medical facilities or both, and their ancillary equipment, and such property as may reasonably be required for its principal office or for such other purposes as may be necessary in the transaction of the business of the organization. (b) The making of loans to a medical group under contract with it and in furtherance of its program or the making of loans to a corporation or corporations under its control for the purpose of acquiring or constructing medical facilities at hospitals or in furtherance of a program providing health care services for enrollees. (c) The furnishing of health care services through providers which are under contract with or employed by the health maintenance organization. (d) The contracting with any person for the performance on its behalf of certain functions such as marketing, enrollment and administration. (d-5) The voluntary use of a referral system for enrollees to access providers under contract with or employed by the health maintenance organization. Nothing in this subsection (d-5) shall be construed as requiring the use of a referral system with the health maintenance organization's contracted or employed providers to obtain a certificate of authority as set forth in Section 2-1. (e) The contracting with an insurance company licensed in this State, or with a hospital, medical, dental, vision or pharmaceutical service corporation authorized to do business in this State, for the provision of insurance, indemnity, or reimbursement against the cost of health care service provided by the health maintenance organization. (f) The offering, in addition to basic health care services, of (1) health care services, (2) indemnity benefits covering out of area or emergency services, (3) indemnity benefits provided through insurers or hospital, medical, dental, vision, or pharmaceutical service corporations, and (4) health maintenance organization point-of-service benefits as authorized under Article 4.5. (g) Rendering services related to the functions involved in the operating of its health maintenance organization business including but not limited to providing health services, data processing, accounting, or claims. (g-5) Indemnification for services provided to a child as required under subdivision (e)(3) of Section 4-2. (h) Any other business activity reasonably complementary or supplementary to its health maintenance organization business to the extent approved by the Director.

Legislative History

(Source: P.A. 103-104, eff. 1-1-24 .)