§ 26.1-17.1-18 — Officers and employees fidelity bond

North Dakota § 26.1-17.1-18

• Jurisdiction: North Dakota
• Title 26.1: Insurance
• Ch. 26.1-17.1: Prepaid Limited Health Service Organizations

Text

1. A prepaid limited health service organization shall maintain in force a fidelity bond in its
own name on its officers and employees in an amount not less than fifty thousand
dollars or in any other amount prescribed by the commissioner. Except as otherwise
provided by this subsection, the bond must be issued by an insurance company that is
licensed to do business in this state or, if the fidelity bond required by this subsection is
not available from an insurance company that holds a certificate of authority in this
state, a fidelity bond procured by a licensed surplus lines insurance producer in this
state shall satisfy the requirements of this subsection.

2. In lieu of the bond specified in subsection 1, a prepaid limited health service
organization may deposit with the commissioner cash or securities or other
investments of the types set forth in section 26.1-17.1-14. Such a deposit must be
maintained in joint custody with the commissioner in the amount and subject to the
same conditions required for a bond under this subsection.