§ 27-13-4-3 — Filing notice with commissioner before exercising power; disapproval of exercise of power; exemptions from filing requirement

(a) A domestic health maintenance
organization must file notice with the commissioner, with supporting
information that the commissioner deems adequate, before exercising
any power granted in:
(1) section 1(a)(1); or
(2) section 1(a)(4);
of this chapter if the proposed transaction is equal to or greater than ten
percent (10%) of the health maintenance organization's admitted assets.
(b) A domestic health maintenance organization must file notice
with the commissioner, with the supporting information that the
commissioner deems adequate, before exercising any power granted in
section 1(a)(2), if the proposed transaction is equal to or greater than
three percent (3%) of the health maintenance organization's admitted
assets.
(c) The commissioner may disapprove an exercise of power referred
to in a notice received under subsection (a) or (b) only if, in the opinion
of the commissioner, the exercise of the power would:
(1) substantially and adversely affect the financial soundness of
the health maintenance organization; and
(2) endanger the ability of the health maintenance organization to
meet its obligations.
(d) If the commissioner does not disapprove an exercise of power
referred to in a notice received under subsection (a) or (b) within thirty
(30) days after the notice is filed with the commissioner, the exercise
of power is considered approved.
(e) The commissioner may adopt rules under IC 4-22-2 exempting
from the filing requirement of this section certain activities that have
a minimal effect on:
(1) the financial soundness of the health maintenance
organization; and
(2) the ability of the health maintenance organization to meet its
obligations.

Legislative History

As added by P.L.26-1994, SEC.25. Amended by P.L.203-2001, SEC.19.